In order to remain competitive, one of Steinbach’s largest employers has cut over three dozen jobs. As of the middle of November, Valeant Pharmaceuticals cut thirty-nine jobs from the Steinbach plant.
Tony Martinez, General Manager of Valeant says the move was made in an “effort to remain competitive in the market.
“We have elected to try to reduce our cost of goods and, in doing so, it was necessary to take some reductions in personnel and reduction in expenses,” explained Martinez. “It resulted in a total of 15 involuntary separations and we had 24 volunteers who elected to take a severance payout. Collectively that was 39 individuals who have been impacted.”
“The pharmaceutical industry is becoming increasingly competitive as governments in Canada and the United States put pressure on drug makers to reduce prices,” Martinez added. “The business that we’re in continues to face cost constraints.”
Valeant, like many pharmaceutical companies are feeling the pressure to reduce costs so governments who pay for medications can find a less expensive product.
“This puts pressure on us to try to reduce the costs where we can to try to offer our medications at the most competitive prices,” Martinez noted.
There are still over four hundred employees employed at Valeant despite the cutbacks.