Medco Layoff Hits Quietly (900 jobs)

[UpInArms]

http://www.thestreet.com/stocks/melissadavid/10166982.html

Nine hundred workers -- nearly 7% of the company's staff -- learned on Friday that they will soon lose their jobs or be transferred to another location. Medco has decided to shut down a big facility in Parsippany, N.J., that currently houses a mail-order pharmacy and a customer call center. The giant pharmacy benefit manager reached its decision after losing some major contracts amid a federal probe of its business practices.

Medco quietly informed affected employees of the layoffs Friday morning but, by Monday, had yet to issue a public announcement. The company did, however, confirm the news when contacted by TheStreet.com.

Medco spokeswoman Soraya Rodriguez- Balzac described the action as a "difficult decision" that will nevertheless enhance the efficiency of the company's overall operations. She blamed outdated technology and rising rent -- not employee performance -- for the pending closure. But she stressed that "several hundred" of the workers will be transferred to another facility.

Still, one Medco employee said the company seemed to be treating the layoffs like a "non- event."

...more...

[mbperrin]

1. Man, smell that economy sizzle! (Say, what

IS that smell, anyway?)

[Don_G]

2. More Corporate Spin

Blaming outdated technology and rising rental rates on the company's woes IGNORING the loss of major contracts amid a Federal probe OF THEIR BUSINESS PRACTICES.

I guess what works for ShrubCo also works for Corporate Amerika.

[uptown ruler]

3. this is the economic boom bush is talking about

the profit margins are UP UP UP. who cares about the jobs...


Spreading The Word
The Irony Curtain Shop

[cosmicdot]

4. Snow job Snow says 'lots and lots' of jobs ... (Isn't Medco Merck?)

Medco Health Solutions, Inc. ("Medco Health"), Merck's wholly owned pharmacy benefits management subsidiary.

http://biz.yahoo.com/e/030529/mrk8-k.html



Snow Expects More Jobs in Coming Months

June 20, 2004 01:45 PM EDT


WASHINGTON - Treasury Secretary John Snow said Sunday he expects continued strong economic growth and "lots and lots of good jobs" created in the coming months.

At the same time, however, he said world affairs have so dominated the public's attention that the strong growth is not reflected in polls about President Bush's stewardship of the economy.

"There's been so much attention to other things, particularly the war in Iraq, that it's deflected attention from the economy," Snow said. "But the news on the economy ... is so good and so pervasive, so far-reaching, that I think people will change their views here."

http://start.earthlink.net/newsarticle?cat=1&aid=D83ATMGO0_story

[MaineDem]

5. My prescription drug benefits are with this company

They're not all that difficult to do business with. I hope this continues after their "downsizing".

I wonder if the laidoff people get drug bennies?

[Bluebear]

6. Expect to be dealing with a Bombay call center

[CO Liberal]

7. I Was Just About it Order Some Refills

Hope they didn't lay off the people who fill the bottles.....