Novo Nordisk Imposes Global Recruitment Freeze for Non-Essential Positions

Novo Nordisk has suspended all non-essential recruitment globally, focusing on areas not critical to its business. The company, which manufactures Wegovy, saw its market capitalization drop by $70bn in July after a profit warning. New CEO Mike Doustdar is considering job cuts as part of a cost-cutting plan.

Novo Nordisk A/S, the Danish pharmaceutical giant, has implemented a global hiring freeze as part of a broader cost-cutting initiative. The move comes amidst a challenging market environment and follows a significant drop in the company's market capitalization after a profit warning in July. The hiring freeze, which applies across all markets and departments except for business-critical roles, is aimed at regaining financial footing in the competitive pharmaceutical market.

The decision to suspend non-essential recruitment was announced by Novo Nordisk's new CEO, Maziar Mike Doustdar, who has signaled that job cuts may be part of the company's cost-cutting plan. The hiring freeze is expected to be temporary and is part of a broader effort to exercise greater discipline and prudence on spending. The company's workforce has grown significantly in recent years, reaching over 78,000 people, primarily due to the production of its blockbuster drugs, Ozempic and Wegovy.

The latest hiring freeze follows a series of strategic measures by Novo Nordisk to enhance its competitive position. In August, the company announced a significant price reduction for its GLP-1 medication Ozempic, making it more affordable for uninsured patients in the U.S. The discounted price of $499 per month was made available through the company's direct-to-consumer online pharmacy, NovoCare, and via a collaboration with drug savings platform GoodRx.

Novo Nordisk's cost-cutting efforts are also driven by mounting political pressure to lower drug prices, as seen in the U.S. under former President Donald Trump. The company has faced increasing scrutiny over the affordability of its medications and has been actively working to address this issue.

The global hiring freeze and cost-cutting measures by Novo Nordisk are part of a broader trend in the pharmaceutical industry, where companies are seeking to balance growth with financial prudence. As the industry continues to face regulatory and market pressures, companies are adopting more disciplined approaches to spending and recruitment.

References:
[1] https://njbiz.com/novo-nordisk-ozempic-price-499-us-patients/
[2] https://www.bloomberg.com/news/articles/2025-08-20/novo-nordisk-s-new-ceo-starts-hiring-freeze-in-cost-cutting-push-mejscm29