Molecular diagnostics firm Cepheid, headquartered in Sunnyvale, CA, is laying off 626 employees at its main facility and an additional 11 employees at its logistics center in Fremont, CA. The layoffs were disclosed in a Worker Adjustment and Retraining Notification (WARN) filed with the state of California, with the reductions set to take effect on September 27.
The majority of the job cuts are within manufacturing roles, according to the WARN report. Despite the significant layoffs, which represent approximately 13% of Cepheid’s 4,800-strong workforce, both the Sunnyvale and Fremont facilities will continue operations.
Cepheid, a subsidiary of Danaher Corporation, is known for its cartridge-based diagnostics, particularly in the field of infectious diseases. The company recently gained attention when its Xpert HCV test for the hepatitis C virus (HCV), in conjunction with the GeneXpert Xpress System, received de novo marketing authorization and a CLIA Certificate of Waiver from the U.S. Food and Drug Administration in June. The Xpert HCV assay is notable as the first point-of-care RNA test for HCV, enabling diagnosis and treatment during a single healthcare provider visit.
In response to the layoffs, Cepheid has committed to offering onsite outplacement services to the affected employees, provided by a third-party vendor, to assist them in finding new employment opportunities.
