Labcorp to Close Los Angeles Facility, Laying Off 73 Employees Amid Ongoing Restructuring

Labcorp, a leading global life sciences company, has announced plans to close its Los Angeles site and lay off 73 employees as part of its ongoing restructuring efforts. The closure, set to begin in May 2025, marks another significant step in the company's strategic realignment of its operations.

Closure Timeline and Impact

The site closure and layoffs will be executed in phases, with the process largely completed by September 2025. According to a Worker Adjustment and Retraining Notification (WARN) letter filed with California authorities, Labcorp will conduct subsequent rounds of layoffs in June, August, and September following the initial cuts in May.

The affected facility, which is part of Labcorp's consumer genetics business, is authorized to perform genetic and molecular tests. While most positions at the site will be eliminated, some employees will be reassigned to remote positions or nearby worksites, demonstrating the company's efforts to mitigate the impact on its workforce.

Broader Context of Labcorp's Restructuring

This latest announcement follows a series of similar moves by Labcorp over the past 18 months. In 2024, the company closed a site in Santa Fe Springs, California, resulting in 81 job losses. Between January 2023 and June 2024, Labcorp eliminated almost 400 positions across California and New Jersey, with an additional 132 layoffs in Texas during the latter half of 2024.

Financial Performance and Growth Targets

Despite the ongoing restructuring, Labcorp reported strong financial performance in its most recent quarter. Sales grew nearly 10% year-over-year to $3.3 billion, and the company has set an ambitious target of around 7% growth in diagnostics sales for 2025.

CFO Julia Wang explained during a recent earnings call that this projected growth is expected to be evenly split between organic business expansion and the integration of acquisitions completed in 2024. This balanced approach underscores Labcorp's strategy of combining internal growth with strategic acquisitions to drive future performance.