Layoffs, consolidation at GSK Consumer Health

GlaxoSmithKline is paring away at its Consumer Healthcare unit, with a series of layoffs and cost-cutting consolidations. One big move: the company is combining its weight control group--which markets the Alli weight-loss med [1]--and its smoking cessation group, and transferring the whole thing to New Jersey from Pennsylvania. The combination will be called the behavioral sciences group, a GSK exec told the Pittsburgh Post-Gazette. "Frankly, there are a lot of similarities in the behavior required to lose weight and stop smoking," she said.

Overall, the Consumer Healthcare division has about 1,200 U.S. employees, 500 of them in Pennsylvania, 400 in New Jersey, and 300 field-sales folks. The company wouldn't specify just how many jobs will be lost in the restructuring-slash-consolidation. You'll recall that some GSK critics were prodding management to sell Consumer Healthcare last year, but new CEO Andrew Witty quashed that idea [2]. It contributed some $2 billion to the company's $45 billion in 2007 sales.

- see the post [3] at Pharmalot
- check out the Post-Gazette piece [4]

Related Articles:
Witty: Diversifying and derisking GSK [2]
GSK's Witty opts out of generics market [5]
GSK shakes up R&D [6]
Behind the scenes of GSK's overhaul [7]