The New Pandemic Of Layoffs

Employees across various sectors have been hit hard due to various restructuring measures leading to layoffs.

It is quite detrimental for an employee to lose a job, however, various factors play a role in a company to take the harshest possible measures. Globally pharma companies have been going in for layoffs and the Asia Pacific region is no exception to this. We will take a look at the layoffs in pharma companies across the globe.

The word layoff is accustomed to us and many companies across the globe take part in this exercise. Excuses like global recession, the so-called term ‘restructuring’ etc. are often used when companies take part in this exercise. Bad management policies and inability to sustain in a competitive environment are some of the other factors leading to layoffs. The pharma sector is no exception and according to media reports, there have been quite some layoffs happening now and then. Though in a company hierarchy, the top management usually remains hardly affected by this exercise, it is the middle and low-rung employees who suffer the most. Adding to it, the COVID-19 pandemic led to many openings in the healthcare and pharma industry.

With the pandemic weaning off, a lot of companies have gone back to the drawing board to analyse the drop in COVID-19 tests, vaccines, hospitalisations etc. Geopolitical chaos, including the Russia-Ukraine war, the resurgence of COVID-19 in China, climate change, etc., further impact the market dynamics. War-associated sanctions have raised energy and commodities prices, alongside constantly increasing costs of essential raw materials and API, labour, packaging materials, and intermediary costs, impacting overall production timelines and prices.