Novartis cuts 700 management positions in Switzerland
Novartis has announced it will cut 700 management positions in Switzerland, half of the 1,400 job cuts announced at the end of June by the Basel-based pharmaceutical group. As the “Neue Zürcher Zeitung” reported on Monday, this is an unprecedented situation in Switzerland.
Novartis announced in a media briefing on Monday that the consultation period, which ended late last week, was being conducted one-on-one with relevant executives and in order to streamline its hierarchy and eliminate duplication in a range of functions, particularly in marketing, finance and legal services.
The laid-off people were offered a "generous" redundancy package, as well as assistance in finding a new job and the possibility of early retirement. The dismissed managers will benefit from a waiting period of 4 months and a notice period of 6 months.
Novartis says many executives are concerned but "not particularly frustrated or angry."
Indeed, as the “Tages-Anzeiger” pointed out in mid-July, pharmaceutical executives are in high demand in the Basel industry, which can make a layoff an opportunity to negotiate a salary increase with a future employer.
In late June, Novartis announced it was cutting 1,400 jobs out of a total of 11,600 in Switzerland and up to 8,000 jobs out of a total of 108,000 employees internationally, as a result of a restructuring.
Goal of retooling is to reduce costs by at least $1 billion annually starting in 2024
Le matin ch – Published 22 août 2022
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