Novo Nordisk to cut 9,000 jobs in global restructuring
Novo Nordisk has announced plans to cut 9,000 jobs to refocus the business on its core diabetes and obesity drugs. The move affects approximately 5,000 positions in Denmark and amounts to an 11% reduction in its global workforce of 78,400 employees.
The decision will be a blow to the Danish economy, where the company accounted for around half of GDP growth in 2024; this dropped by 0.5% in the first quarter of 2025, leading to concerns that Denmark had a Nokia-like dependence on its star performer.
Novo Nordisk has had a turbulent time, with the surprise ousting of its CEO Lars Fruergaard Jørgensen, in May, and the damage caused by compounding of GLP-1 medicines in the US, which resulted in them slashing their second-quarter earnings guidance for 2025.
The US FDA allowed a grace period for the mass compounding of GLP-1s until 22 May 2025 to address shortages of the popular weight-loss drug. Still, the company says that the “unsafe and unlawful” mass compounding continues. Novo Nordisk is pursuing litigation and is “deeply concerned” by the lack of enforcement by federal and state regulators.
The FDA has issued a warning to consumers, where it reported that as of 31 July, 2025, it had received 605 reports of adverse events associated with compounded semaglutide, confirming Novo Nordisk's fears.
The company reports that some of the cuts are linked to increased costs and complexity related to its efforts to rapidly scale to address shortages. The company expects the cuts to deliver annual savings of DKK 8 billion (EUR 1 billion) by the end of 2026, which will be reinvested into research, manufacturing, and commercial expansion.
“As the global leader in obesity and diabetes, Novo Nordisk delivers life-changing products for patients worldwide. But our markets are evolving… Our company must evolve as well,” said President and CEO Mike Doustdar. He added the changes would help build “a performance-based culture” and ensure resources are directed “where they will have the most impact.”
The restructuring will cost the company about DKK 8 billion upfront, prompting Novo Nordisk to cut its 2025 operating profit growth forecast to 4–10% from a previous 10–16%.
Doustdar acknowledged the human cost: “It is always difficult to see talented and valued colleagues go, but we are convinced this is the right thing to do for the long-term success of Novo Nordisk.”
Asked if the shift meant pulling back from investment in other diseases, a Novo Nordisk spokesperson told Vital Signs the focus on diabetes and obesity won’t come at the expense of other areas: : “We have ambitious plans within Rare Disease, with several exciting product launches over the coming years.”