Dexcom to Axe 535 Employees at San Diego HQ

Dexcom, maker of popular diabetes management products, recently announced the layoff of 535 employees at its San Diego location as the company reportedly moves to centralize its United States manufacturing to its Mesa, AZ, location, according to the WARN notice.

Of those cuts, 406 employees have the title of manufacturing associate. Additionally, dozens of other employees affected by the decision have related jobs, including quality assurance inspectors, material handlers, and equipment technicians. The sweeping layoffs will begin July 26, according to the notice.

With plans to retool its San Diego manufacturing facilities for product and process development, the company said it will also continue as its corporate headquarters. Its Mesa facility, which opened in 2017 and was expanded late 2021, will swallow those San Diego manufacturing jobs, many of which are already listed for hire.

Laid off employees, according to comments SFGate received from Dexcom, are able to apply for Mesa positions and receive relocation assistance from the company. Severance pay amounts have not been disclosed.

“This wasn’t a decision we took lightly, and we have set up support to help employees who are affected by the transition,” Dexcom spokesperson Tracy Stragier told SFGate.

The company ended 2023 with about 9,500 full-time employees and reported a $541.5 million profit for the year. It is yet to be seen how the layoffs may affect the summer launch of Dexcom’s over-the-counter CGM, which it received an FDA nod for in March.