Novo Nordisk Announces Major Job Cuts Amid Rising Competition in Weight-Loss Drug Market
Novo Nordisk, the renowned Danish pharmaceutical company, announced on September 10, 2025, that it will be laying off approximately 9,000 employees globally. This accounts for 11.5% of its total workforce. The decision comes as the company grapples with escalating competition in the weight-loss drug market. Novo Nordisk, the producer of the successful obesity medication Wegovy, stated that 5,000 of these layoffs will take place in Denmark, marking the most significant layoff in the company’s history.
The restructuring is part of a strategic plan to save 8 billion Danish crowns ($1.25 billion) annually by the end of 2026. The company plans to redirect these savings towards research, development, and manufacturing expansion. “Following a period of hyper-growth in employee numbers, Novo is resizing headcount with the aim to reduce complexity in the organization,” noted UBS analysts.
The job cuts announcement coincides with the rise of rival Eli Lilly’s Zepbound, which has been gaining market share against Wegovy in the crucial U.S. market. Novo Nordisk’s stock has seen a significant drop of 46% since the beginning of 2025, plummeting from its peak market cap of $650 billion to approximately $181 billion as the competition intensifies in the obesity drug sector.
Source: CNBC