|
Despite the mostly good news, Gorsky didn't seem to receive quite as much goodwill as the audience at J&J's annual meetings has accorded his predecessor, Bill Weldon. It was under Weldon's decade-long tenure that the company got into trouble with the government for promoting drugs for unapproved uses, while its manufacturing quality declined, resulting in about three dozen product recalls since 2009, mostly for nonprescription drugs. Shareholders approved election of 12 board members and a shareholder advisory vote on executive pay by well over 90 percent. In introducing the shareholder proposal for a board chair who's not a company executive, a spokesman for sponsor AFSCME, the government workers' union, said J&J's reputation has been hurt by numerous drug recalls, litigation and other liabilities. The spokesman said shareholders have expressed concern over executive pay levels, adding that with Weldon retired, there's an "opportunity to break what we consider a bad habit." Gorsky responded that when the board chose him to take over, it expanded the duties of its lead independent director. Another audience member, speaking during the question-and-answer period, said the company needs to change what he called a "culture of bribery and kickbacks" to win business, as well as downplaying product risks. "They were calculated business decisions and they were repeated," said the man, who added he's been suffering from pain and unable to work for seven years because of side effects of J&J's powerful antibiotic Levaquin. "I feel the corporate credo has been largely absent for the past decade." Gorsky said Levaquin, which has been linked to ruptured Achilles tendons, is an important drug when used appropriately and said, "You've got our commitment to honoring our credo." Other speakers asked Gorsky to do more to make its drugs for HIV and other deadly diseases affordable in poor countries, and to end the use of animals to train surgeons on use of its medical devices and surgical tools. Gorsky said the company is working on both those issues. In trading Thursday, J&J shares rose 83 cents to $85.22. Shares are up nearly 22 percent in the year to date.
[Associated
Press;
Copyright 2013 The Associated
Press. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
News | Sports | Business | Rural Review | Teaching & Learning | Home and Family | Tourism | Obituaries
Community |
Perspectives
|
Law & Courts |
Leisure Time
|
Spiritual Life |
Health & Fitness |
Teen Scene
Calendar
|
Letters to the Editor