J&J's DePuy Synthes cuts 400 existing jobs, creates 80 new jobs
- DePuy Synthes, a medical device unit of J&J, is reorganizing.
- Part of the reorganization involves eliminating 400 existing jobs, which represents 2% of the total workforce.
- The reorganization also includes creating 80 new jobs.
DePuy Synthes is a relatively new acquisition for Johnson & Johnson, which bought this West Chester, PA-based company in 2012 for $21.3 billion. The company cites “seismic shifts in the healthcare market” as the driving force behind the job cuts and the overall organization. Broadly, the challenges include the rising costs of developing new products, as well as the risks. In addition, hospitals are putting pressure on device manufacturers in light of general belt-tightening in light of the Affordable Care Act.