Siemens Healthineers is planning another round of layoffs in Morris County as the German medtech continues efforts to streamline its diagnostics division.

In a filing with the New Jersey Division of Workforce and Development, the company updated the number of positions that will be eliminated at its Flanders location to 300 jobs over the next 14 months. The latest revision includes the 67 layoffs that Siemens confirmed earlier this year. 

The company said the newly added reductions are related to a decision to transfer instrument manufacturing operations to its Swords location in Dublin, Ireland, by September 2024. The consolidation is part of “an extensive review of the company’s diagnostics instrument manufacturing network for its laboratory solutions portfolio,” the company said in a statement to NJBIZ.

According to the Siemens, there are about 750 employees in Flanders and the latest cuts will affect only manufacturing. The company also does not expect the move to have any impact on the 1,000 additional employees at its two other New Jersey locations in Iselin and Princeton.

“Upon separation, affected Flanders employees of Siemens Healthineers will be eligible for severance and outplacement benefits under the terms of the company’s policy, and will have the opportunity to apply for other positions within the Siemens Healthineers organization and the broader group of Siemens companies,” the statement said.

The slimdown comes about a year after Siemens unveiled plans to reduce the complexity of its portfolio, streamline supply chain and company footprints, and create a leaner organization, citing “a variety of external headwinds including effects from the COVID-19 pandemic, global inflationary concerns, supply issues, and labor shortages.”

The company – which has its U.S. headquarters in Tarrytown, N.Y. – is also reportedly in the early stages of a strategic review for a possible sale or carve-out of its entire diagnostics division.

Citing confidential sources familiar with the matter, Bloomberg reported last week that Siemens has tapped advisors to help assess the options and that the business could be valued at as much as $8 billion.

The company’s diagnostics division has been struggling – registering year-over-year decreases of 24%, 39% and 20% in the first three quarters of 2023, respectively, due to dwindling COVID-19 test demand.

More downsizing in health care

CVS Health also recently disclosed plans to lay off more employees in New Jersey. This news followed Pfizer’s WARN filing regarding nearly 800 New Jersey position eliminations.