Bayer plans to eliminate 12,000 jobs and sell off its animal health unit in an effort to pacify Wall Street, Bloomberg reports. The German company has faced a wave of lawsuits and seen steep declines in its stock price since it acquired Creve Coeur-based Monsanto.
The job cuts represent about 10 percent of the global workforce for the pharmaceutical and chemical company.
Bayer said the moves would strengthen its core pharmaceutical and agricultural businesses.
The sale of the animal health business could be felt in the Kansas City area, where Bayer Animal Health has about 550 full-time-equivalent employees, the Kansas City Business Journal reports, making it the No. 2 employer among animal health companies in the area.
By getting out of businesses like animal health, Bayer hopes to inject more resources into core businesses like pharmaceuticals, the company said.
In a conference call Thursday, Bayer CEO Werner Baumann dismissed the notion that the moves were necessitated by the integration of Monsanto or lawsuits arising from Monsanto weedkillers.
“Today’s decisions were not made necessary by the recent acquisition,” Baumann said. “And certainly not by glyphosate litigation in the United States.”