Swiss drugmaker Novartis says to cut 2,500 jobs

BASEL: Swiss drugmaker Novartis said on Thursday it plans to cut 2,500 jobs in a restructuring programme aimed at generating yearly cost savings of $1.6 billion (1.1 billion euros).   

Many of the cuts, which will take place in 2008 and 2009, will be achieved through normal fluctuation in staffing levels and social programmes, a statement said.   

The Basel-based firm, one of the world's biggest drugmakers in both patent-protected and generic medicines, currently employs around 10,000 people.   

Novartis said it will book a pre-tax restructuring charge for the cuts of around 450 million dollars in the fourth quarter.   

In the third quarter it reported a 12 percent drop in net profits to $1.6 billion, worse than expected by analysts.