Industryweek 7118 Amgen Logo F

Amgen to Cut Up to 15% of Workforce, Mostly in US

July 30, 2014
The biotech company, which also will close two manufacturing facilities, reported the workforce reduction as it announced a 23% increase in net earnings for the second quarter compared with a year ago.

NEW YORK - Biotechnology company Amgen (IW 600/67) announced Tuesday that it will cut between 2,400 and 2,900 jobs and shutter two facilities in the United States in a reorganization to save money.

Amgen (AMGN) plans to close facilities in Washington and Colorado as it cuts 12% to 15% of its workforce, with most of the job losses coming in the U.S.

Amgen will consolidate some staff into headquarters in Thousand Oaks, Calif., and expand in biotechnology hubs in San Francisco and Cambridge, Mass., the company said.

The moves will also shrink the company's facilities "footprint" by 23%, Amgen said.

"From a position of strength, we have announced today restructuring initiatives that will allow us to reallocate resources to invest in our upcoming launches and drive growth," said Amgen chief executive Robert Bradway.

Bradway said that communities near the shuttered facilities have been "very supportive" and that the decision to close the sites were taken with "great reluctance."

The company is in talks with other groups about potential future use of the facilities, he said.

The job cuts were announced as Amgen reported second-quarter earnings of $1.5 billion on revenues of $5.2 billion.

In the year-ago period, Amgen notched earnings of $1.3 billion on revenues of $4.7 billion.

Copyright Agence France-Presse, 2014

Popular Sponsored Recommendations

What Does Agility Look Like for Today's Auto Industry?

Dec. 4, 2023
Without modern technologies, enterprises aren't able to fully analyze the risks and respond to ongoing supply chain issues and semiconductor shortages.

How to Build Zero-Cost On-Site Solar and Storage Projects

Nov. 25, 2023
The Inflation Reduction Act offers tax credits, incentives, and financing that enable no-cost projects. In Enel’s eBook, discover the critical role that incentives play in your...

Discrete and Process Manufacturing 2024 Trends and Outlook for North America

Oct. 29, 2023
Manufacturers are reaping the benefits of automation and cloud-based solutions. Discover what is driving today's industry trends and how they can shape your growth priorities ...

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!