Conformis Faced with Tough Decision to Furlough One-Third of Its Workforce
Conformis is furloughing one-third of its workforce citing a sharp decline in elective procedures because of the novel coronavirus (COVID-19). In addition to the measure, the custom orthopedics implant company said it us withdrawing its 3% to 6% product revenue growth target for 2020.
The Billerica, MA-based company said its product areas of knee and hip surgery are being impacted in âunprecedented ways.â About 80 employees would be furloughed.
âWeâve taken a very aggressive early action here with [Mondayâs] announcement,â Conformis President and CEO Mark Augusti said during a call with investors. âWeâre certainly not at the bone so-to-speak. There are certainly more actions we can do. But at this point, weâve looked at a significant decrease in demand over eight weeks.â
Augusti said elective procedures have not come to a full stop.
âTheyâre looking to push out the surgery date to the time they will be able to do surgery,â he said of doctors doing the procedures. âI think thatâs the hardest thing right now â trying to assess how long that might be. But itâs a moving target. I expect it to continue this way for the next couple of weeks.â
Augustiâ&...
Source: MDDI - Category: Medical Devices Authors: Omar Ford Tags: Business Orthopedics Source Type: news
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