MINNEAPOLIS (WCCO) – The multinational manufacturing conglomerate 3M will cut 1,500 jobs, the company announced Tuesday. The cuts follow a disappointing fourth quarter in which profits plummeted 27%.
3M is based in Maplewood and has 96,000 employees globally. The job cuts, which are part of a plan to restructure the company, will amount to a loss of 1.5% of its employees.
Though fourth quarter sales were up 2.1% year-on-year, full year sales were down 1.9%. The company also took a pre-tax structuring charge of $134 million, or $0.20 per share. However they expect pre-tax savings of $40 to $50 million.
“Our team executed well in the fourth quarter and delivered results that were in-line with our expectations,” said Mike Roman, 3M chairman and chief executive officer. “While we continued to manage challenges in certain key end markets, we generated solid underlying margins and robust free cash flow.”
3M also announced the retirement of Julie Bushman, executive vice president, International Organizations.
The company, which makes adhesives and medical equipment, also recently announced they will boost the production of masks to meet the demand of the coronavirus.