Johnson & Johnson said Tuesday it would cut about 3,000 jobs in the unit for medical devices, as part of efforts to eliminate annual costs by 1 billion. Dollar business that manufactures equipment for sterilization and surgical instruments, writes Wall Street Journal.
Positions that will be eliminated, representing 2.5% of the global workforce of the company and 6% of its segment for medical equipment.
Sales of Johnson & Johnson medical device in recent times do not perform well. In the first nine months of the year fell by 2.9 percent globally and 3.4 percent in the US The company said its restructuring reflects the “changing needs of the global market for medical devices.”
The move covers the business of Johnson & Johns, related to orthopedics, surgery and cardiovascular diseases. The company announced that consumer medical devices for diabetics and vision care will not be affected by the restructuring plan.
Although it does not specify details of the release of a business, J & J says it expects “the potential impact on sales is minimal.”
The company aims to cut 800 million. 1 billion. Dollars before costs Taxing them on an annual basis by the end of 2018 J & J said the restructuring will give it greater flexibility to fund new growth.
While Johnson & Johnson suffers from currency fluctuations, the expiration of some patents that use and increased competition in many of its pharmaceutical products, such as drugs to treat hepatitis C – Olysio.