Lifeward to close two U.S. facilities, lay off 15 employees
Photo | Courtesy of Lifeward
A person utilizes a Lifeward mobility assistive device.
Lifeward, a mobility device manufacturer formerly known as ReWalk Robotics, will close two of its U.S. facilities in a consolidation effort expected to save the Marlborough-based firm $3 million in operating expenses.
Lifeward will close its locations in Fremont, California, and Islandia, New York on Dec. 31, said Kathleen O’Donnell, Lifeward vice president of marketing and new business development, in an email Monday to WBJ. Approximately 15 employees in manufacturing-facing roles at the company’s Fremont facility will be laid off.
The U.S. closures will complete integration of Lifeward’s 2023 acquisition of AlterG, a California-based medical device company specializing in technology for physical and neurological rehabilitation, according to a Monday press release from Lifeward.
Lifeward expects the closures will save the company $3 million in operating expenses, improve its gross margins by approximately 2 percentage points, and reduce its headcount by more than 35% since its AlterG acquisition.
Key tasks at the shuttered facilities will either continue remotely or be moved to Lifeward’s Marlborough offices while manufacturing operations will be transitioned to Cirtronics Corp., a New Hampshire-based contract manufacturer.
“Lifeward continues to undergo a significant and rapid evolution to a company focused on commercial execution,” Lifeward CEO Larry Jasinski said in the release. “This latest phase of integration will contribute to a more profitable, resilient company in the coming years by substantially reducing our operating structure and improving efficiencies and coordination across the company.”
Mica Kanner-Mascolo is a staff writer at Worcester Business Journal, who primarily covers the healthcare and diversity, equity, and inclusion industries.
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