Walgreens to permanently close 5 LA-area stores as it shutters 1,200 nationwide

Walgreens is set to close five locations across Los Angeles and Orange counties in the coming weeks — a move that could result in at least 93 job losses as the struggling retailer moves ahead with a downsizing that will see around 1,200 closures nationwide.The pharmacy chain will shutter stores in Whittier, downtown Los Angeles, Orange, Placentia and Stanton, according to a notice submitted to California’s Employment Development Department.The store closures will lead to layoffs for a range of employees, including pharmacists, pharmacy technicians, cashiers, store managers and inventory specialists.Last month, Walgreens’ top executive said that the company was seeing a 52% increase in “shrink” — an industry term which means loss of inventory that cannot be accounted for through sales or other legitimate means.Tim Wentworth, CEO of parent company Walgreens Boots Alliance Inc, said that anti-theft measures such as locking up items behind glass encasing led to reduced sales.The affected Walgreens locations in Southern California will shutter for good between March 20 and March 27 — with layoffs varying from eight to 27 employees per location.Marty Maloney, Walgreens’ director of media relations, cited growing regulatory and reimbursement pressures as key factors contributing to the decision.“It is never an easy decision to close a store,” Maloney told the Los Angeles Daily News.“We know that our stores are important to the communities that we serve, and therefore do everything possible to improve the store performance.”Malone added that the company “will work in partnership with community stakeholders to minimize customer disruptions.”Walgreens, one of the largest pharmacy chains in the United States, has been grappling with financial difficulties in recent years — which have been exacerbated by declining foot traffic, increased labor costs and lower reimbursement rates for prescription drugs.In the last five years, the stock price of pare...