Pharmaceutical behemoth GSK has confirmed plans to eliminate up to 350 research and development positions across its operations in the United States and the United Kingdom. This significant workforce reduction forms part of the company's ongoing strategic overhaul of its R&D division, which has been in progress for several years.
UK Impact and Stevenage Hub
The restructuring is understood to affect approximately 50 roles at GSK's primary UK research and development centre located in Stevenage, Hertfordshire. The final tally of job losses in both Britain and the US is expected to be confirmed in the coming months. GSK's Stevenage site currently employs more than 2,500 staff members, making it a crucial hub for the company's scientific endeavours.
Background of the Restructuring
This latest round of cuts follows a major corporate reorganisation announced five years ago. The FTSE 100-listed group merged its vaccines and speciality medicines operations while spinning off its consumer healthcare business, which later listed separately as Haleon in 2022. Since then, GSK has been systematically removing duplicated roles as it refines its research and development functions.
The company employs around 12,000 workers globally within its R&D operations, though it has not specified the total number of UK jobs that will be lost in this latest phase of restructuring.
Investment Claims Amid Cuts
Despite the job reductions, GSK has insisted that it continues to ramp up its research and development investment in the United Kingdom. The firm reported spending more than £1.5 billion in the UK last year alone.
A GSK spokesperson elaborated on this point, stating: "GSK R&D investment has risen by almost 90 per cent over recent years – to £6.4 billion in 2024 – and we expect it to increase further as we focus on delivering our pipeline of new medicines with multi-blockbuster potential before 2031."
The spokesperson added: "As we increase investment, we're focused on allocating resources to these priorities and making sure we have the right people in the right teams." The company also emphasised its commitment to "investing in technology to maximise our scientific capabilities and drive productivity, and in our key R&D sites over the next five years to accelerate drug discovery and research."
Leadership Transition and Financial Outlook
These job cuts coincide with a leadership transition at the pharmaceutical giant. New chief executive Luke Miels took over from Dame Emma Walmsley at the start of the year. Mr Miels, formerly GSK's chief commercial officer with worldwide responsibility for medicines and vaccines, is preparing to unveil the group's annual results this Wednesday – marking his first set of financial figures since assuming the top position.
GSK provided an optimistic financial outlook in July, expecting annual constant currency revenue growth at the top end of its previous guidance range of three to five per cent. The company also anticipates core operating profit growth at the top end of the six to eight per cent range. In 2024, GSK reported substantial revenues of £31.38 billion and total operating profits of £4.02 billion, with core earnings reaching £9.15 billion.
The restructuring represents a challenging balance for GSK as it seeks to streamline operations while simultaneously increasing investment in critical research areas. The company's strategy appears focused on optimising its workforce to align with future scientific priorities and technological advancements in pharmaceutical development.
