Is Novo Nordisk Really Cutting 11% of Its Global Workforce to Save $1.3 Billion by 2026?
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Synopsis
Novo Nordisk is making drastic changes as it plans to cut 11% of its workforce, which equates to 9,000 jobs, in an effort to save $1.3 billion by 2026. This significant restructuring is driven by the need to remain competitive in a rapidly evolving market.
Key Takeaways
- Novo Nordisk will cut 9,000 jobs globally.
- The layoffs represent 11% of its workforce.
- The company aims to save $1.3 billion by the end of 2026.
- Restructuring focuses on diabetes and obesity growth.
- CEO Mike Doustdar emphasizes adapting to market changes.
New Delhi, Sep 10 (NationPress) In a significant restructuring initiative, Danish pharmaceutical giant Novo Nordisk revealed on Wednesday its intention to eliminate 9,000 jobs, representing 11 percent of its total global workforce, aiming to achieve savings of $1.3 billion by the conclusion of 2026.
The company stated that this restructuring aims to streamline operations, enhance the speed of decision-making, and reallocate resources towards growth prospects in diabetes and obesity sectors.
Facing increasing competition from US rival Eli Lilly, known for its successful weight-loss drug Wegovy, Novo Nordisk has adjusted its profit forecast downward for the third time this year.
Sales of Wegovy and its diabetes medication Ozempic are reportedly facing challenges with market share and slow sales growth, particularly in the US.
"Our markets are changing, especially in the obesity segment, which has become more competitive and consumer-focused. Our company must adapt accordingly," stated CEO Mike Doustdar, who took over leadership just last month.
"This involves fostering a stronger performance-oriented culture, utilizing our resources more efficiently, and prioritizing investments where they will yield the most significant results—in our leading therapeutic areas," he added.
Currently, Novo has a global workforce of 78,400, with approximately 5,000 job reductions occurring in its home country of Denmark. This announcement follows a global hiring freeze implemented last month for non-essential roles.
“These alterations are aimed at achieving two objectives simultaneously—realigning resources towards impactful R&D and commercial initiatives while establishing a more agile organization that can quickly respond to the evolving needs of millions facing chronic diseases,” Doustdar shared on the professional networking platform LinkedIn.
“Our objectives remain constant as we strive to strengthen our leadership in diabetes and obesity, expand patient access globally, and persist in our mission to combat serious chronic illnesses.
“Often, the hardest choices yield the best outcomes for the future we envision. I am confident this is the right direction for the sustained success of Novo Nordisk,” the CEO concluded.
Point of View
It is essential to report on Novo Nordisk's significant restructuring move with impartiality. The decision to cut jobs reflects the pressure the company faces in a competitive market, particularly from rivals like Eli Lilly. This approach, while difficult, appears necessary for the company's long-term success and commitment to addressing chronic diseases.
NationPress
10/09/2025
Frequently Asked Questions
Why is Novo Nordisk laying off employees?
Novo Nordisk is restructuring to streamline its operations and focus on growth areas in diabetes and obesity, aiming to save $1.3 billion by 2026.
How many jobs will be cut?
The company plans to cut 9,000 jobs, which is approximately 11 percent of its global workforce.
Where will the job cuts primarily occur?
Around 5,000 of the job reductions will take place in Denmark, where the company is headquartered.
What is Novo Nordisk's future strategy?
The company aims to enhance decision-making speed, realign resources towards high-impact initiatives, and foster a performance-driven culture.
What challenges is Novo Nordisk facing?
The company is dealing with increased competition, particularly from Eli Lilly, which has affected market share and sales growth for its diabetes and obesity treatments.
