Stryker (NYSE:SYK) is making good on plans to cut more than 100 positions by closing 2 New York manufacturing plants, moves that the company previously attributed to attempts to cut costs ahead of the coming 2.3% medical device tax.
The device maker will shutter 2 plants used by subsidiary Gaymar Industries by the end of 2012, leaving 107 out of work, according to a "WARN" notice filed with the state.
Stryker previously announced the layoffs as part of its larger effort to reduce its worldwide workforce by about 5% in order to cut costs ahead of the federal levy, which takes effect Jan. 1, 2013.
The closings will affect 11 positions at the company’s West Seneca plant and another 96 at the facility in Orchard Park, according to the notice.
The layoffs are set to begin on a rolling basis beginning September 21 and both plants will close officially by the end of the year.
Late last year the Kalamazoo, Mich.-based orthopedic device giant announced layoffs and restructuring efforts to reduce costs by more than $100 million before the tax takes effect in 2013.
Gaymar, founded in 1956, has a third office in Puerto Rico that will remain open. The company didn’t expect an impact on service or delivery operations.
Stryker representatives were not available for comment.
Olympus mulls new $628M fund-raising round
Olympus (PINK:OCPNY) may launch a $628 million (50 billion yen) funding round to buffer its company coffers, which were drained after the high-profile $1.7 billion accounting scandal exposed by former CEO Michael Woodford, who was sacked mid-October 2011 after only 2 weeks on the job.
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Device makers land on Russell indices
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"Biolase has recently experienced what we believe to be an unwarranted weakness in the price of its securities," chairman & CEO Federico Pignatelli said in prepared remarks issued Friday. "With important recent product introductions and a new line of credit giving us ample access to growth capital, we have never been more confident about the company’s prospects.”
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