Danish healthcare company Novo Nordisk said it planned to reduce its global workforce by about 9,000 roles, as part of “company-wide transformation” efforts to streamline operations and reinvest in diabetes and obesity linked opportunities.
In fact, the Denmark-headquartered company has been hitting global headlines over its diabetes and weight loss drug semaglutide, popular internationally as Ozempic and Wegovy.
While 5,000 of these reductions were expected in Denmark, according to the company, details on the remaining workforce reduction have not been shared.
The company employs about 78,400 people across 80 countries, including India, besides marketing its products in around 170 countries.
It has been in the news in India recently, having brought its injectable weight loss drug Wegovy, just months ago. Its oral tablet version of semaglutide has already been available in India, as have other diabetes-centric drugs and insulins, among others.
The India-impact of this global decision is unclear, but a Novo Nordisk spokesperson responded to businessline saying: “This is a global transformation, and each country, site or region will be impacted differently. We will not be able to share specific numbers or additional facts about India until plans are finalised and the appropriate consultations have been carried out in line with local labour laws.”
Price-erosion
Some patents on Novo’s blockbuster drug semaglutide expire next year in countries including India – indicating a price-erosion was in store, as a host of generic drugmakers ready their versions of these diabetes and obesity drugs for India and other markets.
Mike Doustdar, Novo Nordisk president and Chief Executive, said in a statement, “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 prioritising investment where it will have the most impact – behind our leading therapy areas.”
The workforce reduction will include staff areas and headquarters functions, and is expected to deliver total annualised savings of around (Danish krone) DKK 8 billion by the end of 2026, the company said. Implementation will begin immediately, and the company expected to “communicate with affected employees over the next few months, pending negotiations as per local legal labour market requirements,” it said.
Global demand
The transformation reflected Novo’s commitment “to meet rising global demand while also competing in a more dynamic and consumer-driven obesity market, as evidenced by the recent slowdown in growth,” it said. Over the past years, “Novo Nordisk’s rapid scaling has increased organisational complexity and costs,” it added.
The company-wide transformation comes with an expected DKK 8 billion in net one-off restructuring costs, including impairment charges. Restructuring costs of around DKK 9 billion will be incurred in the third quarter of 2025, countered by savings of around DKK 1 billion in the fourth quarter, it said.
Published on September 10, 2025
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