The pharmaceutical ingredients manufacturer will end operations at the Riverside site next year, launching three rounds of job cuts.
Merck has officially revealed that it will shut down its pharmaceuticals plant in Riverside, Pennsylvania, with 163 employees expected to lose their positions. The company’s statement indicates that the first two rounds of layoffs are scheduled between May 16 and May 30, and from June 23 to July 7, followed by a final round in 2026.
Company representatives clarified that the plant’s performance was not a factor in deciding to close the facility. Instead, Merck pointed to ongoing assessments of its operations and business needs.
Did you know that this closure was initially hinted at in 2022? At that time, around 300 workers were employed at the Riverside location, which was set to cease production of active pharmaceutical ingredients in 2024.
Key details about the staggered layoffs and why they are happening now
According to a Pennsylvania Worker Adjustment and Retraining Notification, the first set of layoffs will occur by May 30, followed by another wave in late June.
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A final phase will come in 2026, effectively concluding the site’s activities. Merck has underscored its commitment to supporting impacted workers throughout the transition, offering severance packages to those affected by this decision.
Below is a quick overview of the announced schedule:
| Layoff Round | Approximate Dates | Number of Affected Employees |
|---|---|---|
| First | May 16 – May 30, 2023 | Not specified |
| Second | June 23 – July 7, 2023 | Not specified |
| Final | 2026 | Part of the total 163 |
Merck operates multiple manufacturing facilities across the United States in states like Iowa, Kansas, Minnesota, Delaware, North Carolina, Virginia, and Nebraska. Recently, it opened a $1 billion vaccine manufacturing site in Durham, North Carolina, signaling a broader expansion in certain regions despite the planned closure in Pennsylvania.
Further implications for Merck’s employees and Pennsylvania’s broader pharmaceutical sector
The Riverside plant has also faced environmental challenges over the years. Groundwater contamination resulted in cleanup measures initiated by Merck, with the remediation system still in place. Prior to Merck’s tenure, the facility was leased by Heyden Chemical Company during World War II for munitions production.
Curious about how this might affect the local economy? In fact, Merck has invested more than $3 billion in its Pennsylvania operations, employing roughly 14,000 people statewide. While the closure is significant, the company maintains it remains committed to the region.
Here is a brief list of Merck’s notable locations in the United States, aside from Pennsylvania:
- Durham, North Carolina (new vaccine manufacturing site)
- Iowa, Kansas, Minnesota, Delaware, Virginia, Nebraska (various facilities)
Merck has not provided a specific reason for delaying the original closure plan, but it assures that employees will receive guidance and assistance as the plant winds down. It also emphasizes that ongoing projects elsewhere will continue as planned, highlighting the company’s strategy to realign resources for future growth.
