Invacare layoffs shift to Europe

Tuesday, November 27, 2018

ELYRIA, Ohio – Invacare plans to reduce its workforce in Europe by about 50 employees, according to a filing with the Securities and Exchange Commission. The move is part of the company’s long-term plan to achieve $12.5 million of operating margin improvement from cost reduction activities specifically in Europe. Invacare expects to incur total pre-tax cash restructuring charges, primarily related to severance and transition assistance, of about $900,000, which will be expensed in the fourth quarter in the Europe segment. Once the reduction is complete, the company expects it to generate about $2.5 million in annualized pre-tax savings. To date, Invacare has announced cost reduction actions that will result in about $5.8 million in annualized pre-tax savings toward its $12.5 million goal. Earlier this month, Invacare announced that it had once again reduced its workforce in the U.S. by about 50 employees.