No raises in sight in 2025, possibly layoffs. If any promotions, they will be as inflated titles. New layers of titles might be added. Salary reductions? Possibly not.
JMP red face, company could not provide a good estimate. Lilly under-utilizes and misuses talent they already have, and hires wrong people. How to compete with Novo? No good team work in international parts of the company and frictions among the domestic parts.
Gilead has a chance now to improve its position as well as re-evaluate approaches to cell therapy. Preferential treatment of
certain groups of employees must end.
Company still cannot break thru Novo dominance, like in GLP1. Could have entered a price war and lower the prices. But this will be against the Pharma Cartel.
Competition with Novo is difficult since they are well entrenched and have cohesive management whereas Lilly is an international bunch with many internal factions and conflicts. May be interesting competition case, but rather for Business Schools not for those directly involved.
Patent cliff and projected sales decline would lead to restructuring and personnel reductions. This may not help the stock though. May take a few years for company to recover.
Unfortunately J&J is also actively supporting H1B visas initiative. This makes more difficult for American citizens to get meaningful and reasonably paid jobs here. Government statistics say that about 70% H1B visa recipients are Indian nationals.
