Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Pharmaceutical company Abbott is currently in the process of making 650 of its staff in Ireland and the US redundant. The company, which produces pharmaceuticals, medical and nutritional products, says that these job reduction measures form part of a previously communicated adjustment strategy set out to increase its efficiency.
According to reports, the company has issued redundancy notices at its Temecula plant in California, US, which specializes in vascular devices, affecting 450 of its staff. The job cuts were primarily located in the company’s manufacturing and manufacturing support divisions, affecting full-time employees only. While the Temecula plant continues to employ around 2,000 staff, the plant has witnessed a loss of 1,000 positions since January 2012.
At the same time, the company also intends to eliminate 200 positions in Ireland. The job cuts will be affected at the company’s Clonmel plant, which also specializes in vascular devices and currently employs around 1,400 staff. According to Abbott, these job reduction measures have become necessary due to a downturn in demand for the company’s older products.
According to reports, the company wants to focus on voluntary redundancies and also plans to not renew temporary contracts. Moreover, Abbott remains committed to assist those affected by redundancies and in Ireland a 30-day consultation period with employees has been initiated.
The global healthcare company currently employs around 70,000 employees across 150 countries. American based Abbott has been continuously reducing its staff over the past 3 years (see here).
Eurofound (2013), Abbott, Internal restructuring in World, factsheet number 74968, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/74968.