On August 16, 2022, the IRA was signed into law by President Biden. The new legislation has implications for Medicare Part D, which is a program available to individuals who are entitled to Medicare Part A or enrolled in Medicare Part B to give them the option of paying a monthly premium for outpatient prescription drug coverage. Among other things, the IRA requires manufacturers of certain drugs to engage in price negotiations with Medicare (beginning in 2026), with prices that can be negotiated subject to a cap; imposes rebates under Medicare Part B and Medicare Part D to penalize price increases that outpace inflation (first due in 2023); and replaces the Part D coverage gap discount program with a new discounting program (beginning in 2025).
All entries for: Biologic
Vertex Pharmaceuticals /MA
Layoffs
Boston, MA
5,001-10,000 employees
Vertex Pharmaceuticals has launched a functional reorganization that will result in the termination of 20 employees in Massachusetts. The company last reduced its headcount in June 2025, when it let go of 140 employees following the consolidation of its three Providence, Rhode Island sites into one facility.
GSK plc
Negative Outlook
London, England
10,000+ employees
In ovarian cancer, Zejula saw a decrease in sales, driven by ongoing volume reductions, including impacts of an FDA labelling update restricting use to certain patient populations, and the impacts of IRA Medicare Part D redesign in the US
Arrivent Biopharmaceuticals
Neutral Outlook
Newtown Square, PA
51-200 employees
However, the IRA’s impact on the biopharmaceutical industry in the United States remains uncertain, in part because multiple large pharmaceutical companies and other stakeholders (e.g., the U.S. Chamber of Commerce) have initiated federal lawsuits against CMS arguing the program is unconstitutional for a variety of reasons, among other complaints
CorMedix Inc
Negative Outlook
Parsippany, NJ
1-50 employees
“In particular, there have been several recent U.S. Congressional inquiries, hearings and proposed and enacted federal legislation and rules, as well as executive orders and sub-regulatory guidance that may impact pricing for pharmaceutical products. These initiatives include, among others… implementation of the inflation Reduction Act of 2022 (Inflation Reduction Act), including provisions that generally require manufacturers of Medicare Part B and Part D drugs to pay inflation rebates to the Medicare program if pricing metrics associated with their products increase faster than the rate of inflation;”
Aligos Therapeutics
Neutral Outlook
South San Francisco, CA
51-200 employees
The impact of the IRA on us and the pharmaceutical industry cannot yet be fully determined, but is likely to be significant.
Caribou Biosciences
Neutral Outlook
Berkeley, CA
51-200 employees
Thus, while it is unclear how the IRA will be implemented, it will likely have a significant impact on the pharmaceutical industry and the pricing of products.
HUTCHMED (China) Ltd
Negative Outlook
Hong Kong
1,001-5,000 employees
The IRA, or other federal or state laws, could affect the market conditions for, or pricing or reimbursement of, our products. There is no assurance that federal or state health care reform will not adversely affect our future business and financial results.