Under mounting pressure in diabetes, Eli Lilly
has just become the latest drugmaker to undergo a major shakeup. The pharma
giant on Thursday announced plans to cut 3,500 employees by the end of the year
as it shoots to achieve $500 million in annual savings.
The company said it expects most of the cuts to
come from an early retirement program in the U.S. in which participants will
receive “enhanced retirement benefits.” Lilly disclosed the program to eligible
employees today and expects the retirements to be done mostly done by the end
of the year. Altogether, the announcement is the first major restructuring
effort by new Lilly CEO David Ricks since taking the helm this year.