Sanofi Faces Union Strikes Amid Concerns Over $16 Billion Consumer Health Sale

French unions have initiated a strike at Sanofi protesting the planned sale of its consumer health division. Concerns over job losses and control of strategic assets have been raised. The French government demands assurances to support the deal while Sanofi promises minimal impact on its French operations.

In response to French unions' call for action, employees at Sanofi will strike starting Thursday over the planned $16 billion sale of its consumer health arm. This move adds complexity to the deal, as unions, including CGT and CFDT, voice concerns over potential job losses.

Politicians have also entered the fray, warning that the sale could undermine France's self-sufficiency in healthcare despite governmental pledges. Economy Minister Antoine Armand suggested the government might take a stake in the unit to ensure production stays within French borders.

Sanofi reassured the public that no job cuts are planned and emphasized its commitment to retaining production in France. However, in light of regulatory concerns affecting its stock, Sanofi is under pressure to clarify its strategy in upcoming earnings reports.

(With inputs from agencies.)