Siemens Healthineers has let go of 67 workers at a diagnostics facility in Flanders, New Jersey, according to a notice filed with the state Department of Labor & Workforce Development.
The WARN notice from Siemens Healthcare Diagnostics, which the state received on June 8, said the layoff goes into effect on September 7. It cited a variety of external economic headwinds.
Employees who are being let go can apply for any internal position for which they are qualified, according to the notice. The company is providing the workers with wages for the notice period, severance, pay for PTO accrued but not used, and COBRA health insurance benefits.
A Siemens Healthineers spokesperson could not be immediately reached for comment.
The notice comes about a month after Siemens Healthineers released results for its second quarter ended March 31. During the quarter, revenue at the company’s Diagnostics business fell 39% on a comparable basis due to tapering rapid COVID-19 antigen test demand.
CEO Bernhard Montag spoke during the earnings call about radically simplifying the Diagnostics business, including doing away with legacy platforms in favor of the company’s Atellica instruments.
Said Montag: “To some extent, the deeper the cuts and the more decisive the actions in this fiscal year, the more confident we can be about the trajectory moving forward.”
In addition to the Diagnostics transformation, company officials also announced plans to discontinue the use of its Corindus surgical robotics for cardiology procedures.
MassDevice has reported on more than 18,000 medtech employees who have been let go since mid-2022. Generally, inflation and supply chain challenges have made it more expensive to run a business. Medtech specifically has had to grapple with lingering operational challenges at health provider customers.