Savings and downsizing program: Bayer governs the red pencil

economy

Wednesday, November 28, 2018

At Bayer, some construction sites are too. The pharmaceutical and agricultural company based in Leverkusen reacts, among other things, to the declining activities of its Consumer Health division. Jobs are also disappearing in other areas.

The pharmaceutical and agricultural giant Bayer plans in a newspaper that a new austerity program providing for many job cuts. Most importantly, it affects struggling companies with over-the-counter (Consumer Health) health products, Handelsblatt reported, citing business circles.

It is true that the jobs in pharmaceutical research and in the agricultural sector, which Bayer had expanded with the acquisition of Monsanto, should also be abolished. However, there will be no dismissal at least in Germany. In Germany, the site security contract, which the group has concluded with workers' representatives by the end of 2020, is applicable. But this does not apply to the Consumer Health division, headquartered in Basel, Switzerland. It is unclear how many jobs will be eliminated. Bayer did not want to comment on this.

On December 5, during a conference of investors in London, the group Leverkusen Dax wishes to inform badysts and fund managers of the business prospects of his company. The head of consumer health, Heiko Schippers, told badysts in mid-November that he wanted to give a more detailed insight into how to revive the business. According to insiders, Bayer wants to examine the sale of certain brands in individual countries, where stores are too small to grow in the long run.

"Strong changes" also in pharmaceuticals

But the pharmaceutical division is also facing preliminary changes, with Bayer conducting a search of all research and development sites around the world since the beginning of the year under the name "Super Bowl" project. In September, Reuters learned from an insider that job cuts, relocations and outsourcing testing were possible. There will be "strong changes". The group also checks insider options for its veterinary activities.

The Bayer company committee had already expressed its concerns in October regarding the employment situation in the company and demanded long-term security beyond 2020. The board of directors must also clarify the consequences of the announced announcement of the US giant Monsanto seed acquisition of employee savings.

A person familiar with the subject said that the austerity measures are not in Basel. The three divisions should expect appropriate action.

Source: n-tv.de