Israel’s main labor federation intends to take labor or legal action against Teva Pharmaceutical Industries if the drugmaker does not suspend a decision to close a plant in the Israeli port city of Ashdod, it said on Sunday.
Debt-laden Teva, the world’s largest generic drugmaker and Israel’s biggest company, said last week that it would close the unprofitable plant in March 2019 after failing to find a buyer for the facility.
Half of the factory’s 175 workers would lose their jobs in the coming months, with the rest continuing to work until the plant closes.
In a letter to Teva’s management, the Histadrut federation said the company’s decision was contrary to a prior declaration that it would retain most of its activities in Israel.
The federation said it had been in contact with potential buyers of the plant who said that their requests to enter deal talks had been ignored.
A Histadrut spokesman declined to name the potential buyers but said there were two such offers.
A Teva representative was not immediately available to comment.
The company has until Tuesday to respond, Histadrut said in its letter, while spokesman for the federation said the unions could take strike action or take the case to court.
In December Teva said it would cut 14,000 jobs — 25 percent of its global workforce — and close many plants as part of a restructuring aimed at clearing debt.
Teva has said that some of the Ashdod plant’s activities were outside its core business and the production of IV bags — accounting for half the plant’s activity — is not profitable.
By Steven Scheer
Source: Reuters
Giovanni Caforio, the former CEO of Bristol Myers Squibb, is set to become the next board chairman of Novartis, which on Tuesday proposed the pharmaceutical industry veteran as its pick to replace Joerg Reinhardt in the role next year. Reinhardt has served as Novartis’ chair since 2013 and plans to retire when his 12-year term ends in 2025.
GE HealthCare has raised the curtain on two ultrasound systems equipped with artificial intelligence programs designed to assist in diagnosing conditions in women’s health, including obstetric exams. The Voluson Signature 20 and 18 imaging systems include AI tools capable of automatically identifying and annotating measurements of fetal anatomy.
Scientists from the University of Edinburgh’s School of Chemistry have revealed a new sustainable method of manufacturing complex molecules that could reduce waste produced during drug production. The method published in Nature Chemistry could help to prevent severe side effects caused by drugs that can exist as enantiomers.
