In the ever-evolving field of Medtech, thousands of jobs have been eliminated this year, revealing considerable tensions within the industry. Restructuring, pressure on profitability, and companies’ strategic choices have contributed to this precarious situation. As eyes turn toward the future, professionals wonder: what will be the impacts of layoffs on the labor market in 2025? A growing concern for a key sector of health and innovation.
Medtech companies have experienced massive job cuts over the past two years, with over 14,000 layoffs recorded in the sector. Several companies, including 23&Me, Smith & Nephew, and Embecta, have recently announced significant cuts to their workforce, often in response to profitability pressures and strategic reorganizations. Experts predict that this trend may continue in 2025, although the situation is likely to stabilize. Linked to the transformations brought about by the COVID-19 pandemic, investor expectations have also evolved, favoring increased profitability at the expense of rapid growth. This results in adjustments within teams, including a restructuring of sales and an increasing integration of digital technologies. The outlook for employment in 2025 remains uncertain, with forecasts varying according to the economic and political factors at play.
Medtech companies have cut thousands of jobs this year
The Medtech sector has seen massive job cuts this year, with over 14,000 positions liquidated across various companies. Among the affected players are recognized companies, including 23&Me, which recently announced a reduction of 200 positions. These increases in layoffs have consequences, as they leave employees worried about the future of the industry.
Impact of layoffs on the Medtech sector and forecasts for 2025
Dark prospects are emerging for 2025, as experts predict a challenging future. The reasons behind these cuts are multiple: pressures related to profitability, mergers, and strategic changes. Medtech companies, often in decline, must reevaluate their business models. This could lead to even more layoffs in the short term, despite hopes for long-term stabilization.
New opportunities despite challenges
Despite layoffs, sectors like cardiology and connected devices are beginning to receive new investments. Skills in technology and innovation, particularly in the field of AI, are becoming increasingly crucial. Companies that succeed in pivoting toward innovative solutions, by adding digital services, will have a better chance of thriving, even in a difficult environment.
