MINNEAPOLIS, Minn. - Minneapolis-based Medtronic announced today that it plans to cut up to 2,000 jobs in its fiscal fourth quarter along with news that third-quarter net income increased 11 percent during the third fiscal quarter.
Medtronic reported that overall sales increased 3 percent.
Cutting between 1,500 and 2,000 jobs would reduce Medtronic's workforce by between 4 and 5 percent.
The restructuring plan was announced this morning in conjunction with the release of third-quarter numbers from the medical device maker.
One of the Medtronic locations is in Warsaw at 2500 Silveus Crossing.
Medtronic employs about 40,000 people in 120 countries worldwide.
Specifics on how many layoffs will take place at a certain location haven't been decided yet, according to Medtronic spokesperson Brian Henry.
Henry said Medtronic's reduction in its global workforce will take place over the company's fiscal fourth quarter. That fourth quarter ends April 30.
The layoffs come as part of a restructuring plan to address changes in the health care industry as well as reduction in profits.
"Markets where we do business and sell products are at 3, 4 percent now," said Henry. "Where as before they were in the high single digits."Henry said while Medtronic expects those markets to recover, the company is restructuring to deal with the current market.
Henry couldn't comment on how specifically employees would be made aware if they were being let go, but that the company has specific plans and procedures in place and Medtronic will do so with "candor and respect."
