Johnson & Johnson said on Nov. 3 it will slash between 6% and 7% of its global workforce, more than 7,000 jobs, to cut costs.

The global restructuring is expected to generate up to $1.7 billion in annual savings when it is fully implemented in 2011, the company said.

In 2010, the cost savings would be roughly $800 to $900 million.

Johnson & Johnson said it expects to take a pre-tax restructuring charge of $1.1-1.3 billion in the current fourth quarter.

J&J, which makes drugs, consumer products and medical devices, has about 117,000 employees worldwide, which would bring the number of jobs to be eliminated to a range of 7,000 and 8,200.

The global restructuring moves are "designed to strengthen the company's position as the world's leading global health care company," the New Brunswick, New Jersey-based firm said. "The associated savings will provide additional resources to invest in new growth platforms."

The maker of a wide range of products, including Neutrogena skin care products, Band-Aid wound strips and migraine prescription drug Topamax, repeated its 2009 full-year earnings guidance of $4.54 to $4.59 per share.

"Johnson & Johnson has long adhered to a broad-based operating model and set of sound management principles that have driven our success," said William Weldon, J&J chairman and chief executive. "Today, we are announcing a series of actions and plans designed to ensure that our company remains well-positioned and appropriately structured for sustainable, long-term growth in the health care industry."

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