Takeda, a leading Japanese drug manufacturer, is facing significant financial challenges that may lead to major job cuts. The company’s European headquarters in Opfikon, which employs 1,200 people, is experiencing a reduction in office space. Despite not being widely known in Switzerland as a pharmaceutical company, Takeda has a significant presence in the country with almost 2,000 employees.
The cost pressures at Takeda are widespread and have been highlighted by external sources familiar with the company’s situation. Analysts have also pointed to the need for a global cost-cutting program to improve profitability. The acquisition of Shire was one of the most expensive in pharmaceutical industry history and has not yielded the expected returns. Takeda is struggling with the loss of patent protection for key products like Vyvanse, leading to a decline in sales. The company’s growth prospects are weak, and it lacks new high-sales products in the pipeline.
Takeda also faces challenges related to digitalization efforts. While the company has launched digitalization initiatives, these may lead to job redundancies and strain on profit margins in the short term. Employees in Switzerland have previously experienced job cuts, and current cost pressures may lead to further reductions in staff.
Despite these challenges, Takeda remains committed to improving profitability and refreshing its product pipeline while also catching up on digitalization efforts. The impact of potential job cuts and cost-saving measures on employees remains uncertain but could have long-term consequences for the company’s morale and productivity.
