Novartis to close US manufacturing site, both companies restructuring Swiss operations

Pharmaceutical firm Novartis and nutritional products specialist DSM are both set to cut jobs in Switzerland. Novartis will lose around 500 support and operational roles, while DSM aims to cut 120 staff. Novartis also plans to close a manufacturing plant in the US, affecting 525 employees.

Novartis says that the loss of patent exclusivity on blood pressure drug Diovan (valsartan) has reduced demand for products produced at the Suffern, New York, site. Following its phased closure over 2–3 years, the buildings will be demolished and equipment transferred elsewhere or sold, although company spokeswoman Julie Masow adds that the company is open to other proposals for the site.

Novartis adds that its planned product launches for 2014 will be accompanied by ‘several hundred’ new jobs in Switzerland, for example in supply chain management for its Sandoz generics arm and manufacturing for over-the-counter products.

DSM’s cuts are the fallout of reorganisation after recent acquisitions. The affected positions will come from both central support and R&D areas.