Sector News

Eli Lilly plots 250 job cuts in €100M revamp of French plant

January 11, 2019
Life sciences

Boehringer Ingelheim and Sanofi aren’t the only pharma companies chopping jobs in France. Now, Eli Lilly says it’s cutting 250 positions as part of a “modernization” effort at a plant in Fegersheim.

The cuts will come through a “voluntary exit plan” that Lilly will negotiate with local unions, a spokesperson said; they’ll take place through the end of 2020. About 1,550 employees work at the site, which produces insulins and oncology drugs, and specializes in injectable pens, according to Lilly’s corporate website in Europe.

Along with the cuts, Lilly announced plans to invest more than €100 million for new technology at the site, such as new capabilities in digitally connected products. That effort builds on a €300 million investment at the site in recent years.

“The need for a transformation plan is due to market pricing pressures that require more rigorous manufacturing cost management as well as the growing competition from additional diabetes products,” Lilly’s representative said.

The cuts follow moves by Boehringer and Sanofi to trim down in the country. Last month, Sanofi told Reuters it was planning 670 layoffs through 2020, also through “voluntary departures.” And a few days later, BI’s president in France told FiercePharma his company plans to trim 327 jobs in the country but add 32 positions, for a net loss of 295 employees.

At Lilly, the latest announcement pales in comparison to the restructuring implemented by CEO David Ricks in September 2017. Under that $500 million cost-cutting effort, Lilly moved to shrink its workforce by 3,500 employees, with many of the exits coming in the form of early retirements.

By Eric Sagonowsky

Source: Fierce Pharma

comments closed

Related News

June 24, 2022

Echosens and Novo Nordisk announce partnership to increase awareness and advance early diagnosis of NASH

Life sciences

Echosens, a high-technology company offering liver diagnostic solutions, and Novo Nordisk A/S, a leading global healthcare company, announced a partnership to advance early diagnosis of non-alcoholic steatohepatitis (NASH) and increase awareness of the disease among patients, healthcare providers and other stakeholders.

June 24, 2022

argenx receives positive CHMP opinion for Efgartigimod for the treatment of adult patients with Generalized Myasthenia Gravis in Europe

Life sciences

Positive opinion based on Phase 3 ADAPT trial showing efgartigimod provided clinically meaningful improvements in strength and quality of life measures. If approved, efgartigimod will be the first neonatal Fc receptor (FcRn) blocker for the treatment of adults in Europe living with rare neuromuscular disease generalized myasthenia gravis (gMG).

June 24, 2022

Galapagos finally takes M&A plunge, spending $251M for 2 biotechs in CAR-T push

Life sciences

Galapagos CEO Paul Stoffels, M.D., has finally taken the plunge on M&A. The newly minted chief executive has signed not one but two deals in an attempt to right the ship, bringing two small biotechs aboard for a combined 239 million euros ($251.4 million).