The retirement of Deirdre Connelly as GSK’s top North American executive on Monday, the naming of her replacement and new roles for two other senior managers are the latest in a series of changes transforming the drug giant’s Triangle operations. 

Melinda Stubbee, director of Global External Communications, tells WTW that the “restructuring” underway isn’t scheduled to end any time soon. In December, GSK said it would cut some 900 jobs in RTP, some 20 percent of its local work force.

Meanwhile, hundreds of Triangle GSK workers are being prepared for a transfer to Parexel as part of the reorganization.

Others are expected to be relocated to Philadelphia.

As for what all the changes will mean for GSK’s facilities in the Triangle, Stubbee says that is still under review.


WTW coverage of GSK reorg:

  • GSK says Connelly chose to retire
  • Layoffs a huge blow to GSK in Triangle, tech blogger says
  • GSK cutting 20% of Triangle work force
  • GSK, Novartis strike major deal

On Monday, GSK announced Connelly was retiring after six years and would be replaced by GSK veteran exec Jack Bailey. Meanwhile, Patrick Desbiens, general manager for GSK in France, is joining the U.S. group as senior vice president for vaccines. Deborah Waterhouse, who had led that group, now leads U.S. primary care.

In a Q&A, Stubbee said the changes “will not have a specific impact on our NC operations.”

Specfic numbers about transfers to Philadelphia remain unknown.

“The departure of impacted employees began in January and is being phased through 2015,” Stubbee said. “We continue to work on transition plans for those who will be relocating to Philadelphia.”

 Meanwhile, the Paraxel transfers are underway.

“The transition of 450 employees to Parexel will be complete on March 2,” Stubbee explained. “Those employees will stay on GSK’s RTP campus.”

Stubbee did not respond to a question about how many GSK employees – if any – had declined the transfer opportunity.

As for impact on GSK facilities, Stubbee noted: “We are still evaluating our plans for RTP real estate.”

While the reorganization continues, GSK also is absorbing the changes resulting from its multi-billion dollar deal with Novartis that was announced nearly a year ago.

Asked what GSK expected its headcount to be once all the restructuring is complete, Stubbee said that’s not yet known.

“Restructuring is going to take place over the next three years and as a result we don’t have a specific, final number,” she explained.

“It’s hard to estimate how many employees will be affected by these changes as we’re looking to minimize the numbers through measures such as recruitment freezes and not filling vacant roles.

“In addition, it’s not very meaningful to talk about this program in isolation as it’s only one element of a broader restructuring of the business which also includes the transfer of several thousand employees from Novartis to GSK upon completion of the proposed transaction which is expected in H1 2015.  This will increase the size of our Vaccines and Consumer Health divisions, including in the US.”