Medtronic (NYSE:MDT) and Halyard Health (NYSE:HYH) subsidiary Corpak MedSystems are planning to lay off a collective 266 workers in Illinois as they each close a plant there.
Fridley, Minn.-based Medtronic told the Illinois Commerce Dept. that it’s shuttering a distribution facility in Joliet, meaning job cuts for the 185 workers employed there. The layoffs are slated to begin Sept. 13 and end by Dec. 15, according to a WARN Act notice filed July 31.
Spokesman Fernando Vivanco told the Chicago Tribune via email that Medtronic is rejiggering its operations “to leverage other facilities and service providers in the U.S.”
“This shift will ensure our operations are flexible and scalable in a way that is efficient and cost-effective – and continue to meet our high quality standards,” Vivanco told the newspaper, noting that the company notified the affected employees in May and is offering severance and benefits including help with job searches.
Corpak, which makes feeding tubes, also plans to shutter a plant, this one in Buffalo Grove. Layoffs affecting 81 workers are slated to begin Sept. 29 and end by Dec. 15, according to the notice.
Halyard, created by the spinout of the healthcare division at Kimberly-Clark (NYSE:KMB) in October 2014, last year paid Linden Capital Partners $174 million for Corpak.