AstraZeneca could cut over 1,000 manufacturing jobs globally in a restructuring programme that will hit over 7,000 employees.
The restructure will deliver over $1.6 billion in benefits by 2014, AstraZeneca claimed.
David Brennan, chief executive officer, at AstraZeneca said: "Today's initiatives should be seen in this strategic context as we continue to reshape our business to improve productivity and innovation and with it our long-term ability to compete in a rapidly changing healthcare environment."
He added: "We are acutely aware that these decisions will affect many employees and we will strive to support our people as we implement these changes."
Operations, including manufacturing, is one of the three main divisions hit by the cuts alongside R&D and Selling, General & Administrative.
A company statement said: "In recent years, AstraZeneca has made a number of strategic changes to improve the efficiency and effectiveness of its supply chain and outsource some manufacturing activit... The new programme will drive further efficiency in the supply chain, with a particular focus on support functions in operations."
The total number of jobs being lost in the UK remains unclear. But Unite the Union said it was in talks over 250-300 planned cuts at AstraZeneca's Alderly site in Cheshire.
Unite national officer Linda McCulloch said: "This is a blow to Britain's research and development base and Unite will be doing everything possible to minimise compulsory redundancies at Alderly Park.
"These are cutting edge jobs, Astra Zeneca must do everything possible to retain these highly skilled and specialised roles. The UK can not afford to lose these advanced, scientific skills."