Novartis AG has confirmed that it would cut jobs as part of a wide-ranging restructuring aimed at saving $1 billion by 2024.
The Swiss healthcare company said that it would integrate its pharmaceuticals and oncology units into two medicines units–one for the U.S. and one that focuses on the international market.
“These efficiencies will come through leaner structures and will inevitably lead to roles being impacted,” a spokesman told Dow Jones Newswires.
“At this time it is too early to indicate any specific numbers,” he added.
This comes after Swiss daily Tages-Anzeiger reported that Novartis would cut thousands of jobs, including more than 100 at sites in Switzerland, citing unnamed sources.
Novartis’s new structure is expected to be in place and operational by end of 2022, the spokesman said.
Because the goal is to have better efficiency through leaner structures, the new initiative will “inevitably lead to roles being impacted,” a Novartis spokesperson said in a statement to Fierce Pharma.
The company wouldn’t confirm whether “thousands” being impacted is in the right ballpark, saying it’s too early to give specific numbers.