Novo Nordisk, the Danish pharmaceutical company known for its weight-loss drug Wegovy and diabetes medicine Ozempic, has announced plans to lay off about 9,000 employees worldwide.
This represents almost 11% of its total workforce of 78,400 employees. The company said the move is part of a larger plan to simplify operations and focus on growing areas like diabetes and obesity treatments.
The layoffs are expected to save the company around 8 billion Danish kroner, or about $1.25 billion, each year by the end of 2026. While the restructuring is costly in the short term, it aims to strengthen the company’s focus and efficiency in key therapy areas.
About 5,000 of the job cuts will take place in Denmark, where the company is headquartered. The rest will affect employees in other countries. Novo Nordisk has stated that production and sales operations will not be affected immediately, so drug supply and customer service will continue without disruption.
This restructuring is the first major move by the company’s new CEO, Mike Doustdar, who stepped in August 2025. Doustdar stated that the company needs to adapt to the changing market, particularly with respect to the obesity area, which has grown more competitive and customer-centric.
He also highlighted the importance of creating a performance-focused culture and using company resources in the areas that matter most.
Novo Nordisk's share prices have already undergone a bearish spell through competition from rivals like Eli Lilly and generic manufacturers standing by with an increasing number of generics for obesity drugs. While the company previously forecasted profits to grow about 10% -16% by 2025, the figure has now been brought down to a range of 4% - 10%.
The company is, however, going to bring the savings resulting from the layoff back into research and development, especially with diabetes and obesity treatments. It will also invest in treatment for rare diseases and other crucial medical fields.
The experts have suggested putting the job cuts into the difficult-but-necessary step. Novo Nordisk intends to stay competitive and capitalize on the disruptions in healthcare while strengthening its core business areas. The company wants to achieve a much faster pace in decision-making and to focus on treatments that will create long-term growth.
Novo Nordisk's worldwide restructuring draws attention to how fast the markets have shifted and how even the leading pharmaceutical companies face such challenges. Under the leadership of Mike Doustdar, the company is set to be stronger, leaner, and properly prepared for the future growth of diabetes and obesity care.