The largest and most broadly based healthcare company in the world, Johnson & Johnson company has said that it will cut some jobs due to inflationary pressure and challenges created by the strong dollar.
The company posted better-than-expected Q3 earnings. However, there will be various job functions that would be affected and layoffs will be due to a major restructuring.
The company has announced results for third-quarter 2022. “Our third quarter performance demonstrates our continued strength and resilience across all three of our businesses,” said Joaquin Duato, Chief Executive Officer.
“Through the ongoing efforts of our teams around the world, we continue to navigate the dynamic macroeconomic environment and remain focused on delivering transformative healthcare solutions. Looking ahead, I remain confident in our business and ability to continue advancing our innovative portfolio and pipeline”, Joaquin Duato added.
Chief Financial Officer Joseph Wolk said in an interview, “J&J is likely to make modest cuts to its workforce both as a result of economic pressures and in connection with the planned separation of its consumer-health business next year.”
“We’re not immune to some of the economic pressures that are out there just like many companies are facing in many industries,” Mr. Joseph Wolk said in the interview.
“So we’re taking this opportunity to really look at the resources, how we deploy them”, Joseph Wolk added.
- The company reported sales growth of 1.9% to $23.8 Billion with operational growth of 8.1%* and adjusted operational growth of 8.2%.
- Earnings per share (EPS) of $1.68 increased by 22.6% and adjusted EPS of $2.55 decreased by 1.9%.
- The company is maintaining 2022 full-year guidance midpoints for adjusted operational sales and reported adjusted EPS; increasing adjusted operational EPS performance and offsetting continued unfavorable currency impacts.
J&J has not quoted the exact number of layoffs. However, The company will continue to invest in research and development and hire new scientists.