MASHINIi

Omnicare Inc..

OCR.US | Retail sale of pharmaceutical and medical goods, cosmetic and toilet articles in specialized stores

Omnicare, Inc. is a healthcare company that primarily provides pharmacy and related services to long-term care facilities and other settings. They offer a range of services including dispensing medications, medication management, clinical consulting, and related services to skilled nursing facilitie...Show More

Ethical Profile

Mixed.

Omnicare presents a mixed ethical record. In August 2024, a significant data breach allegedly exposed sensitive data, including SSNs and medical information, for 468,344 individuals via a ransomware attack; company responded. Allegations also link Omnicare to a kickback scheme involving discounted prescription drugs for referrals, violating statutes. Employee reviews on Glassdoor cite a challenging work environment, with culture and compensation rated 2.5/5. A 2021 class-action lawsuit for driver misclassification settled for $1,000,000. As part of CVS Health, Omnicare targets 36% reduction in Scope 1 and 2 GHG emissions by 2030 and 50% renewable energy by 2040, but Scope 3 data is often not reported.

Value Scores

Better Health for All10
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect-30
-100100
Fair Trade & Ethical Sourcing-20
-100100
Honest & Fair Business-20
-100100
Kind to Animals0
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-40
-100100
Respect for Cultures & Communities20
-100100
Safe & Smart Tech0
-100100
Zero Waste & Sustainable Products-50
-100100

Better Health for All

10

Omnicare's principal goods and services, which include pharmacy and related services for long-term care facilities, deliver substantial health benefits by improving patient care, medication adherence, and outcomes. The company's partnerships support quality patient care, medication reviews, and stewardship programs

1
. There is no evidence of revenue generated from products with negative health impacts. The company does not hold healthcare-related patents, produce food or nutritional products, or conduct clinical trials, making these specific KPIs not applicable.

Fair Money & Economic Opportunity

0

Omnicare Inc. is a healthcare company providing pharmacy and related services, not a financial institution offering lending or deposit services to consumers. As such, the company does not have APRs or fee structures for consumer credit products, nor does it generate customer finance data or operate financial service access points. It does not derive revenue from high-cost financial products or penalty fees. The company also does not have dedicated inclusion programs or financial literacy initiatives related to financial services. While Omnicare's total consolidated long-term debt was approximately 41.5% of total capitalization at December 31, 2013, this refers to the company's debt, not customer debt-to-income ratios.

1
The company returned an average of 70.2% of its operating cash flows to stockholders through share repurchases and dividends for 2012 and 2013, and over 50% in 2014, but this is not reinvestment in community finance or profit-sharing with underserved communities.
2
Settlements for alleged civil violations, such as the $98 million in 2009
3
and $120 million in 2013,
4
were related to healthcare practices, not unfair lending. The company's focus on simplifying medication administration and its broad geographic reach for pharmacy services are not relevant to financial product simplicity or banking desert coverage.

Fair Pay & Worker Respect

-30

Omnicare Inc. faced a substantiated labor-law violation, resulting in a $1,000,000 settlement approved in September 2021.

1
This stemmed from a lawsuit alleging misclassification of delivery drivers as independent contractors, leading to underpayment of minimum wage, denial of overtime pay, and failure to reimburse vehicle operating costs.
2
Employee feedback indicates low worker engagement, with only 36% of employees recommending working at Omnicare to a friend.
3
The company received a 2.5/5 rating for culture and values, with reviews citing poor management, micro-management, gossip, and bullying as significant issues.
4

Fair Trade & Ethical Sourcing

-20

The company identified two substantiated incidents in its audits: one child labor issue and one forced/prison labor/human trafficking issue.

1
For Zero Tolerance issues, factories are immediately put on probation and orders are canceled. In 2023, 19.5% of the company's sourceable procurement spend was directed to diverse and small business suppliers.
2
The company requires suppliers to provide fair and safe working conditions and treat employees with dignity and respect, as outlined in its Human Rights Policy.
3
Risk-based audits are conducted by an independent third party, and suppliers participate annually in e-learning courses on social, legal, and trade security standards.
4
All palm oil used in store brand products comes from verified, responsible sources and adheres to RSPO Principles & Criteria.
5
As of December 31, 2024, 13% of paper packaging in store brand products had sustainable sourcing certification, with a goal to reach 100% by the end of 2025.
6

Honest & Fair Business

-20

Omnicare promotes an ethical culture of compliance and mandates reporting of suspected fraud, waste, and abuse, providing a confidential disclosure telephone line and email address available 24/7.

1
The company maintains internal control policies and procedures and conducts training and compliance programs for its employees to deter prohibited practices.
2
It states compliance with U.S. and international anti-corruption laws, including the Foreign Corrupt Practices Act of 1977, the UK Bribery Act 2010, and the federal anti-kickback statute.
3
The company is also subject to a Corporate Integrity Agreement
4
and has a Code of Business Conduct and Ethics.
5
Omnicare's mail order dispensing and specialty mail order pharmacies hold accreditations from URAC and the Joint Commission.
6
Its utilization management program and Aetna Life Insurance Company subsidiary are accredited by the National Committee for Quality Assurance (NCQA).
7
The company is also certified under the NCQA Credentials Verification Organization program and has URAC CVO accreditation.
8
Independent registered public accounting firms, KPMG LLP and Ernst & Young LLP, provide unqualified audit reports on the company's statutory financial filings and internal control over financial reporting.
9
,
10
An independent review organization is retained to review compliance with the Corporate Integrity Agreement.
11

Kind to Animals

0

Omnicare Inc. is a healthcare company primarily providing pharmacy and related services to long-term care facilities. Its core business involves dispensing medications and clinical consulting, not manufacturing consumer products, engaging in animal agriculture, or conducting animal testing. The provided articles contain information primarily related to CVS Health's retail operations (e.g., cage-free egg sourcing, cosmetic safety policies, organic product lines) or other unrelated companies. There is no specific, quantifiable evidence in the articles that directly pertains to Omnicare's operations for any of the 'Kind to Animals' KPIs. Therefore, all KPIs are assessed as N/A (tier 0) as they are not applicable to Omnicare's service-oriented business model.

No War, No Weapons

0

No specific, concrete evidence was found in the provided articles to assess Omnicare Inc. against any of the 'No War, No Weapons' KPIs. The articles discuss Omnicare's involvement in a healthcare-related False Claims Act judgment

1
and general export control regulations,
2
,
3
but do not provide data on its revenue from arms contracts, dual-use technology, sales to embargoed regimes, peacebuilding investments, or any other relevant metrics for this ethical value.

Planet-Friendly Business

-40

Net-zero emissions targets across the value chain by 2050 are validated by SBTi, along with targets to reduce absolute Scope 1, 2, and specific Scope 3 emissions by 47% by 2030 from a 2019 baseline.

1
The company reports a 29% reduction in Scope 1 and 2 GHG emissions from the 2019 baseline
2
and a 59% reduction in Scope 3, Category 1 (Purchased Goods and Services) GHG emissions from the 2019 baseline.
3
In 2024, 5.28% of the company's power use was sourced from renewable sources, with a target to reach 50% by 2040.
4
The overall waste diversion rate was 50% in 2024,
5
and 5% of products made with plastic contained recycled content.
6
TCFD recommendations have been embedded within the company's strategy since 2021,
7
and climate-related disclosures are prepared to reflect TCFD recommendations.
8
The company undertakes climate scenario analysis using data from leading sources like the IPCC, IEA, and NGFS, applying it across physical and transition risks and opportunities, and has completed pilot financial quantification of climate-related issues.
9
In 2024, 17% of water withdrawn was from regions with high or extremely high baseline water stress.
10
The company launched a nationwide environmental health impact initiative
11
and invested $3.5 million over four years with the American Lung Association to combat air quality issues, including $1 million for a Phoenix, AZ program.
12

Respect for Cultures & Communities

20

Omnicare provides free language assistance services, including qualified interpreters and information written in other languages, to individuals whose primary language is not English

1
. The company has a formal grievance procedure for individuals who believe they have been discriminated against based on race, color, national origin, age, disability, or sex
2
. Omnicare is also required to have a Disclosure Program, which includes a mechanism for individuals to report potential violations related to Federal health care programs
3
. The CVS Health Ethics Line is available 24/7 for reporting suspected fraud, waste, and abuse
4
. No cultural appropriation incidents have been reported
5
. The company does not have a specific cultural impact assessment protocol, FPIC processes, cultural preservation funding, cultural site protection actions, or a social license to operate, as these are not applicable to its business model
6
. No cultural incidents or controversies have been reported, and thus no specific cultural incident response framework is detailed
7
.

Safe & Smart Tech

0

Omnicare's privacy policy indicates that users can request the removal or modification of their personal information.

1
The company also states that it handles Protected Health Information (PHI) in compliance with HIPAA regulations.
2

Zero Waste & Sustainable Products

-50

Omnicare Inc., as part of CVS Health, had a waste disposal violation in New Hampshire related to hazardous waste rules, discovered in 2011, resulting in a $298,100 settlement.

1
In 2023, for hazardous pharmaceutical waste, 98.32% was incinerated without energy recovery, and only 1.68% was recycled or treated.
2
The company's overall waste diversion rate was 50% in both 2023
3
and 2024.
4
As of December 31, 2024, 45.5% of store brand product components are designated as reusable, recyclable, or compostable.
5
In 2024, 5% of products made with plastic contained recycled content.
6
The company achieved a 9.6% decrease in plastic usage from 2023 to 2024
7
and eliminated 345 million paper receipts in 2024 through digital options.
8
CVS Health has set targets to reduce plastic usage across operations by 50% by 2030
9
and virgin plastic in store brand packaging by 50% by 2030.
10
It has also implemented requirements for all paper carton packaging suppliers to use recycled or certified sustainable sources by the end of 2025.
11
Circular design principles are considered in some product lines, and 86% of store brand products featured How2Recycle labeling by the end of 2024.
12

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.