Baxter caps cash severance payouts for executives

Baxter International has prohibited cash severance payments that exceed three times the total of an executive’s salary and target annual bonus opportunity without shareholder approval.

The company disclosed the new policy as it restructures the business and cuts staff while looking to rebound from a multibillion-dollar net loss for 2022.

Deerfield, Illinois-based Baxter is the world’s 10th largest medical device company, according to the Medtech Big 100 list.

That ranking was based on Baxter’s $12.78 billion in revenue for 2021; the company last week reported 2022 sales of $15.1 billion and a full-year loss of $2.4 billion. That loss was primarily due to a $3.1 billion charge related to Baxter’s purchase of Hillrom.

Baxter announced the executive severance policy yesterday while naming presidents for its vertically integrated global business units. The company last week announced layoffs as it restructures the busin…

Read more
  • 0

Johnson & Johnson faces another ballot battle on racial justice audit

Johnson & Johnson is fighting another shareholder proposal for an independent racial justice audit of the company.

New Brunswick, New Jersey–based J&J (NYSE:JNJ) defeated a similar measure at last year’s annual meeting of shareholders, though the vote was far from a landslide. The company also unsuccessfully petitioned the U.S. Securities and Exchange Commission to keep it off the ballot.

Now, an independent audit is again up for consideration at the April 28 annual meeting after surviving another J&J appeal to the SEC.

Proponents of the audit cite ongoing controversies over talcum powder allegedly marketed to minorities. They also point to the J&J Political Action Committee’s financial support of Republican members of Congress who voted to overturn President Joe Biden’s election after insurrectionists stormed the U.S. Capitol.

Get the full story at our sister site, Medical Design & Outsourcing.

Read more
  • 0