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Released December 17, 2018 | GALWAY, IRELAND
en
Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Germany will be one of the countries hardest hit by Bayer AG's (Leverkusen, Germany) plans to cut 12,000 jobs globally, approximately 10% of its workforce.
The chemicals major said that the cuts will include about 350 positions at the newly built Factor VIII blood-clotting protein manufacturing facility in Wuppertal, Germany, which will be sold. The planned reduction of about 12,000 jobs worldwide by the end of 2021 will be reached by cutting 900 jobs in Pharmaceuticals research and development; roughly 1,100 jobs associated with the reorganisation at Consumer Health; about 4,100 positions at Crop Science as the result of integrating the acquired agriculture business Monsanto; and a further 5,500 to 6,000 jobs in the Corporate Functions, supporting functions, Business Services and country platforms. Since the announcement, more than a 1,000 employees have protested at the Wuppertal facility. The company had previously claimed that there would be no German job cuts before 2025.
Bayer said that it needs to "strengthen its core life science businesses." As such, it will exit the Animal Health business and the sun-care and foot-care businesses entirely by offloading the Consumer Health brands Coppertone and Dr. Scholl's. It also will sell its 60% interest in Currenta, a site services provider in Germany.
"These changes are necessary and lay the foundation for Bayer to enhance its performance and agility. With these measures, we aim to take full advantage of the growth potential for our businesses," said Werner Baumann, chairman of the board of management of Bayer AG. "We are aware of the gravity of these decisions for our employees. As in the past, we will implement the planned measures in a fair and responsible way."
He added: "We have made very good progress with Bayer's strategic development in recent years. As we now proceed with these measures, we are laying the foundation to sustainably enhance Bayer's performance and profitability. With these measures, we are positioning Bayer optimally for the future as a life science company."
Bayer has been suffering since its takeover of Monsanto, makers of the Roundup and RangerPro weedkillers, that have been under the spotlight since August when a U.S. court ruled that the Roundup weedkiller was responsible for causing cancer in a groundskeeper. Bayer saw 10% knocked off its share value and the company is now facing 5,000 similar lawsuits over the company's glyphosate-based weedkillers in the U.S. For additional information, see August 20, 2018, article - Roundup Cancer Ruling Knocks 10% of Bayer's Shares.
Industrial Info is tracking Bayer and Monsanto projects worth more than $3 billion across the Chemical Processing, Food & Beverage and Pharmaceutical sectors. For additional information, see September 15, 2016, article - Bayer-Monsanto Merger Encompasses $3.25 Billion of Projects.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Our European headquarters are located in Galway, Ireland. Follow IIR Europe on: Facebook - Twitter - LinkedIn For more information on our European coverage send inquiries to info@industrialinfo.eu or visit us online at Industrial Info Europe.
The chemicals major said that the cuts will include about 350 positions at the newly built Factor VIII blood-clotting protein manufacturing facility in Wuppertal, Germany, which will be sold. The planned reduction of about 12,000 jobs worldwide by the end of 2021 will be reached by cutting 900 jobs in Pharmaceuticals research and development; roughly 1,100 jobs associated with the reorganisation at Consumer Health; about 4,100 positions at Crop Science as the result of integrating the acquired agriculture business Monsanto; and a further 5,500 to 6,000 jobs in the Corporate Functions, supporting functions, Business Services and country platforms. Since the announcement, more than a 1,000 employees have protested at the Wuppertal facility. The company had previously claimed that there would be no German job cuts before 2025.
Bayer said that it needs to "strengthen its core life science businesses." As such, it will exit the Animal Health business and the sun-care and foot-care businesses entirely by offloading the Consumer Health brands Coppertone and Dr. Scholl's. It also will sell its 60% interest in Currenta, a site services provider in Germany.
"These changes are necessary and lay the foundation for Bayer to enhance its performance and agility. With these measures, we aim to take full advantage of the growth potential for our businesses," said Werner Baumann, chairman of the board of management of Bayer AG. "We are aware of the gravity of these decisions for our employees. As in the past, we will implement the planned measures in a fair and responsible way."
He added: "We have made very good progress with Bayer's strategic development in recent years. As we now proceed with these measures, we are laying the foundation to sustainably enhance Bayer's performance and profitability. With these measures, we are positioning Bayer optimally for the future as a life science company."
Bayer has been suffering since its takeover of Monsanto, makers of the Roundup and RangerPro weedkillers, that have been under the spotlight since August when a U.S. court ruled that the Roundup weedkiller was responsible for causing cancer in a groundskeeper. Bayer saw 10% knocked off its share value and the company is now facing 5,000 similar lawsuits over the company's glyphosate-based weedkillers in the U.S. For additional information, see August 20, 2018, article - Roundup Cancer Ruling Knocks 10% of Bayer's Shares.
Industrial Info is tracking Bayer and Monsanto projects worth more than $3 billion across the Chemical Processing, Food & Beverage and Pharmaceutical sectors. For additional information, see September 15, 2016, article - Bayer-Monsanto Merger Encompasses $3.25 Billion of Projects.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Our European headquarters are located in Galway, Ireland. Follow IIR Europe on: Facebook - Twitter - LinkedIn For more information on our European coverage send inquiries to info@industrialinfo.eu or visit us online at Industrial Info Europe.
