Walgreens Cuts Paid Holiday Pay for Hourly Staff

Hourly employees at Walgreens are facing a significant change in their benefits: the company has eliminated paid time off for major holidays unless staff members actually work on those days. This new policy impacts some of the most widely recognized holidays in the U.S.

New Holiday Pay Policy

Bloomberg confirmed that the affected holidays include Thanksgiving, Christmas, New Year’s Day, Memorial Day, the Fourth of July, and Labor Day. Previously, hourly employees who met certain company criteria could receive holiday pay even if they weren’t scheduled to work on those specific days.

This policy shift was communicated to employees in October, shortly after Walgreens was acquired by the private equity firm Sycamore Partners. While Walgreens has not issued a public statement on the change, it appears to be part of a larger operational restructuring.

Broader Cost-Cutting Measures

This decision follows a series of cost-cutting measures implemented by the retail pharmacy giant. In 2024, Walgreens announced plans to close approximately 1,200 stores across the United States. More recently, around 80 corporate employees were laid off, signaling significant internal changes since the acquisition.

For hourly workers at Walgreens, the message is clear: if they want to receive holiday pay, they must be present and working on the actual holiday. The company has not yet responded to media inquiries regarding this new policy.