The drugmaker, which has been signaling for months that cutbacks would be made late this year, is now looking to eliminate jobs, including scientists at its research campuses in Groton and New London, Connecticut, next month as part of various organizational changes,The Day reports. Sales reps are also expected to be thrown overboard.
In a letter to employees, Rod MacKenzie, Pfizer's head of worldwide discovery research, wrote that, "given the complexity of the changes within research, I have concluded that we will not be able to provide that clarity or communicate them by the end of the year," the paper writes. "However, I remain committed to reshaping worldwide research, to getting these decisions right, and we will communicate the organizational changes, and what they mean to every Worldwide Research colleague, as soon as possible."
Last October, you may recall, Pfizer reorganized into three business units and made plans to drop research in several therapeutic areas. At the time, the drugmaker acknowledged layoffs would occur, but not immediately (back stories here, here and here).
8 Comments
These cuts should not run that deep. This is more a sign of Pfizer becoming more lean & efficient than a reaction to the economic environment. While many strike a cause for alarm, similar to Merck, these are operating cost decisions that would necessary, even in the healthiest of market environments.
It should be relatively easy to become 'more lean and efficient' when one is incredibly bloated and inefficient, right?
One could also say that there's only one way (up) from the bottom. Unfortunately, there is also the option of crawling along the bottom and eating whatever detritus that one might find there. The latter is the Pfizer way.
The cuts will be moderately severe this time (let's say 20-25% of some functions, sales, and Research). But this is only the beginning. The saga of Pfizer's slow transition from #1 to #15 in the business is only starting...
The company needs to layoff thousands in order to make up for the shortfall coming in 2011, a shortfall that will cost them $12 Billion annually. They don't have much in their pipeline - and what they do have just won't cover it. They need to consolidate operations, eliminating manufacturing production, sales and reduce R&D.
If you think you might be affected by the layoffs, you're a scientist (cell culture development, biochemical assays), or in business development, let me know. I know of a very profitable and growing company who is hiring and who is in a nice warm climate as well.
forgot to leave my email - tracy@alignedresources.net.
It's good to see, after Pfizer's complicity in the Kelo vs. New-London case that has effectively destroyed individual property rights in the name of private profit, that the benefits that the New London Council were seeking were unsustainable for more than two years.
But they have enough money to buy Wyeth...
How can you justify layoffs for a few thousand when you turn around and then spend $68,000,000,000.00 to buy another company? Doesn't matter how many you let go as long as you can line your pockets a little better onteh way out the door.