Novo Nordisk Reportedly Slashes Workforce At Its US Wegovy Manufacturing Plant

Danish drugmaker Novo Nordisk (NVO) has reportedly laid off dozens of employees at its largest U.S. manufacturing site, which produces its blockbuster Semaglutide drugs.

According to a Reuters report, citing a review of LinkedIn posts, the job cuts included staff in manufacturing roles, from quality control to production line technicians at Novo’s major Clayton, North Carolina, plant and other facilities in the state. It also includes a strategic communications manager and an HR assistant, the report added.

The Clayton facility makes Semaglutide, the active ingredient in the company’s blockbuster Wegovy and Ozempic. It also does steps including filling, finishing, and packaging the injections. It will also play a part in the production of the pill version of Wegovy once available, Reuters noted.

Notably, Novo announced layoffs in September and forecast billions in annual savings. The company had said that it would cut 9,000 positions, or about 11.5% of its 78,400-strong global workforce, as part of a company-wide transformation. About 5,000 roles will be eliminated in Denmark, it said.

The restructuring is expected to save eight billion Danish crowns ($1.26 billion) annually by 2026 and will focus resources on diabetes and obesity, Novo’s key growth areas. Reuters noted that the exact reason and number for layoffs in Clayton are unclear.

Shares of NVO stock fell 1% in the pre-market session at the time of writing. On Stocktwits, retail sentiment around NVO stock stayed within the ‘neutral’ territory over the past 24 hours, and message volume stayed within ‘normal’ levels.

NVO stock fell 31% this year and by about 49% over the past 12 months. 

Read also: GRRR Shares Rally Over 4% Pre-Market, Retail Says Stock Should Be Trading Over $40: ‘Unbelievable! Way, Way Undervalued’

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