BD recently informed California’s Employment Development Department that it will relocate its Biosciences division’s reagent manufacturing and R&D operations in San Jose.

The Life Sciences tech giant is laying off roughly 100 workers due to the relocation to other BD sites, according to its WARN letter dated Dec. 12, 2023. The layoffs have been taking place in waves: March 2023, December 2023 and September 2024. All affected employees have received at least 60 days written notice, opportunities to positions elsewhere in BD, and outplacement assistance. Those in full-time roles are receiving severance.

Remaining operations at Qume Drive in San Jose will move to nearby Montecito and Milpitas, with the entire San Jose facility closed by the end of September 2024.

In a statement shared with Pharmaceutical Processing World, BD said the job cuts represent less than 8% of the total local employee population, with employees first made aware of the upcoming cuts in 2021. “We are committed to treating each person affected by this decision with compassion and respect and will offer severance benefits and job assistance resources to help them transition to new employment. This difficult strategic decision is not a reflection on the performance of the team.”

BD added that it continues its presence in San Jose with an 80,000-square-foot industrial building and is expanding its presence in Milpitas with a 240,000-square-foot office and R&D campus, both opening in 2024. “BD remains committed to the San Jose area and intends to continue investing in these operations over the long term.”

Biotech continues to shed jobs

The BD layoffs in San Jose come at the same time that the biotech sector continues to shed jobs. Factors behind the downsizing include not just economic uncertainty but also regulatory shifts and more centralized drug purchasing at health providers, according to Forbes.

Sibling site Drug Discovery & Development has counted over 1,300 job cuts this month, with Massachusetts and California hit hard.

Still, there are reasons to hope the situation is turning around. On the heels of a strong year of FDA approvals, the biotech sector is seeing some signs of recovery in early 2024.