EAST HANOVER — The Swiss pharmaceutical giant Novartis has announced plans to lay off 427 employees at its U.S. headquarters in East Hanover. According to a Worker Adjustment and Retraining Notification (WARN) filed with the state, these layoffs are scheduled to occur between June 13 and October 24, 2025.
This decision is part of a broader restructuring initiative to optimize the company’s cardiovascular commercialization model. The restructuring is designed to support Novartis’ evolving cardiovascular portfolio, which includes the cholesterol-lowering medication Leqvio and the anticipated launch of Pelacarsen, a new cardiovascular treatment.
A significant factor influencing this restructuring is the impending loss of patent exclusivity for Entresto, Novartis’ leading heart failure medication. Entresto has been a major revenue driver for the company, generating over $6 billion in global sales last year. The patent expires in July 2025, opening the door for generic competition. Novartis has engaged in legal battles to extend its market exclusivity but has faced setbacks in U.S. courts.
This latest round of layoffs adds to previous workforce reductions at the East Hanover site. In the past three years, Novartis has implemented several layoffs as part of a global strategy to streamline operations and focus on core therapeutic areas.
Despite these challenges, Novartis remains optimistic about its future. The company expects continued profit and sales growth, driven by its diversified portfolio and new product launches. CEO Vas Narasimhan has expressed confidence in securing regulatory approvals for 15 new medicines this year, including a label expansion for the prostate cancer drug Pluvicto in the U.S.
The restructuring and layoffs underscore the pharmaceutical industry’s challenges in balancing innovation, patent lifecycles, and market competition. As Novartis adapts to these changes, the company emphasizes its commitment to delivering impactful treatments to patients worldwide.
