What might be causing extreme pain in the heels like needles sticking?

Plantar fasciitis . Plantar fasciitis is the most common cause of heel pain, it responds well to conservative therapies such as rest, ice, stretching, anti-inflammatories, arch supports, and good shoes.
Plantar fasciitis. Try some shoe inserts like 'walk-fit" from target daytime and then a night splint to stretch it out at night and help resolve problem. At times we inject the sore area with steroids to get faster and longer term relief. Surgery is last option if the others don't fix it. Expect the inserts and splints to take 3-4 months to resolve this.