J&J cuts jobs, invests in core brands
This article was originally published in The Tan Sheet
Executive SummaryJohnson & Johnson will cut 6 percent to 7 percent of its global workforce in response to external pressures on the health care industry, the firm said Nov. 3. Cuts will come from all the core businesses: pharmaceuticals, medical devices and consumer products. Job eliminations will take place globally, but mostly outside the U.S., and will reduce "layers of management," CEO William Weldon said during a same-day conference call. The plan will yield pre-tax cost savings of $1.4 billion to $1.7 billion in 2011, with $800 million to $900 million expected to be achieved in 2010. J&J plans to invest the savings in key innovation opportunities and core businesses, including the mouthwash Listerine, allergy-relief medication Zyrtec and skin care lines Aveeno and Neutrogena, Weldon said
You may also be interested in...
US investigators fan out to non-China inspection priorities and Secretary Azar talks supply management; warning letters hit record keeping, investigations and basic GMP compliance.
Mallinckrodt to pay $1.6bn and place its generics unit in bankruptcy under agreement in principle for US global settlement; six states are not on board, including New York, whose suit is still set to go to trial March 20.
The company has reached a broad opioid settlement agreement in principle under which its specialty generics subsidiaries would file for Chapter 11 bankruptcy and Mallinckrodt's branded business would operate separately.