MERCK TO CUT WORKFORCE 120 PERCENT
NEW YORK, N.Y. (AP.com) - Merck will reduce its workforce by an unprecedented 120 percent by the end of 2013, believed to be the first time a major corporation has laid off more employees than it actually has. Merck stock soared more than 12 points on the news.
The reduction decision, announced Wednesday, came after a year-long internal review of cost-cutting procedures. The initial report concluded the company would save $1.2 billion by eliminating 20 percent of its 85,000 employees.
From there, said a spokesperson, "it didn't take a genius to figure out that if we cut 40 percent of our workforce, we'd save $2.4 billion, and if we cut 100 percent of our workforce, we'd save $6 billion. But then we thought, why stop there? Let's cut another 20 percent and save $7 billion.Believe it or not, it gets better. Go have a read. Have a great weekend (and yes, more comments on Sturgeon coming.)