German chemical and pharmaceutical firm Bayer announced on 29 November that it would cut 12,000 jobs in a major restructuring following its US$63bn acquisition of US seed and pesticide giant Monsanto.

The job cuts would enable Bayer to save US$3bn a year from 2022.

A statement from Bayer said that approximately one in every 10 of the group’s posts was expected to be affected, “a significant number of them in Germany”.

“These changes are necessary and lay the foundation for Bayer to enhance its performance and agility. With these measures, we aim to take full advantage of the growth potential for our business,” said Werner Baumann, Bayer board chairman.

Bayer said it planned to exit its animal health business so it could focus its resources on pharmaceuticals, consumer health and crop science. The company said it would also be looking to let go of its Coppertone sun care brand and Dr Scholl’s foot care product line.

Bayer said it expected to finish cutting posts by 2021, with the crop science division set to be hit the hardest with 4,100 posts being cut.

Investors have been cautiously watching the group since a US court awarded US$78M in damages in October to a groundskeeper who claimed that Monsanto’s glyphosate-based weed-killer caused his cancer. The company now faces over 9,300 US lawsuits over glyphosate.