Medical-products giant Johnson & Johnson, New Brunswick, N.J., said it will cut up to 8,200 jobs globally, or 7% of its workforce, and eliminate layers of management in a move to cut costs.
Johnson & Johnson plans to trim workforce by 7%
“We are announcing a series of actions and plans designed to ensure that our company remains well-positioned and appropriately structured for sustainable, long-term growth in the healthcare industry,” said J&J Chairman and CEO William Weldon in a news release.
Company officials expect the downsizing and other unspecified restructuring efforts to generate $1.4 billion to $1.7 billion in pre-tax savings by 2011 with up to $900 million of the projected savings being realized in 2010. J&J expects up to $1.3 billion in pretax restructuring charges during the final quarter of 2009.
In August, J&J cut its comprehensive-care business unit as a first step toward what company officials say is an ongoing restructuring effort.
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