The story behind Biogen’s 1,000 job cuts and R&D refocus

Cambridge-based biotech Biogen has unveiled plans to cut 1,000 jobs, or 11% of its workforce, as it prepares for the launch of its newly approved Alzheimer’s disease drug, Leqembi (lecanemab) that it developed with Eisai.  This move follows a pattern of significant layoffs, with the company having cut 885 jobs last year after the troubled rollout of its Alzheimer’s drug Aduhelm.

The scope and rationale for the Biogen job cuts

Last year, Biogen eliminated 885 positions following the rocky launch of its initial Alzheimer’s drug Aduhelm in 2021. The latest job cuts are part of Biogen’s new “Fit for Growth” strategic plan aimed at prioritizing resources towards high-value programs with growth potential. The plan intends to deliver $1 billion in gross operating expense savings by 2025. After reinvesting $300 million into product launches and R&D, this would result in $700 million in net savings based on the company’s projections.

“As we looked at the R&…

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