Intuitive Surgical to Lay Off 331 Employees in California Amid Restructuring

Intuitive Surgical, a leader in robotic surgery systems, has announced plans to lay off 331 employees at its Sunnyvale, California facility. The decision comes as part of a broader restructuring effort, despite the company's recent strong financial performance and successful product launches.

Layoff Details and Restructuring Plans

The layoffs, set to take effect by October 27, 2025, primarily target assembly technicians and support roles for graveyard and weekend shifts in Ion Instruments & Accessories (I&A) production. Intuitive Surgical filed a Worker Adjustment and Retraining Notification (WARN) with the state of California, detailing the company's intention to "cease operations for graveyard and weekend shifts for Ion Instruments & Accessories (I&A) production, as well as related logistics and quality operations activities in Sunnyvale."

In the WARN letter, Intuitive explained that the restructuring is part of creating a global 'hub model.' The company stated, "More specifically, as part of creating a global 'hub model,' we are permanently ending graveyard and weekend shift effective October 23 and 24, 2025, respectively, as well as transitioning our work model effective October 27, 2025."

Company Performance and Industry Context

The layoffs come at a time when Intuitive Surgical has been reporting solid growth. In the first six months of the year, the company reported revenue of $4.69 billion, representing a 20% increase year over year. This growth has been attributed in part to the successful launch of its latest soft tissue robotic system, the da Vinci 5, which has reinforced Wall Street's confidence in the company's ability to maintain its dominance in the robotic surgery space.

Despite the positive financial indicators, Intuitive Surgical's decision to reduce its workforce aligns with a broader trend in the medtech industry. In recent years, the sector has experienced tens of thousands of layoffs as companies grapple with macroeconomic factors. While Intuitive has not been a major participant in mass layoffs, it did cut 72 employees in North Carolina in 2023.