BOTHELL — An unspecified number of employees were laid off from Philips Healthcare this week and last week, part of a larger U.S. staffing cut for the Amsterdam-based company.
The global electronics company’s Bothell campus specializes in medical devices such as ultrasound equipment. Company executives revealed in their latest earnings report that there would be staffing reductions in the U.S.
“I don’t think it’s a great secret to anyone that the economy has been rough, and it’s been especially rough in the health care industry,” Philips Healthcare spokesman Steve Kelly said Thursday.
He said he couldn’t specify how many employees were cut, or what percentage of the staff they made up. Some received severance notices last week, and some were notified this week.
“(This is) something that we certainly never take lightly,” Kelly said. “Our executive team has been pretty forthcoming in our communication to employees.”
Severance packages will be awarded based on seniority, he said.
Philips didn’t file a Worker Adjustment and Retraining Notification Act (WARN) notice with the state 60 days prior to the cuts, a step required of companies that employ more than 100 people and plan mass layoffs. The act requires advance notice for layoffs involving more than 500 employees or 33 percent of a company’s active work force — or in the event of a closure.
The Bothell campus was acquired by Philips in 1998 when it bought ATL Ultrasound.
Kelly said uncertainty about health care reform and a number of other factors recently resulted in a drop in sales for the company.
Amy Rolph: 425-339-3029, arolph@heraldnet.com.
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