SOMERSET, Pa. (AP) — DeVilbiss Healthcare, which makes respirator therapy devices, announced it plans to outsource 80 manufacturing jobs to China.
DeVilbiss president and chief executive officer Kees Regeling blamed costs.
Medicare funding for home oxygen therapy will drop by 19 percent next year and the federal government is considering capping Medicare funding for home oxygen therapy for 18 months, according to the company.
That's depressing the price of respiratory medical products and companies are moving production to China where labor costs are lower, Regeling said.
A decision on layoffs is expected next month. DeVilbiss has about 360 workers. In May, the company announced it would lay off 40 workers and send the jobs to China.