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    Home > Medical News > Latest Medical News > Not only multinational pharmaceutical companies, but also local pharmaceutical companies have become the norm! The pharmaceutical company reduced its staff by more than 2,300 people in half a year

    Not only multinational pharmaceutical companies, but also local pharmaceutical companies have become the norm! The pharmaceutical company reduced its staff by more than 2,300 people in half a year

    • Last Update: 2022-09-09
    • Source: Internet
    • Author: User
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    With the intensification of competition in the pharmaceutical market, the news of the adjustment of pharmaceutical enterprise affairs, personnel changes and layoffs continues
    .
    In recent years, a large number of multinational pharmaceutical companies such as Novartis, AstraZeneca, Sanofi, GlaxoSmithKline, AbbVie, Merck, and Bojian have announced layoffs, and local pharmaceutical companies have also reduced their staff more frequently
    .
     

    According to the statistics of Flush, 116 of the 442 listed pharmaceutical companies in 2021 carried out different degrees of layoffs, with a total of nearly 40,000
    layoffs.
    Among them, hengrui pharmaceutical, Yuheng pharmaceutical, Kangmei, Dongguang, Jingfeng and other large local pharmaceutical companies have laid off thousands of employees
    .
    And East Sunshine and Hengrui have laid off more than
    4,000 employees.
     

    Entering 2022, the news of layoffs by pharmaceutical companies continues, and the layoffs of pharmaceutical companies may be glimpsed from the semi-annual report
    .
    For example, on August 19, Hengrui Pharmaceutical released a semi-annual report showing that the company's sales staff in the first half of this year decreased by more than 2,300 people
    .
    The company said in the report, "Further streamline the sales staff, continue to reduce sales operating costs, and improve the efficiency
    of sales operations.
    " ”
     

    It is reported that in order to cope with the changes and intensification of competition in the pharmaceutical industry, Hengrui is accelerating its transformation and striving to achieve cost reduction and efficiency
    .
    In the first half of the year, Hengrui Pharmaceutical improved the per capita yield level by strengthening the performance management of sales cadres and business personnel, while further streamlining sales personnel, reducing sales operating costs and improving efficiency
    .
    In terms of management, by improving the product resale process, the quality risk of return transportation is reduced to save the cost
    of return transportation.

     

    In addition to reducing costs and increasing efficiency, Hengrui has also made efforts
    in research and development.
    In the first half of this year, the company invested 2.
    909 billion yuan in research and development, accounting for 28.
    44%
    of sales revenue year-on-year.

     

    For another example, the total number of employees disclosed by Dongyang Pharmaceutical last time was 3616, which was more than
    1,000 fewer than in 2021.
    According to the 2021 annual report, Dongguang Pharmaceutical achieved a turnover of 914 million yuan, a decrease of 61%
    over the previous year.

     

    Due to unsatisfactory performance, at the end of last year, Dongguang completed the transfer and delivery of 51.
    41% of the shares of Dongguang Pharmaceutical, so far, the pharmaceutical manufacturing sector is not included in the scope of the consolidated statements of Dongguang, which also reduces the adverse impact of
    the pharmaceutical manufacturing sector on the company's operating performance due to major changes in the operating environment.

     

    From the perspective of the motivation of major pharmaceutical companies to lay off employees, mainly affected by policies such as collection and collection, medical insurance control fees, etc.
    , collection and procurement has helped pharmaceutical companies save commercial promotion costs and open up channels for entering the hospital by exchanging price for quantity, which also means that the role of sales personnel is greatly reduced, so the layoffs of pharmaceutical companies are expected
    .
    In addition, in recent years, labor costs continue to rise, pharmaceutical companies are facing the challenge of cost control, with the advancement of new technologies such as digitalization and automation, digital production, digital operation and management have gradually entered the pharmaceutical factory, and some enterprises have also made decisions to
    reduce staff.

     

    However, while a number of pharmaceutical companies are laying off employees, there are also new recruits from enterprises, such as research and development positions and pharmaceutical representative positions
    .
    As of April 6, the number of employees in six CXO head companies increased, with a cumulative increase of 18,000.

    Among them, WuXi AppTec added 8501 employees, and 6899 people were R&D personnel, and BeiGene added 2822 R&D personnel in 2021, accounting for 96%
    of the annual R&D personnel.
    In addition, the number of R&D personnel of Hengrui Pharmaceutical in 2021 has also increased by 16%.
     

    In general, the current pharmaceutical market is surging and the transformation of pharmaceutical companies is accelerating, and once there is a business adjustment, it is impossible to avoid personnel changes and layoffs
    .
    The industry expects that the layoffs of pharmaceutical companies will continue to be normal in the
    future.

     

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