Medical device and drugmaker Abbott Laboratories says it will lay off 700 employees, most in the Chicago area, as part of ongoing restructuring efforts in its medical device and diagnostic businesses.
A company spokeswoman says most of the layoffs involve employees who manufacture the company’s heart stents and diagnostic tests. Abbott expects a decline in orders for stents later this year after the expiration of a supply agreement with medical device maker Boston Scientific Corp. Abbott currently sells a version of its Xience stent to Boston Scientific, which pays a 40 percent royalty on sales. Boston Scientific recently replaced that device with its own in-house stent, Promus Element.
About 500 of the eliminated positions are related to stents, with the remaining 200 from the company’s diagnostic business.
Wednesday, January 25, 2012
Abbott to cut 700 jobs, most in Chicago area - Chicago Sun-Times