Boston Scientific Laying Off Up to 600

Boston Scientific announced that it will lay off between 500 and 600 workers as it shifts resources from its cardiac rhythm management (CRM) research and development business.

Jim Tobin, CEO of the Natick, MA-based medical device manufacturer, said the move is to bolster its more ‘productive’ areas.
 
“This plan will shift resources from less productive projects to more productive ones, reinvigorating our product pipeline and driving top-line growth,” said Tobin in a statement.

The layoffs will come in research and development, as well as other positions, during the first quarter. It will result in after-tax costs of $70 million, the company said. Those costs include “change-in-control payments” from last year’s Guidant buyout.

Savings will be redirected into research and development, with the focus on a selective number of projects. No specifics on those projects were given late Monday. The majority of layoffs will be at the company’s CRM facility in Arden Hills, Minn.
 
Also, the company said CRM sales for the fourth-quarter were about $489 million.