Lake Forest, Illinois-based PharMEDium Healthcare Corporation, a leading provider of ready-to-use compounded sterile intravenous preparations and owned by Chesterbrook, Pennsylvania drug wholesaler AmerisourceBergen Corporation, has announced a permanent layoff of 225 employees at their Memphis, Tennessee facility by March, 2019.
The original WARN (Worker Adjustment and Retraining Notice) filing on January 11, 2019 with the Tennessee Department of Labor and Workforce Development's Dislocated Worker Unit listed 440 employees at risk.
According to AmerisourceBergen’s spokesperson, "PharMEDium is redeploying capital to invest in operational enhancements that will enable it to meet the sterile to sterile compounding needs of hospitals across the nation. As these enhancements are made, PharMEDium’s Memphis Facility is not closing but will undergo a workforce reorganization that will ultimately impact 225 positions. Impacted associates will be offered severance benefits, as well as career support services.”
In a January 11, 2019 8-K filing with the Securities and Exchange Commission, the parent company, AmerisourceBergen, noted special provisions for a number of key executives.
Steven H. Collis, Chairman, President and Chief Executive Officer – “Mr. Collis’ employment agreement was amended to provide that in the event Mr. Collis’ employment is terminated by the Company without cause or by Mr. Collis for good reason, in either case, upon or within 24 months following a change in control of the Company, provided that Mr. Collis delivers an effective release in favor of the Company and its affiliates, Mr. Collis will receive the following payments: Continued base salary for a period of three years following termination of employment; and Three times the average annual bonus paid to Mr. Collis for the preceding three years, paid in three substantially equal installments over the three-year period following termination of employment.”
For those wanting to read more about how executives will be treated, the SEC filing can be found here.
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