Moderna to Cut 10% of Workforce in $1.5B Cost-Saving Push

Moderna announced it will lay off approximately 10% of its global workforce, impacting more than 500 employees and reducing headcount to under 5,000 by the end of 2025135.

The layoffs are part of a broader effort to reduce annual operating expenses by about $1.5 billion by 2027, responding to increased market competition and decreased pandemic-related government support135.

CEO Stéphane Bancel communicated that significant cutbacks in research, manufacturing costs, and supplier agreements were already made before resorting to job cuts, but these proved necessary to align costs with current business realities135.

The decision, publicly announced in a letter to staff and the company blog, was described as difficult, with appreciation expressed for affected employees' contributions35.

Moderna, headquartered in Massachusetts, was central to COVID-19 vaccine development but has faced new financial challenges as pandemic demand wanes and government procurement contracts are scaled back3.

Sources:

1. https://www.statnews.com/2025/07/31/moderna-lays-off-10-of-workforce-in-further-cost-cutting-move/

3. https://www.cbsnews.com/boston/news/moderna-layoffs-covid-vaccine/

5. https://www.modernatx.com/media-center/all-media/blogs/aligning-cost-structure-to-deliver-pipeline