J&J to cut about 3,000 jobs in medical devices biz

US health care giant Johnson & Johnson (NYSE: JNJ) has said it will cut about 3,000 jobs in its medical-devices unit in a bid to revive the struggling business.

The company said the cuts represent 2.5% of its total global work force and as much as 6% of its medical-device segment. J&J expects the cuts will save between $800 million and $1 billion a year before taxes. The company noted that the action will impact its orthopedics, surgery and cardiovascular units.

Gary Pruden, worldwide chairman, Johnson & Johnson Medical Devices, said: “The bold steps we are taking today are to evolve our offerings, structure and footprint and increase our investment in innovation. These actions recognize the changing needs of the global medical device market and will deliver more value to customers, increasing our competitive advantage and driving growth and profitability for our business.”