Layoffs: Medical device companies cut 7,000 jobs in 2012

December 21, 2012 by MassDevice staff

Publicly traded medical device companies shed about 7,000 jobs in the 2012, representing 1.6% of the industry's U.S. jobs base.

Layoffs illustration

High-ranking medical device makers cut about 7,000 American jobs in 2012, representing about 1.6% of the industry's total U.S. workforce, according to a Reuters report.

Some of those cuts include layoffs at Boston Scientific (NYSE:BSX), St. Jude Medical (NYSE:STJ) and Stryker (NYSE:SYK), some of which were explicitly blamed on the impending medical device tax hitting the industry in just over a week.

Industry lobbying groups have warned that about 43,000 medtech jobs may be lost as a result of the 2.3% medical device excise tax taking effect at the start of 2013, but many of the layoff decisions made in 2013 were unrelated to the new fee.

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Layoff measures in 2012, which included more than 2,000 cuts in a span of 2 months, were frequently the result of company overhauls and acquisitions, although the tax did play a feature role.