A pharmaceutical giant plans to close its UK plant and cut 400 jobs!

[industry trends of pharmaceutical network] a few days ago, Novartis announced its 2019 results, achieving a total revenue of US $47.445 billion, a year-on-year increase of 6% This performance was achieved after Novartis officially completed the division of Alcon, the ophthalmic business unit, in 2019, including $37.7 billion in revenue from innovative medicine business and $9.7 billion in revenue from Sandoz, the generic business unit From the product sales in 2019 disclosed in the financial report, it can be seen that Novartis is the world's biggest winner in 2019 when innovative drugs are approved, and 6 new drugs have been approved by FDA In addition to egaten, which is used to treat Fasciola flaccida, the remaining five new molecular entities have the potential of heavy bombs However, in the case of good performance, recently it was reported that Novartis plans to stop its Grimsby business in the UK in order to integrate its manufacturing business into a more high-end technology focused goal It is reported that this is one of the three main manufacturing plants of Novartis, and its production team has a high reputation within the company In addition, Novartis said that unless a buyer could be found, 400 workers would be out of work on a date and would hit the local economy by at least £ 23 million In fact, this is not Novartis' first sale of the plant In recent years, Novartis has been closing and selling large and formula production facilities For example, in September last year, Novartis announced to sell 100% of the equity of Suzhou Novartis Pharmaceutical Technology Co., Ltd after divesting technology and drug development assets to Jiuzhou pharmaceutical industry with a transfer of 790 million yuan It later announced that it would sell 36.5% of its consumer healthcare joint venture to GlaxoSmithKline for $13 billion, and split Alcon's eye care business into an independent company Like Novartis, there are not a few pharmaceutical companies that have made layoffs in recent years due to the divestiture of non core businesses For example, in order to focus more on innovative R & D and seize market growth opportunities, MSD announced a large-scale layoff, which will cut about 500 jobs in several states of the United States from January 3, 2020 Roche, after selling three small molecule drug factories in the United States, Italy and Spain, plans to close another small molecule drug factory in Ireland this year and cut 132 jobs In fact, all pharmaceutical companies are under great pressure to cut spending as R & D returns decline and competition intensifies Through the integration of resources, they found some hope: to use M & A to establish an advantageous scale in the selected treatment field, and to divest non core assets at the same time The deal creates what companies call "synergies," but it also means cost cutting and further layoffs
It is generally believed in the industry that innovative products will become the driving force for the performance growth of multinational pharmaceutical enterprises in the future Through R & D, M & A, restructuring.. In the process of continuously integrating into new sectors or stripping non core businesses, new jobs will continue to emerge, but at the same time, it can be predicted that the trend of layoffs will also gradually emerge, which has been in 2020 There is a tendency to continue to spread