Bad news for employees of THIS company as it fires 9,000 employees due to…, Not Ratan Tata’s TCS, Azim Premji’s Wipro or Narayana Murthy’s Infosys

Danish pharma giant Novo Nordisk has laid off about 9,000 employees, which is about 11.5% of its global workforce in order to simplify organisational structure, speed up decision-making.

Layoff update: In a significant layoff update from the global workforce, Danish pharma giant Novo Nordisk has announced layoffs of about 9,000 employees, representing about 11.5% of its global workforce i.e., 78,400 employee. The maker of popular weight loss drug Wegovy said the move was taken to simplify organisational structure, speed up decision-making and reallocate resources to the diabetes and obesity segment. As per media reports, about 5,000 of these jobs from the Novo Nordisk will be lost in Denmark. Here are all the details you need to know about the recent layoff announced by Danish pharma giant Novo Nordisk.

Why Danish pharma giant Novo Nordisk has announced layoff?

The decision is the first major step by the company’s new CEO Mazyar Maik Doostdar, who replaced Lars Fruegaard Jorgensen last month. Currently, Novo Nordisk is facing difficulties in maintaining US market share. Supply chain problems, competition from rival Eli Lilly and availability of cheaper weight loss drugs remain challenges for it. Notably, Novo Nordisk is a Danish multinational pharmaceutical company headquartered in Bagsværd, with production facilities in nine countries and affiliates or offices in five.

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Doostdar has set three priorities – maintaining Novo’s leadership position in diabetes and obesity treatment, promoting a high performance culture and increasing efficiency by restructuring the cost structure.

Story highlights:

1. Danish pharma giant Novo Nordisk has announced massive layoffs.
2. Danish pharma giant Novo Nordisk has announced layoffs of about 9,000 employees.
3. The move comes as the company faces competition in market.

How many employees will be impacted at Novo Nordisk?

The layoffs will cost the company a one-time cost of 8 billion Danish kroner ($1.26 billion). The company expects profit growth to be in the range of 4% to 10% after that, down from the 10% to 16% forecast for the August quarter.