AstraZeneca to cut 1,150 staff in the US
pharmafile | December 8, 2011 | News story | Research and Development, Sales and Marketing | AstraZeneca, cuts
AstraZeneca will cut around 1,150 positions in the US as large patent expiries loom.
The cuts will come primarily from its sales force and will account for roughly 24% of the company’s sales organisation in the US. The firm said that some leadership roles would also be affected.
Rich Fante, president of AstraZeneca US, said: “These are difficult decisions that impact valued employees. The changes we are making, however, will help us deliver better results for our business and, most importantly, continue delivering on our mission of patient health.”
The firm said that all employees would have the option to potentially leave the company before the decision was finalised in February next year.
AstraZeneca has about 61,000 employees across the globe, with around 14,000 based in North America.
This change to the US sales force is part of an ongoing restructuring programme that was announced in January last year.
As a result, AZ said it would incur restructuring costs estimated at between $50 million to $100 million, which will be charged in the fourth quarter of 2011.
The company faces the loss of US patent protection in the coming years for some of its biggest drugs, including heartburn treatment Nexium, cholesterol-lowering pill Crestor and antipsychotic Seroquel.
A number of big pharma firms have also cut their sales teams to reduce costs ahead of major patent expiries.
This includes Pfizer that cut 11% if its workforce – mainly in sales and administration – in Spain this September, and Novartis that cut 1,400 US sales jobs this time last year.
Ben Adams
Related Content
NICE recommends Benralizumab for Rare Form of Vasculitis
The National Institute for Health and Care Excellence (NICE) has recommended AstraZeneca’s benralizumab (Fasenra) as …
NICE approves AstraZeneca’s dual immunotherapy for advanced liver cancer
AstraZeneca has received a positive recommendation from the National Institute for Health and Care Excellence …
Purpose and people: the enduring power of brand and the evolution of employer identity
Two decades ago, terms like purpose and people were rarely at the forefront of branding …
