September 25, 2018 12.20 pm This story is over 75 months old

Almost 400 jobs going in pharma factory closure

It will happen in the next two years
Novartis plans to leave its Grimsby site by the end of 2020. Photo: Novartis UK

A pharmaceutical company plans to close its Grimsby site by the end of 2020 as part of a restructuring of its manufacturing network.

Some 395 Novartis staff at the Grimsby site are directly affected by the decision and additional contractors employed through third parties may also be impacted.

The proposed exit will be phased until the end of 2020 and during this time options will be considered including divestment, which could potentially allow the facility to stay open.

The company says it will offer enhanced severance packages and outplacement services should closure be implemented.

Novartis UK Country President, Haseeb Ahmad, said: “Novartis has been a part of the Grimsby community for many years so this has been a very difficult decision.

“The Grimsby site is an effective, well-running operation that is testament to the hard-working and dedicated employees.

“We will treat every employee with the utmost respect, sensitivity and fairness during this difficult time.

“This decision has been made alongside broader changes to our business globally, and as a result of the changes in our product portfolio which now focuses on more specialised medicines, reflective of today’s changing healthcare needs.

“Novartis remains committed to the UK and believes that the UK is a world-leader in life sciences. Today’s announcement is part of a global review of our manufacturing operations and is not linked to the decision of the UK to leave the European Union.”

The announcement is part of the company’s global transformation of its manufacturing network, including changes to sites in Switzerland and previously announced adjustments in Japan, America and other countries.

Novartis plans to adapt its manufacturing network further in response to its changing product portfolio, with fewer high volume products, which the Grimsby site has focused on producing.

SUBSCRIBE to Business Week, the new email newsletter from The Lincolnite and Lincolnshire Reporter, bringing you weekly features, analysis and a news roundup of the top stories by Stonebow Media. Sign up free to receive it every Thursday morning in your inbox. We won’t spam you or share your details with third parties, we promise!