Novo Nordisk, the Danish pharmaceutical company known for its diabetes and obesity treatments, has announced plans to lay off approximately 9,000 employees—representing 11.5% of its global workforce—as part of a sweeping restructuring initiative.
The move is aimed at simplifying operations, improving decision-making speed, and reallocating resources toward high-growth areas such as diabetes and obesity care.
The company, which currently employs around 78,400 people worldwide, expects the restructuring to generate annual savings of 8 billion Danish kroner (approximately $1.3 billion) by the end of 2026.
Strategic Shift Under New Leadership at Novo Nordisk
The announcement comes shortly after Mike Doustdar assumed the role of CEO in August 2025.
In his statement, Mike emphasized the need for Novo Nordisk to evolve in response to shifting market dynamics, particularly in the obesity segment, which has become increasingly competitive and consumer-driven.
“Our markets are evolving, particularly in obesity, as it has become more competitive and consumer-driven. Our company must evolve as well,” Mike said.
“This means instilling an increased performance-based culture, deploying our resources more effectively, and prioritizing investment where it will have the most impact—behind our leading therapy areas”.
Geographic Impact and Financial Implications
Of the 9,000 job cuts, approximately 5,000 will occur in Denmark, Novo Nordisk’s home country.
The company has also implemented a global hiring freeze for non-critical roles, signaling a broader effort to control costs and streamline operations.
Novo Nordisk expects to incur restructuring charges of around $1.41 billion in Q3 2025, with partial savings of $157 million anticipated in Q4.
As a result, the company has revised its operating profit growth forecast for the year to 4–10%, down from its previous projection of 10–16%.
Organizational Complexity and Long-Term Vision
Novo Nordisk’s rapid expansion over the past five years—growing from 43,700 employees in 2020 to over 78,000 in 2025—has introduced operational complexity and increased costs.
The restructuring aims to reverse this trend by creating a more agile organization capable of responding quickly to evolving patient needs.
“Our goal remains unchanged as we work to deepen our leadership in diabetes and obesity, broaden patient access worldwide, and continue our mission to defeat serious chronic diseases,” Mike noted in a LinkedIn post.
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