Boots, the iconic British high street pharmacy, has come under scrutiny for its business practices and ethics. After being bought by US private equity firm KKR in 2007, the company’s focus has shifted towards maximising profits. This has led to accusations of overcharging the NHS, poor treatment of staff, and a controversial move offshore to reduce tax liabilities.
Boots’ transition began when it merged with Alliance Unichem in 2006, creating Alliance Boots. KKR’s acquisition the following year saw the company adopt a more aggressive business model, pushing staff to meet targets and allegedly overcharging the NHS for prescription drugs.
Many employees have reported concerns over patient safety due to the pressure to sell medicines and meet targets. Former staff members have accused the company of creating a culture of fear and stress. Boots has denied these allegations, stating that patient safety is its top priority.
Meanwhile, the company’s tax arrangements have also raised eyebrows. After the KKR takeover, Boots’ headquarters were moved to Switzerland, significantly reducing its UK tax bill. Critics argue this move is depriving the UK economy of vital funds.
Despite these controversies, Boots remains a staple of the British high street. However, questions about its business practices and commitment to the public good continue to cast a shadow over the brand.
Go to source article: http://www.theguardian.com/news/2016/apr/13/how-boots-went-rogue