Merck Continues Cuts: 204 Employees Laid Off in New Jersey

Merck is laying off 204 employees at its Rahway, New Jersey facility, with terminations scheduled between February 20 and May 11, 2026, as disclosed in a Worker Adjustment and Retraining Notification (WARN) filing1 8.

These cuts are part of Merck’s broader restructuring initiative to eliminate about 8% of its global workforce, estimated at around 6,000 jobs, aiming for $3 billion in annual cost savings by 20272 3 4 9.

The job reductions reflect a trend in the biopharma industry, which saw a 280% year-over-year increase in layoffs in the third quarter, with nearly 23,300 positions terminated industry-wide1.

Merck’s restructuring responds to strategic challenges, including a 2% drop in Q2 2025 worldwide sales and a 55% decline in Gardasil vaccine revenue, while its cancer drug Keytruda saw 9% growth2 4.

Despite layoffs, Merck maintains its focus on R&D, reallocating resources toward new product launches and continuing to hire in strategic growth areas4.

Other major pharmaceutical companies, such as Bristol Myers Squibb and Novartis, have also announced significant layoffs in New Jersey and globally in 20251 3 9.