The pharma group plans to reduce head count by early 2019
Pfizer is offering early retirement to US employees ahead of scheduled layoffs early next year. The pharmaceutical company has revealed plans to reduce its overall head count as part of restructuring.
The move is expected to affect about 2% of the company’s 90,000 global workforce, primarily non-union members.
In an internal message, Pfizer informed employees the layoffs aim to “simplify the organization to avoid duplication, create single points of accountability, and reduce the number of layers within teams.”
“As we prepare for growth, we are creating a simpler more efficient structure which will affect some managerial roles and responsibilities,” said Sally Beatty, a spokeswoman for Pfizer. “We are offering enhancements to certain benefits to lessen this effect.”
The company’s severance packages include a base pay of 12 weeks and an additional three weeks’ worth of pay for every year of work, up to 104 weeks.
Workers who will voluntarily leave the company will also be able to keep their benefits, such as vested equity and health insurance, at their current rates for up to three years.
Pfizer, however, pointed out that the early retirement option is only available to employees who are 55 years old or over and have worked for the company for at least 10 years. They have until Nov. 2 to accept the offer.
Those who opt into the program will have to leave by Dec. 12, unless asked by the company to stay longer. Once the opt-in period is over, company managers will decide on “involuntary separations” depending on their staff needs.
Workers who will be laid off involuntarily will be eligible to receive similar benefits through Pfizer’s Special Separation Program.
