Merck KGaA’s U.S. research site has instituted a new in-office work requirement that may lead to the imminent departure of as many as 70 staffers.
Merck’s North American division, EMD Serono, “has made the decision to require all R&D employees to report on-site to its Billerica office three days each week,” a company spokesperson told Fierce. This decision, which includes employees previously hired to be fully remote, is meant “to ensure a collaborative environment that fosters scientific discovery and development.”
Employees who “choose not to accept the relocation support” offered by the company to staffers living more than 50 miles from the office will be laid off, the spokesperson confirmed. Seventy people out of the site’s total of 280 employees currently fit that description and have until an undisclosed internal deadline to make their decision.
“Any such employees who choose not to accept the relocation support will be eligible for severance benefits,” the spokesperson added.
Any layoffs that take place will go into effect on Sept. 4, according to a notice filed with the Massachusetts labor department.
Billerica is home to the EMD Serono Research & Development Institute. The German drugmaker’s U.S. headquarters isn’t far away, in the biotech hub of Boston’s Seaport district.
Merck’s U.S. research team is no stranger to layoffs. The organization reduced its workforce by about a quarter in 2023, when Merck let go of more than 100 employees following a strategic pivot to focus more on external innovation. Before those cuts, the Billerica office boasted around 500 employees, almost double its current total.
Since those 2023 cuts, the company has continued to pursue external partnerships to bolster its pipeline. Merck recently pledged $50 million to a new cardio biotech, with an option to acquire the startup down the line, and teamed up with Israeli biotech Remepy to develop drugs for rare tumors.