Novo Nordisk Restructures, Reduces Workforce by 11%

Novo Nordisk is streamlining its operations in an effort to improve the speed of decision-making and to reallocate resources towards the company’s growth opportunities in diabetes and obesity. As part of the transformation, Novo Nordisk is reducing the global workforce by approximately 9,000 of the 78,400 positions in the company, with around 5,000 reductions expected in Denmark.

According to the company, the transformation reflects competing in a more dynamic and consumer-driven obesity market, as evidenced by the recent slowdown in growth. The restructuring aims to address increased organizational complexity and costs due to the company’s rapid scaling over the past several years.

The workforce reduction is expected across the company, including staff areas and headquarters functions, and is expected to deliver total annualized savings of around DKK 8 billion by the end of 2026. The savings will be redirected to growth opportunities in diabetes and obesity, including commercial execution initiatives and R&D programs. The implementation will begin immediately. 

Mike Doustdar, Novo Nordisk president and CEO, said, “As the global leader in obesity and diabetes, Novo Nordisk delivers life-changing products for patients worldwide. But our markets are evolving, particularly in obesity, as it has become more competitive and consumer-driven. Our company must evolve as well. This means instilling an increased performance-based culture, deploying our resources ever more effectively, and prioritizing investment where it will have the most impact – behind our leading therapy areas.”