Healthtech firm CoverMyMeds to lay off over 800 workers

SAN FRANCISCO: US-based health technology company CoverMyMeds has announced to lay off about 815 employees amid tough macroeconomic conditions, the media reported.

The company also said to shut its Scottsdale office in the US, which houses CoverMyMeds' patient support centre, reports The Columbus Dispatch.

"We're saddened to share that today we will eliminate about 815 CoverMyMeds roles, with the majority of those team members leaving the business between now and April 14," Kevin Kettler, president of CoverMyMeds, was quoted as saying.

"Over the past few months, together, we took important steps to bring our expenses more in line with our revenue growth and to optimise our investments... It's become clear, however, through business planning that further action is needed for CoverMyMeds to continue on a path of long-term sustainable growth. Today, that means making some difficult announcements related to our people and our workplaces," he added.

Moreover, the company announced that laid-off workers will be eligible for severance pay, annual bonuses, career support and healthcare for an unspecified period of time, the report said.

In February, US-based Nomad Health, a healthcare staffing start-up, laid off 17 per cent of its workforce, amid tough macroeconomic conditions.

Co-founder and CEO Alexi Nazem confirmed the company's headcount had gone from 691 to 572 employees -- a reduction of 17 per cent, reports Forbes.