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Pharma giant with large Mass. footprint to slash 9,000 jobs globally
The company has not provided details on how local operations will be affected.
The Danish pharmaceutical company Novo Nordisk, the maker of GLP-1 for diabetes and obesity, announced it is reducing its workforce globally by 9,000 people by the end of 2026.
A company spokesperson declined to provide specific figures for the Boston operations, stating that “this is a global transformation,” and Novo Nordisk sites will each be impacted differently. The company has not yet finalized its plans for Boston.
In a 2024 fact sheet, the company shared that it has 450 employees in Massachusetts, where it has its US Research & Development Hub, with offices in Lexington, Watertown, and Cambridge.
In 2023, the company announced it was expanding its research and development presence in the greater Boston area, anticipating that it would add more than 200 jobs.
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The spokesperson declined to share an updated number of the company’s employees in the state but said all “major ongoing projects are expected to continue.”
According to the announcement, Novo Nordisk expects to reduce around 5,000 of the 78,4000 global positions in Denmark.
Novo Nordisk says its rapid growth has added organizational “complexity and costs.” To address this, the company plans to shift more investment toward its science, commercial capabilities, and manufacturing expansion.
These efforts will focus primarily on growth opportunities in diabetes and obesity, where the company has recently seen a slowdown.
The aim is to “reach the millions of people who remain untreated,” the release said.
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The company expects the workforce reduction to deliver over $1.25 billion in annualized savings by the end of 2026.
“As the global leader in obesity and diabetes, Novo Nordisk delivers life-changing products for patients worldwide,” said Mike Doustdar, Novo Nordisk president and CEO, in a statement. “But our markets are evolving, particularly in obesity, as it has become more competitive and consumer-driven.”
He continued, “Our company must evolve as well.”
Doustdar said the company will instill an increased performance-based culture, deploy resources more effectively, and prioritize investment.
“It is always difficult to see talented and valued colleagues go, but we are convinced that this is the right thing to do for the long-term success of Novo Nordisk,” Doustdar said.
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