Biopharma Job Market Faces Challenges as Layoffs Continue and Openings Decline

The pharmaceutical and biotechnology industry is grappling with a tightening job market, as recent data reveals a significant decrease in job openings and a wave of layoffs affecting thousands of professionals. This trend is reshaping the employment landscape for biopharma workers and raising concerns about the sector's near-term growth prospects.

Job Postings Plummet Amid Rising Competition

According to recent data from BioSpace, the biopharma job market has experienced a sharp decline in available positions. In August, job postings on the BioSpace website dropped by 32% compared to the same period last year, reaching their lowest point for 2025 at 6,385 openings. This downturn is further emphasized by the average number of live job postings, which hit a yearly low of 2,903 in August.

The shrinking job market has led to intensified competition among job seekers. In August alone, BioSpace reported 32,089 applications for the available positions, significantly outnumbering the job openings. This trend has persisted throughout the year, indicating a growing disparity between job seekers and available opportunities in the biopharma sector.

Widespread Layoffs Compound Industry Challenges

The job market contraction is exacerbated by a series of layoffs across the industry. Through August 2025, BioSpace tallied approximately 26,600 employees laid off or projected to be laid off from 167 companies. This figure excludes contract development and manufacturing organizations, contract research organizations, tools and services businesses, and medical device firms.

Notable layoffs include:

• Novo Nordisk's announcement of 9,000 global job cuts, including 5,000 in Denmark
• Bayer's elimination of about 2,000 positions in the first quarter
• Teva Pharmaceuticals' plan to lay off around 2,900 staff worldwide by 2027
• Merck's projection to cut about 6,000 jobs globally as part of a multi-year process

The impact of these layoffs extends beyond immediate job losses. A recent BioSpace survey of 110 respondents revealed the negative effects on biopharma professionals, with 34% disagreeing that being laid off was ultimately beneficial. Respondents reported difficulties in finding new positions, emotional stress, and financial setbacks.

Broader Economic Indicators Signal Slowdown

The challenges in the biopharma sector align with broader economic trends. The U.S. Bureau of Labor Statistics reported that the professional and business services sector, which includes scientific services, lost 17,000 jobs in August. Additionally, the number of long-term unemployed individuals in the U.S. has increased by 385,000 over the past year.

Economists from Wells Fargo noted that the labor market appears to have "hit stall speed," with weakness widespread across industries. This assessment suggests that the biopharma sector's employment challenges may persist in the near term, potentially impacting the industry's growth and innovation capabilities.