Smith and Nephew To Lay Off 100 Employees To Absorb New Medical Device Tax
Posted Feb 03 2013 1:48am
When it comes to hip and knee replacements Smith and Nephew seems to have one of the best names out there. A couple years ago the company claimed it created a 30 year knee and of course we won’t know until someone has one for 30 years but stress tests and other simulations processes they did substantiates the claim.
The layoff will affect two facilities with one for the joint replacements and the other for their wound care division which just received FDA approval for their PICO device about a year ago. When the healthcare law was created things were different then, but now when we need more tangible product companies more than ever for jobs, the tax is not going to work as was planned. In other Smith and Nephew news a $2.2 million dollar lawsuit has been filed against the company by the San Diego Chargers related to a Hip surgery methodology that resulted in a malpractice suit. BD
I have said this many times, give up on the device tax and license and tax the data sellers who make billions and billions in profit and most do not produce a tangible product which is what we need right now.
Feb 01, 2013 (Menafn - The Commercial Appeal - McClatchy-Tribune Information Services via COMTEX) --Smith & Nephew has laid off nearly 100 employees across its units in Tennessee and Massachusetts, the company said Thursday.
The company's Orthopaedic Reconstruction unit is based in Memphis, where it employs about 1,800. Its Advanced Wound Management, Sports Medicine and Trauma unit is based in Andover, Mass. The two divisions were merged last year and operate together as the Advanced Surgical Devices unit.
Smith & Nephew said the layoffs were necessary to absorb the cost of a new U.S. medical device tax.
"The nearly 30 billion tax on medical devices that took effect Jan. 1, 2013 has impacted a number of companies across the U.S.," company spokesman Joe Metzger said in a statement. "Smith & Nephew is not immune from this added expense burden."