Sunovion Pharmaceuticals is not exactly a household name. For those of you who are not familiar with the company here is a look at how they describe themselves, “Sunovion Pharmaceuticals Inc. is a research-based pharmaceutical company dedicated to discovering, developing and commercializing scientifically advanced therapeutic products that are focused on helping patients suffering from central nervous system and respiratory disorders, as well as other illnesses. A wholly owned subsidiary of Dainippon Sumitomo Pharma Co., Ltd. (DSP), Sunovion was formed following the merger of DSP’s two U.S.-based operations, Sepracor Inc. and Dainippon Sumitomo Pharma America, Inc. The company name, which is representative of the life-affirming energy of the sun and the power of innovation, reflects Sunovion’s portfolio of currently marketed pharmaceutical products and pipeline candidates; and serves to emphasize the company’s ongoing commitment to improve the lives of patients everywhere.” It looks like the company is getting ready to cut back on workers in order to make itself more profitable.

Sadly, for the time being the company has not given out any kind of information about the layoffs. They have not said how many people are going to be put out of a job. They have not said why they are putting an unspecified number of workers out of a job. They have not said which locations the jobs to be lost will come from. As you can imagine there is also no information about when the layoffs are expected to happen or what kind of a severance package, if any, the soon to be displaced workers will be getting from the company.

The layoffs may, or may not, be large enough to qualify as a mass layoff action when all is said and done. For those of you who are not familiar with the idea of a mass layoff action here is a look at how the federal government defines the term, “Monthly mass layoff numbers are from establishments which have at least 50 initial claims for unemployment insurance (UI) filed against them during a 5-week period. Extended mass layoff numbers (issued quarterly) are from a subset of such establishments—where private sector nonfarm employers indicate that 50 or more workers were separated from their jobs for at least 31 days.” Under the terms of a mass layoff action workers are usually given more time to prepare for the loss of their job, and the community is given more time to prepare for the loss of income. Some of you may not be aware of this but the loss of jobs on a mass scale can so negatively impact a surrounding community to the point that a single mass layoff can create waves of subsequent job losses in a community.

Confused by that idea? Say for example you have a town with a large office complex and a few local takeout places. The workers in that office buildings are laid off, at least a few of those takeout places will feel the hit. After all fewer people are ordering lunches, because less people work at the building, and those that stay hoard the money in case job cuts come again. As the restaurant needs fewer workers they cut back.