Novartis to lay off 427 in North Jersey as drug patent expires
Daniel Munoz- In 2022, Novartis said it would cut 8,000 jobs globally, Reuters reported, which would save the company $1 billion over the next two years
Global drugmaker Novartis will lay off 427 employees in East Hanover this spring and summer, after it let go of 235 at the Morris County site last year, filings with the New Jersey Department of Labor show.
Novartis has over 3,000 employees working at its campus in East Hanover, and 12,000 employees nationwide, said Novartis spokesperson Michael Meo. The 427 layoffs will go into effect between June 13 and Oct. 24 this year, public filings show.
In 2022, Novartis said it would cut 8,000 jobs globally, Reuters reported, a move that would save the company $1 billion over the next two years. Additionally, the company spun off its generics and biosimilars unit Sandoz in 2023.
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This round of layoffs was triggered by that fact that Novartis’ patent expired on Entresto, its heart condition medication, Meo said. In addition, the pharmaceutical giant has been shifting focus to its cholesterol medication Leqvio, and the launch of Pelacarsen, a cardiovascular medication.
Novartis shrinking its Morris County campus
R&O announced that it had acquired 62 acres of the former Novartis campus in 2021. At the time of the sale, the company planned to demolish 900,000 square feet of empty office space on the campus, including the iconic eight-story tower that sits atop a corner knoll on Route 10.
Novartis still has operations in neighboring buildings to the south. The entire 202-acre Novartis campus before the sale was assessed at $425 million in 2021 and generated $10.2 million in property taxes for the township, tax records show.
In December 2024, business magazine Real Estate New Jersey reported that Morristown-based New Vernon Equities had acquired the site with plans to develop office space for life science and pharmaceutical companies.
Over 13,000 layoffs across NJ in 2024
Nearly 100 New Jersey companies announced more than 13,300 layoffs combined in 2024, public records show, as white-collar sectors such as pharmaceuticals, banking and finance tightened job counts.
Not all 13,332 people were necessarily out of a job. For example, a layoff notice was filed for 157 people from the Metropolitan YMCA in Wayne, but many of those workers were rehired.
Big Lots said late in December that it was handing 385 workers the pink slip, but then announced a last-minute deal to keep 400 of its stores open.
Daniel Munoz covers business, consumer affairs, labor and the economy for NorthJersey.com and The Record.
Email: munozd@northjersey.com; Twitter:@danielmunoz100 and Facebook