2nd Round of Layoffs at Gish Biomedical

Irvine-based Gish Biomedical Inc. dismissed almost a quarter of its employees Friday, the second major layoff announced this year by the struggling company.

Gish executives said the move was designed to bring the company’s overhead into line with industry norms. Gish eliminated 48 jobs, reducing the work force to 159. About half of the cuts came from its manufacturing division.

“We’re attempting to make the company more efficient,” board member Howard Bovers said.

Gish, which makes disposable products used in cardiovascular, orthopedic and oncologic surgeries, is in the midst of a financial and administrative overhaul.

The company’s chief executive resigned last week. Bovers heads a committee handling administrative decisions until a replacement is named.

Gish has lost more than $5 million since 1997. Its sales dropped 8% in the fiscal year that ended June 30.

Early this year, Gish announced it had shed about 45 employees over a seven-month period. Executives indicated the company would look to acquire or be acquired by other companies to bolster its profile.

The employees laid off Friday will receive two to five weeks’ severance pay, depending on how long they worked for Gish.

Gish stock was up 13 cents Friday, closing at $2.75. The job cuts were announced after U.S. markets closed.