Manufacturing News

Ansell to cut jobs in restructure

Glove and condom maker Ansell will enter a cost cutting exercise which will include the loss of some jobs, mainly in Europe and North America.

AAP reports that the company will shut some warehouse and offices and also transfer some supply chain and finance positions to different locations.

The company said in a statement the changes are intended to address continued economic uncertainty in some developed and emerging markets. In February, Chief executive Magnus Nicolin pointed to Brazil, Russia, and the Middle East as particular regions of concern.

The restructure should deliver annual savings of $15 million from the 2016/17 year, and about half that in 2015/16. However, they will also result in a one-off charge of $17m, this financial year. The company has decided to exclude this from full-year results.

A $17.7m gain from the sale of Ansell’s Shah Alam property will also be excluded.

In July last year, the company cut 300 jobs and transferred the headquarters of its sexual health division, which had been located in Australia, to Brussels. The idea was to move that division, which makes condoms and lubricants, closer to growing markets.

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