Business & Finance

Johnson&Johnson announces 3,000 layoffs

937fd76b9a51c4889115_johnson_johnsonlogo.jpg
937fd76b9a51c4889115_johnson_johnsonlogo.jpg

NEW BRUNSWICK, NJ – Johnson&Johnson, the worldwide pharmaceutical and health care giant, has announced the restructuring of its Medical Devices businesses which will lead t0 3,000 layoffs over the next two years, roughly two percent of the company’s 127,000 employees worldwide.

The J&J family of companies – including Janssen, Cordis, Ethicon and others - employs tens of thousands of people in central New Jersey, with major facilities in Bridgewater, Montgomery, Somerset, Piscataway and Raritan. Its world headquarters are located in New Brunswick.

The layoffs represent 4 to 6 percent of the Medical Devices segment’s global workforce, according to J&J.

Sign Up for E-News

The restructuring will not affect J&J’s consumer medical devices, pharmaceuticals or consumer businesses, according to the company.

“As a market leader, we are committed to leveraging our breadth and scale to shape the future of the medical device industry, for the benefit of those we serve,” said Gary Pruden, chairman, of J&J’s medical devices unit.

“The bold steps we are taking today are to evolve our offerings, structure and footprint and increase our investment in innovation,” he added. “These actions recognize the changing needs of the global medical device market and will deliver more value to customers, increasing our competitive advantage and driving growth and profitability for our business.

“These actions recognize the changing needs of the global medical device market,” Pruden added.

The restructuring focuses on the company’s orthopedics, surgery and cardiovascular businesses which have suffered losses this year, according to J&J. Sales of medical devices, including DePuy orthopedic implants and Ethicon surgical equipment, have been slumping.

Three months ago the company reported sales of medical devices dipped 7.3 percent to $6.1 billion in the previous fiscal quarter. Also in October, J&J sold its Cordis heart devices unit, which had accounted for about 25 percent of all device sales.

TAP Into Another Town's News:

You May Also Be Interested In

Sign Up for E-News

Somerville

New DMV Facility in South Plainfield Should Ease Crunch in Somerville

April 22, 2018

 

 

SOMERVILLE, NJ  - B. Sue Fulton is just beginning to find her away around her new office in Trenton , but the newly-sworn director of the Department of Motor Vehicles found her way to Somerville Saturday at the invitation of state Sen. Christopher Kip Bateman for a visit to the local DMV office on Roosevelt Place which has been causing headaches for neighborhood ...

Atlantic Health Partners to Form Clinical Research Consortium

April 23, 2018

PHILADELPHIA, PA - Seeking to bring clinical trials and innovations in medicine even closer to home, Atlantic Health System, parent company of Summit's Overlook Medical Center, is now part of a group of six regional health systems that are founding members of a nonprofit clinical research consortium – Partners in Innovation, Education, and Research (PIER Consortium) ...