Pfizer Global Manufacturing has chosen to eliminate 6,000 pharmaceutical jobs over the next several years as the company plans to reconfigure its worldwide plant network.
The company is making this move in order to create a fully aligned manufacturing and supply organisation from the combined networks of Pfizer and Wyeth. Pfizer Global Manufacturing presently operates 78 plants internationally with a workforce of approximately 33,000 colleagues.
Half-year evaluation
This move is the culmination of an intense half-year evaluation of sites that manufacture aseptic (injectable), soliddose, and biotechnology medicines, as well as consumer healthcare products.
This implementation of the first phase of Pfizer’s previously announced Plant Network Strategy includes recommendations to cease operations at eight manufacturing sites in Ireland, Puerto Rico, and the US by the end of 2015, as well as to reduce operations at six other plants in Germany, Ireland, Puerto Rico, the UK, and the US.
Pfizer stated that the planned reductions will increase manufacturing efficiency and lower costs by more effectively using resources and technology, improving plant processes, eliminating excess capacity, and better aligning production with market demand.
Product transfers will expand the roles of a number of plants in Pfizer’s manufacturing network.
“Today’s announcement is very difficult to make because of its impact on our colleagues,” Pfizer Global Manufacturing president Nat Ricciardi said.
In an effort to preserve jobs and minimise the impact to communities, Pfizer will explore opportunities to divest plants in the event operations are discontinued.
“We are keenly aware of the impact these types of changes have on employees and their families,” Ricciardi said. “We will provide support to our colleagues who lose their jobs so that their transition to new careers is as smooth as possible.”
Changes
The plants earmarked for closure make a wide range of medicines: pills, injectables, biotech drugs and consumer healthcare products. Pfizer hopes to make cost savings of up to $5 billion by 2012.
Pfizer plans to discontinue manufacturing operations over the next 18 months to five years at three solid-dose sites that manufacture tablets and capsules: Caguas in Puerto Rico; Loughbeg in Ireland; and Rouses Point, N.Y., in the US. The company also plans to phase out pharmaceutical solid-dose manufacturing at Guayama, Puerto Rico, and that site will expand its Consumer Healthcare operations.
Two aseptic facilities that make sterile injectable medicines are targeted for exit: Dublin, Ireland; and Carolina, Puerto Rico. Reductions are planned at two other solid-dose facilities: Illertissen, Germany and Newbridge, Ireland.
Recommended Site Exits:
- Caguas, Puerto Rico (solid-dose)
- Carolina, Puerto Rico (aseptic)
- Dublin, Ireland (aseptic)
- Loughbeg, Ireland (solid-dose)
- Shanbally, Ireland (biotechnology)
- Rouses Point, N.Y. (solid-dose)
- Richmond, Virginia (consumer healthcare manufacturing targeted for exit; R&D operations to remain in Richmond)
- Pearl River, N.Y. (proposed exit of biotechnology and consumer healthcare manufacturing; vaccines and biotherapeutics vaccines R&D will remain active at this site)
Recommended Plant Reductions:
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