Moderna Announces 10% Workforce Cut Amid Declining COVID-19 Vaccine Sales, Regulatory Hurdles

Moderna Inc. (NASDAQ:MRNA) has announced plans to reduce its global workforce by approximately 10% by the end of the year due to decreasing COVID-19 vaccine sales and market uncertainty.

Bancel Confirms Layoffs Amid Push To Slash $1.5 Billion In Costs

Moderna CEO Stephane Bancel revealed the company’s plans to downsize its workforce in a memo to employees on Thursday. The company expects to reduce its workforce to fewer than 5,000 employees by year-end, down from around 5,800 full-time staff across 18 countries at the close of 2024.

Check out the current price of MRNA stock here.

“This decision was not made lightly. It impacts teammates and friends who have dedicated themselves to our mission and who have helped build Moderna,” stated Bancel.

Moderna is implementing cost-cutting measures aimed at trimming approximately $1.5 billion in annual operating expenses by 2027. Bancel said the company will share a business update alongside its quarterly earnings report on Friday. Despite the job cuts, Bancel remains confident in Moderna's outlook, highlighting its three approved products and the potential to launch up to eight more within the next three years.

Vaccine Sales Miss and Regulatory Hurdles Add Pressure

Moderna’s decision to cut its workforce comes amid a turbulent period for the company. Moderna’s shares have fallen by over 23% on a year-to-date basis, following lower-than-expected first-quarter vaccine sales in May. The company is also grappling with policy challenges under Health and Human Services Secretary Robert F. Kennedy Jr., who is weighing potential changes to vaccine guidelines that may affect access to vaccines in the U.S.

New Vaccine Approvals Target Wider Demographics

The company has been expanding its product portfolio. In June 2025, the FDA expanded approval of Moderna’s respiratory syncytial virus vaccine to adults aged 18-59 at increased risk for disease.

Additionally, in July 2025, the FDA granted complete approval to Moderna’s COVID-19 vaccine for children as young as 6 months. These developments highlight Moderna’s efforts to diversify its offerings and reach a broader demographic.

According to Benzinga Edge Stock Rankings, Moderna has a value score of 67.23 and a momentum rating of 7.67. Click here to see how it compares to other leading pharma companies.

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