Now the heat of retrenchment till the vaccine company, so many employees will be discharged from Novavax - Newztezz Online


Wednesday, May 10, 2023

Now the heat of retrenchment till the vaccine company, so many employees will be discharged from Novavax

Till now, most of the layoffs were being seen in startups and tech companies only. Now its flame has started appearing on other sectors. Vaccine maker Novavax is going to lay off a large number of employees.

The phase of retrenchments that started from October last year is not taking its name. Almost all the world's biggest tech companies Amazon, Twitter, Facebook, Microsoft and Google have shown thousands of people the way out of their jobs. Now its heat has also reached Novavax, a biotech company that manufactures medicines and vaccines.

Novavax, which is facing a cash crunch, says that it will reduce its workforce by 25 percent globally. The company is trying to reduce its expenses, because now the demand for the vaccine made by the company for Kovid-19 is decreasing.

Heavy loss to Novavax

Novavax has incurred a loss of $ 29.39 million in the first quarter of 2023. Whereas in the same quarter of 2022, it had a profit of $ 203.4 million. The company had earlier predicted uncertainty in 2023. But now the company says that due to the timely launch of the updated version of its Kovid vaccine, its annual revenue can be between $ 1.4 billion to $ 1.6 billion.

The company sells only covid vaccine

About 35 years old company Novavax sells only one product in the market. This is his Korana vaccine only. The company hopes that now it will be able to control the cost. The company has started trial of its combination vaccine to control covid and flu. The company hopes that this will help it stay ahead.

So many jobs will go to Novavax

This layoff in Novavax is only part of its cost reduction. As of February, the total number of employees of the company was 1,992, in this way now it can remove about 500 people from the job. The company expects that its research and other expenses will be reduced by 20 to 25 percent this year as compared to last year due to cost-cutting measures.

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