Following a detailed review of its global production requirements versus capacity, DePuy intends to phase out manufacturing at its facility in St. Anthony’s Road, Beeston, Leeds, subject to statutory consultation. The company plans to rationalise its product portfolio to focus on lines that best meet the current and emerging needs of surgeons and patients. Several of these product lines are produced at the Leeds facility.
The withdrawal of manufacturing would affect about 280 employees in operations, quality and support functions at the Leeds facility. However, additional employees located at the site in other functions are not affected by this plan.
Patrick Brady, DePuy’s worldwide vice president of manufacturing said, “The plan to phase out manufacturing at Leeds has not been arrived at easily and was based on a combination of factors. Significant among them is the company’s decision to discontinue sales of a line of products for hip replacement and resurfacing because demand has declined in favour of the company’s newer technology options for restoring mobility. Other products will be rationalised in line with changing market needs. In very challenging world healthcare markets, continuous pressure on prices and other factors mean we must consolidate our manufacturing to hold down operating costs.”
The majority of the remaining orthopaedic products manufactured in Leeds would transfer to the company’s facility in Cork, Ireland. This would take place gradually to the end of 2010. During this time the Leeds site would continue to provide jobs, although at a reducing level as production transfers.