Penn’s embattled Gene Therapy Program laid off 84 employees and eliminated their positions on Dec. 5, according to an internal document obtained by The Daily Pennsylvanian.
The 84 employees laid off represent approximately 24% of all regular staff members at the Gene Therapy Program. The internal document states that staff members with ten years of continuous service are eligible for pay and benefits continuation under the University’s Position Discontinuation and Staff Transition plan. Staff members who do not meet PDST requirements are not eligible for pay and benefits and are being offered outplacement services in exchange for a waiver and release.
In a statement to the DP, a spokesperson for the Gene Therapy Program wrote that a group of employees were informed that their positions were eliminated due to financial constraints.
“To date, the Gene Therapy Program has been able to overcome the financial headwinds that have challenged the biotech industry since 2021. Today, however, we made the very difficult announcement that we notified a group of employees that their positions have been eliminated due to financial constraints,” the spokesperson wrote. “The GTP will remain steadfastly focused on keeping our exceptional, innovative research programs moving forward to provide hope to patients and families facing serious and rare diseases.”
University spokesperson Ron Ozio wrote in a statement to the DP that the impacted positions are spread across various program areas, and that Penn is providing impacted employees with career transition resources. He described the layoffs as a "difficult but necessary" step to ensure GTP maintains research operations.
“The Gene Therapy Program at the University of Pennsylvania and its innovative research programs are a key part of Penn’s commitment to improving health through research," Ozio wrote. "External financial constraints, including diminished research funding from industry sponsors who have curtailed their gene therapy efforts due to economic forces, have resulted in the need for a workforce reduction."
In 2021, the DP reported that Gene Therapy Program employees alleged a “dysfunctional, toxic workplace,” citing Penn ignoring employees’ complaints and protecting the program. Employees alleged at the time that the University had turned a blind eye to the abusive work environment at GTP, failing to hold the program and director Jim Wilson accountable.
A 2022 DP follow-up found that University officials allegedly manipulated a Penn Medicine investigation into years of workplace abuse allegations within the Gene Therapy Program to protect the program's financial interests and director.
Contact binday@thedp.com with any additional information.
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