When drugmaker Bayer set out to acquire seedmaker Monsanto, it said the merger would create jobs. Now, less than six months after sealing the deal, Bayer is axing 12,000 jobs:
The restructuring will include a reduction of around 12,000 of 118,200 jobs worldwide, a significant number of them in Germany, the company said today.
“The planned reduction of around 12,000 jobs worldwide by the end of 2021 is accounted for as follows: at Pharmaceuticals, approximately 900 jobs in R&D and around 350 positions in connection with the factor VIII facility in Wuppertal; roughly 1,100 jobs associated with the reorganization at Consumer Health; around 4,100 positions at Crop Science as the result of integrating the acquired agriculture business; and a further 5,500 to 6,000 jobs in the Corporate Functions, supporting functions, Business Services and country platforms.”
During a call with reporters today, CEO Werner Baumann emphasized that the changes were “positioning the company for the future” and were “not made necessary by the recent acquisition” and “certainly, not by glyphosate litigation in the U.S.
“Absolutely nothing to do with it.” Baumann said [Sara Wyant, “Bayer Plans to Cut Jobs, Sell Animal Health Business,” Agri-Pulse, 2018.11.29].
Bayer’s statement does not make clear exactly where all 12,000 layoffs will take place.
First thing that happens with any major merger is a bunch of employees get the ax so the investors can start recouping their investments.
I’m sure this is somehow Trump’s fault or the GOP right? Probably Noem’s.
This is drumpf’s fault- https://www.cbsnews.com/news/trump-steel-auto-industry-tweets-fact-check-steel-and-auto-companies-investing-big-in-us/
Obama’s last year there were 31k new jobs in auto industry. That number shrunk to about a quarter in Drumpf’s first year.
Sorry for the OT.
“First thing that happens with any major merger is a bunch of employees get the ax so the investors can start recouping their investments.” You need to rethink thinks in a rational manner before posting.
mike, imagine you owned a widget store and had one cashier. You then bought the widget store from across the street that had one cashier and moved the inventory to your store. Why would you keep both cashiers when you only needed one? You wouldn’t so what would you do? You would lay off the cashier you didn’t need.
mfi, clearly the Russian is still unclear about how capitalism works. In Saint Petersburg, some still think Communism was the way to run business, this Russian is old school. What time will you and Pearson and the other troll get your paytroll checks? In time for happy hour we all hope.
12,000 workers equates to about 40,000 to 50,000 people’s jobs directly and indirectly in the Monsanto-Bayer crooked economic scheme to raise prices even further on captive markets.
In the United States, the trump closures of 5 American plants and the loss of 15,000 blue and white collar jobs, equates to about 60,000 actual job losses directly and indirectly. We have a plan though, give Americans a $3,500.00 rebate to buy an overpriced American car at it’s inflated price due to tariffs. Makes perfect sense if you have no sense at all.
Mergers, acquisitions, and forced buy-outs nearly always are detrimental to employees, the communities in which the corporations operate, and the quality of the products and services they offer. The goal is to create monopolies and eliminate competition. It is not to benefit anyone but the shareholders. It is never done to contribute to the well being of the country. The history of the Trump Organization is the history of corporate America.
My ex-neighbor took a job at the Bayer Sacramento ag research operation last month. I heard they would be consolidating some things there, sell off other things. The Monsanto operation in this area closed down a year ago.
jerry, I’m actually of German/English heritage but I have nice teeth.
trump does too, but he is still a Russian lover as you are a Russian troll. Now get on over to collect your paytroll check. You both have sold out the United States for your own pockets. That is not treason, it is espionage. Your kind of espionage is much like Butina’s. You won’t go to the hoosegow, but Johnson’s sweety is there now.
This is going to be very odd for me. I’m going to stand up for Bayer, at least a bit. My ex-neighbor had been working in academia for a number of years, doing research on the intersection of crop genetics and various environmental inputs. There is no employer less concerned with employees than academia. Generally low pay for Ph.Ds is the rule. It’s a bit more than high school teachers, and they can live in a bit better shelters and eat a little higher off the hog, but you ain’t gonna get rich being a Professor, unless you are in a very hot field and you can spin your research off into a business or write a best-selling book. So when Bayer came calling my neighbor got her entire move paid for. They paid for several flights back to take care of last minute business and finalizing their move. They gave her ample time off to find housing in the Sacramento area. She was a little hesitant about taking a job in corporate ag. It wasn’t what she envisioned, but when a last talked to her, she said she was “bought.” She said they treat their employees like they care. Making six digit income after starving in post docs helps.
But jerry you keep paying me. A little bit of every tax penny you pay makes it’s way into my pocket. Nothing you can do can stop it either.
Putin’s tentacles run deep Russian, don’t I know it. Enjoy your paytroll in the United States Mail today and as you spend Putin’s money, a little bit of those tax pennies make their way back to my pocket, so there is that.
Poor OldSugartit. a bit of every penny you pay in taxes goes to the poor people you right wing nut jobs detest the most. That’s right, ME! Wah wah wah! And there ain’t nothing you can do about it.
Steve, you see a lot of ghosts, don’t you?
Why raise an argument that I did not raise?
Donald Pay, I certainly have to express my respect for any employer that pays people what they are worth. Has your friend heard if her job is safe?
I think an ethical government ought to require an iron clad contract that includes details about jobs, locations, etc., before granting any mergers or tax deals. The contract would include suitable, very large financial penalties.
I predicted when Trump was elected there would be major layoffs coming in about 18 months. These and the big GM layoffs are at 21. Pretty close. How are those tax cuts going with creating jobs, republicans? Try telling these laid off workers that the republican tax cuts are good for business.
Bayer is a nice,German company. During WWII they used forced labor workers from the German concentration camps. They were able to keep production up, and the labor costs were next to nothing.
Very close, Jenny.
Pootiepublicans have no idea how to manage an economy. Even before Pootie owned the GOP, they were still bad at managing an economy starting with the incompetent and corrupt Reagan.
https://qz.com/africa/1900035/the-lie-of-monsantos-genetically-modified-cotton-in-burkina-faso/
Monsanto knew of the problems years before farmers quit growing this stuff. Sound familiar? Governments protect the mighty from the abused.