Charles River Laboratories is continuing to downsize certain parts of its organization, reducing the workforce at its Memphis, Tennessee, cell and gene therapy facility, a spokesperson confirmed to Fierce Biotech.
The layoffs come “after careful consideration of all options,” the spokesperson said. “We are working with impacted employees to provide the necessary resources to help them through this period.”
The spokesperson did not respond to questions about the number of employees affected by the layoffs.
The move follows Charles River’s decision to shutter its pathology site in Durham, North Carolina, laying off as many as 31 employees in the process. Unlike that site, however, the Memphis facility, which employs more than 350 people, will continue operating.
“Memphis remains a critical hub for our cell therapy manufacturing operations,” the spokesperson said. “By streamlining our operations, we aim to enhance our agility, strengthen customer partnerships, better capture emerging opportunities and ultimately enhance shareholder value while maintaining long-term stability.”
Charles River expanded the Memphis facility in November 2022, adding nine processing suites to its 16 clean rooms at the site. That growth came after the facility received approval from the European Medicines Agency to commercially produce allogeneic cell therapy drug products, which the company said was a first for a CDMO in North America.
Revenues slipped last year for Charles River and other CROs, like Icon, due to slowed R&D demand from pharma clients. Analysts recently warned that this trend is likely to continue in 2025.