Boston Scientific (NYSE:BSX) announced today that it is taking actions in response to the COVID-19 pandemic, including pay cuts.
In anticipation of an even larger impact from the coronavirus outbreak in the second quarter, the Marlborough, Mass.-based company said in a news release that it is taking proactive steps to reduce costs so it can be in a strong position when healthcare systems begin to recover and elective procedures return to normal volumes.
The company said it is significantly reducing the salaries of its CEO, board of directors and executive committee members and, where appropriate, temporarily reducing workweek schedules for employees. According to a company statement, the temporary cuts include a four-day workweek for much of the company’s U.S. workforce over the next 90 days, which represents a 5% salary decrease for the year.
Other measures include decreasing discretionary spending and implementing precautionary measures to ensure business continuity in supply chain and manufacturing. Precautions include rotational shifts, segregating buildings and limiting movements across sites.
Image Credit: Boston Scientific