B-MS to slash 40% of former DuPont work force

Bristol-Myers Squibb is gearing up to cut about 40% of the workforcefrom recently-acquired DuPont Pharmaceuticals, according to newswire reports. Job offers will be extended during the next few weeks to approximately 3,000 of DuPont's 5,000 employees.

DuPont drug division workers, who were informed of the plan on October 29, were scheduled to be meeting with B-MS management to learn their status at the end of that week. Associated Press reports indicate that most of the job losses will be in the administrative sector. In addition, two of DuPont's four research facilities will be shut down.

B-MS has the stated ambition of achieving significant cost-reductions in the wake of the acquisition, and job losses had been expected. The company said when it announced the deal, in June, that it hoped to achieve $500-$600 million in cost savings and sales synergies (Marketletter June 18).