Owens & Minor is cutting back on its staff through a voluntary resignation program. Photo by Michael Schwartz.
A local Fortune 500 is inviting some of its employees to cut their careers with the company short.
Mechanicsville-based medical supplier Owens & Minor began a program last week in which employees can voluntarily resign from the company in exchange for “enhanced” separation benefits. An SEC filing said the program is part of an initiative to reduce costs and streamline the company’s organizational structure.
The program targets salaried employees in the United States who are exempt from overtime pay. Excluding executive officers, participants must meet certain age and length-of-service criteria, which were not specified in the announcement. A message left for a company representative was not returned.
The company expects to complete the program by the end of this quarter.
The filing states the company does not know which employees, or how many, will take it up on its offer and therefore cannot project the program’s costs. Those costs are expected to consist primarily of employee severance and benefits-related expenses.
“The company will provide an estimate or range of costs expected to be incurred when a good faith determination can be made,” the announcement states.
Owens & Minor employs more than 5,000 workers in 42 distribution centers across the country. It had more than 600 local employees last year, according to a 2015 tally by the Times-Dispatch. According to its most recent annual statement, it employed 5,700 workers domestically and 2,100 outside the U.S. at the end of 2014.
Its revenue for that year reached $9.44 billion, up from $9.07 billion in 2013 and $8.86 billion in 2012. But its profit took a dive, from $110.8 million in 2013 to $66.5 million in 2014.
In 2014, Owens & Minor also acquired two companies in four months: ArcRoyal, an Ireland-based surgical supply maker, and New York-based Medical Action Industries, which it bought for $208 million. A purchase price for ArcRoyal, which was privately held, was not disclosed.
The company previously acquired European logistics firm Movianto Group in 2012 for $165 million.
Its latest quarterly report for 2015 put year-to-date net revenue, through Sept. 30, at $7.28 billion, up from $6.94 billion in 2014. Its profit year-to-date reached $71.34 million, up from $52.51 million.
The company is ranked No. 309 on Fortune’s list of the top 500 corporations in the country based on annual revenue.
Owens & Minor is cutting back on its staff through a voluntary resignation program. Photo by Michael Schwartz.
A local Fortune 500 is inviting some of its employees to cut their careers with the company short.
Mechanicsville-based medical supplier Owens & Minor began a program last week in which employees can voluntarily resign from the company in exchange for “enhanced” separation benefits. An SEC filing said the program is part of an initiative to reduce costs and streamline the company’s organizational structure.
The program targets salaried employees in the United States who are exempt from overtime pay. Excluding executive officers, participants must meet certain age and length-of-service criteria, which were not specified in the announcement. A message left for a company representative was not returned.
The company expects to complete the program by the end of this quarter.
The filing states the company does not know which employees, or how many, will take it up on its offer and therefore cannot project the program’s costs. Those costs are expected to consist primarily of employee severance and benefits-related expenses.
“The company will provide an estimate or range of costs expected to be incurred when a good faith determination can be made,” the announcement states.
Owens & Minor employs more than 5,000 workers in 42 distribution centers across the country. It had more than 600 local employees last year, according to a 2015 tally by the Times-Dispatch. According to its most recent annual statement, it employed 5,700 workers domestically and 2,100 outside the U.S. at the end of 2014.
Its revenue for that year reached $9.44 billion, up from $9.07 billion in 2013 and $8.86 billion in 2012. But its profit took a dive, from $110.8 million in 2013 to $66.5 million in 2014.
In 2014, Owens & Minor also acquired two companies in four months: ArcRoyal, an Ireland-based surgical supply maker, and New York-based Medical Action Industries, which it bought for $208 million. A purchase price for ArcRoyal, which was privately held, was not disclosed.
The company previously acquired European logistics firm Movianto Group in 2012 for $165 million.
Its latest quarterly report for 2015 put year-to-date net revenue, through Sept. 30, at $7.28 billion, up from $6.94 billion in 2014. Its profit year-to-date reached $71.34 million, up from $52.51 million.
The company is ranked No. 309 on Fortune’s list of the top 500 corporations in the country based on annual revenue.