Philips rides layoff wave, scraps 6,000 jobs to improve profitability

Embattled Dutch medical tech maker Philips said on Monday it will slash 6,000 more jobs worldwide in a bid to restore profitability after a massive recall of faulty sleep respirators.

The Amsterdam-based firm revealed the “difficult but necessary” job cuts as it announced losses of 1.6 billion euros ($1.7 billion) in 2022, largely on the back of the safety issue. The fresh layoffs come just months after Philips announced the loss of another 4,000 posts, against a total workforce of just under 80,000 employees around the globe.

Philips is now facing investigations and lawsuits in the United States after it was forced to recall appliances to treat people with sleep problems that put people at risk of inhaling toxic foam.