IMS Health cuts jobs after Q2 losses
IMS Health announced a streamlining of business operations in the wake of second quarter losses.
A spokesman for IMS Health confirmed reports that as many as 850 employees will lose their jobs—an 11% reduction of the total workforce. In the US, 170 jobs will be cut, the spokesperson verified.
In a statement, David Carlucci, chairman and CEO at IMS, said the business remains solid, but will require some tweaking. “While we planned for lower growth coming into 2009, the accelerating healthcare market dynamics compounded by an economic downturn have caused our customers to significantly rein in their spending. As a result, we are taking decisive actions to lower our cost structure and better position the business for a return to growth.”
Q2 revenues were down 13%. The restructuring plan will “reduce capacity and align the size of sales and management consulting teams in areas of lower demand,” according to the statement.