Major Multinational Pharma Companies Continue Global Layoffs Amid Restructuring and Cost-Cutting Initiatives

▲October 26-27, Chengdu
China Clinical Trials Industry Development ConferenceClick for FreeRegistration

Note:This article does not constitute any investment opinions or suggestions., subject to official/company announcements;This article only introduces drugs related to medical health, not a recommendation of treatment options (if involved), and does not represent the platform's position.Any article reprinted needs to be authorized.

According to several Irish local news sources on October 1st, Pfizer plans to cut up to 210 jobs in Ireland.The company spokesperson told Fierce Pharma that the pharmaceutical manufacturer "recently launched a multi-year, multi-phase plan aimed at evaluating our production efficiency, with the initial phase focusing on finding operational efficiencies to enhance productivity within the network."This has led to the company's goal of "reducing the number of people supporting our overall manufacturing operations in Ireland."The spokesperson stated that the proposed layoffs will affect certain workers at the company's Grange Castle, Ringaskiddy, and Newbridge facilities during the remainder of 2024 and into 2025.

A Pfizer spokesperson explained: "Reducing jobs is always a last resort. We have been doing everything possible to cut costs in other areas and minimize the impact on our employees. We are actively engaging with our colleagues and their representatives, and all work-related decisions will be made in a transparent and respectful manner, in compliance with all applicable laws."

The proposed cuts come as Pfizer launches a global campaign to reduce costs by $4 billion before the end of 2024.In addition, Pfizer revealed a plan in May to cut additional costs by 2027.

Pfizer's Cost Reduction: A Response to Post-COVID-19 Revenue Decline. After the company's sales peaked at around $100 billion in 2022, the pharmaceutical giant forecasts global revenue of $59.5 to $62.5 billion this year.

Johnson & Johnson is cutting 231 jobs in New Jersey, and Bayer is eliminating 57 positions in the state, according to separate Worker Adjustment and Retraining Notification (WARN) filings by the two companies.Both companies have confirmed the price cuts. J&J's layoffs will take place at its corporate headquarters in New Brunswick. Bayer's layoffs represent another round of cuts this year at its U.S. headquarters in Whippany.Neither company provided specifics on which employees would be affected.The layoffs at the two companies will take effect on December 27 this year.

In its WARN file,J&J refers to the layoffs as "organizational changes due to business needs.""In order to continue meeting the needs of patients around the world today and in the coming years, we must adapt and develop our business in a complex and rapidly changing external environment," a company spokesperson said in an emailed statement.

And Bayer inReform of its crop science department began in January this year, resulting in layoffs.With at least 27 years of experience in the companyThree executives.As of the first half of 2024, 3,200 positions have been cut.It was revealed that,This round of layoffs will continue until 2025, with the goal of saving the company €500 million ($541 million) in operating costs this year and €2 billion ($2.16 billion) by 2026."We are adopting a new operational model, which comes with a new organizational structure," a Bayer spokesperson said in a statement."Our new organizational approach will achieve greater agility, enabling employees to innovate and act, and deepen our focus on the mission."”