CVS Health Chief Executive Officer Karen S. Lynch will speak at Jazz at Lincoln…(+) Center in New York on Monday, December 4th.
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CVS Health Friday announced that CEO Karen Lynch will step down as the company’s top executive and be replaced by David Joyner, head of Caremark, the company’s pharmacy benefits company.
The news comes as CVS Health is struggling to control medical costs in its health insurance business, and its retail pharmacy business is also struggling, contributing to a decline in the company’s stock price.
CVS said Lynch, 62, “has resigned from his position by agreement with the board of directors.” CVS also announced that Mr. Joyner will join the company’s board of directors and that current chairman of the board, Roger Farrar, will become “executive chairman.”
Mr. Joyner, 60, is executive vice president of CVS Health and president of CVS Caremark, where he “leads the pharmacy services business that provides solutions to employers, health plans and government agencies. We serve approximately 90 million members through CVS Specialty, Caremark, and other regions. ”
The move comes just two months after Lynch took over “day-to-day management” of the company’s Aetna health insurance business following recent poor results. Lynch successfully led Aetna for several years before being promoted to president and CEO of CVS in 2021, joining CVS Health Chief Financial Officer Tom Cowhey in August to lead the nation’s third-largest health care company. He became the director of an insurance company.
Prior to becoming CEO of CVS Health, Mr. Lynch served as Executive Vice President and President of Aetna. Aetna was acquired by CVS in 2018 for nearly $70 billion, merging one of the nation’s largest drugstore chains and pharmacy benefits operators with one of the nation’s largest health insurance companies.
In making this change, CVS Board of Directors Chairman Farrar said the company’s board “believes now is the right time to make this change and that it is in the best interests of all stakeholders, including customers and employees.” I am confident that David is the right person to lead our company.” , patients, and shareholders.
According to CVS, Mr. Joyner began his career as an employee benefits representative at Aetna, then joined Caremark Prescription Services as a regional sales manager and has 37 years of “healthcare and pharmacy benefits management experience.” , and served on several private equity boards.” Supported by healthcare companies. ”
“There is no greater honor than leading a company whose mission and purpose are completely focused on improving health,” Joyner said in a statement.
“I returned to CVS Health in 2023 because I believed I could contribute even more to the company, and I am taking this opportunity today for the same reason,” Joyner said. At CVS Health, we are building a world of health around every consumer every day, and I believe we can expand access and improve health outcomes for more than 186 million people. I am committed to providing the best every day to everyone I serve. ”
“CVS Health is responsible for improving the health of millions of people across America, and our integrated businesses work together every day to achieve our purpose and mission,” said Farrar. . A deep understanding of our integrated business will enable us to directly address the challenges facing our industry, accelerate the operational improvements we need, and fully realize the value we can uniquely create. can. ”
