Report: Medtronic Cuts Hit Diabetes Unit
Fridley-based Medtronic, Inc., has reportedly cut “hundreds” of jobs in its diabetes unit, according to Mass Device, an online medical device journal, which cites a diabetes industry analyst.
According to Mass Device, diabetes industry analyst David Kliff recently blogged that the medical device manufacturer axed hundreds of jobs in the unit and has also brought in an industry executive to “reinvigorate the unit's sales and marketing.”
“Looking ahead, it will be interesting to see whether the company is serious about change, or will they once again become bogged down in the Medtronic corporate meat grinder,” Kliff reportedly wrote. “The folks at Medtronic corporate in Minneapolis view the diabetes unit as a cash cow and see little reason to invest precious dollars upgrading the Paradigm line or getting things right with the patch pump.”
A Medtronic spokesperson told Mass Device that job cuts have been made in the unit but would not disclose the number.
It is unclear whether the reported cuts to Medtronic's diabetes unit are part of planned cuts that were announced in February. Those cuts were expected to affect 4 to 5 percent of Medtronic's global work force, including 268 in Minnesota.
Last month, the company said that about 700 employees accepted voluntary retirement or early separation offers that were made available in February. In addition, about 1,700 employees from the entire company-across all levels, geographies, and business segments-were laid off. A company spokesman told Twin Cities Business last month that about 300 of the eliminated positions will eventually be refilled, meaning that the net employee loss will be about 2,100.
Click here to read more from Mass Device about the cuts.