Solventum (NYSE: SOLV), previously 3M’s Health Care business, is engaging in a round of layoffs.
The Star Tribune of Minnesota broke the news today, citing a video message that CEO Bryan Hanson sent to employees at the Twin-Cities-headquartered company. According to the newspaper, Hanson said: “We may be eliminating these positions to refocus our investments, but that doesn’t mean that the team members in these impacted positions don’t matter. They absolutely do matter.”
In a statement that a spokesperson shared with MassDevice this evening, Solventum confirmed the news:
“As a new company, in our first eight months we are focused on positioning the business for the future. Our priorities are clear: creating the structure to support the culture of speed and agility we envision and directing strategic investments to fuel growth. As a result, we made the difficult decision to eliminate some positions across the organization to allow us to increase investment in other areas. These decisions were not taken lightly and affected employees are being supported. We will continue to invest in our people and hire the talent we need into roles aligned to our strategic priorities.”
It’s unclear for now how many employees at the company are affected by the layoffs.
According to this year’s edition of our Medtech Big 100 report, Solventum is the 17th largest medical device company in the world, with 22,000 employees and $8.2 billion in annual revenue.
The news of the layoffs comes nearly a month after Solventum raised its full-year guidance after Street-beating Q3 results. “It has been an exciting start, and we are confident that our three-phased approach will drive long-term growth and significant value creation,” Hanson said then.
Solventum is also spending $209 million to create new headquarters in the suburb of Eagan, south of Minneapolis and St. Paul. Solventum was spun out of 3M in April
