Moderna to Lay Off 10% of Workforce: Implications On Workers

On July 31, 2025, Moderna announced a restructuring that would cut about 10% of its global workforce, bringing headcount under 5,000 by the end of that year. If you lose your job in a restructuring in California, you have specific rights: advance notice for many mass layoffs, full final pay on your last day, protection against discrimination in who gets cut, and, if you are 40 or older, extra time before signing away age claims.

What Moderna announced

In a July 31, 2025 statement, Moderna said it would reduce its global workforce by approximately 10% and expected a total headcount of under 5,000 employees by year-end. It tied the cuts to its plan to reduce operating expenses by $1.4 billion to $1.7 billion by 2027 and said affected employees would receive severance, equity vesting and transition support. The statement did not say how many California employees were affected. Track announced cuts on our California layoff tracker.

Notice before a mass layoff

California’s WARN Act covers a facility that employs, or employed in the past 12 months, 75 or more people. The employer generally must give 60 days’ written notice before laying off 50 or more employees at that site within 30 days, closing it, or relocating it 100 miles or more. Without required notice, workers may recover up to 60 days of back pay and benefits (§1402). See our guide to Cal-WARN notice rights.

Your final paycheck

When you are laid off, all final wages are due immediately, including earned and unused vacation paid at your final rate. A willfully late final check may trigger a waiting-time penalty of up to 30 days of wages (§203). See final paycheck rules in California.

Severance: special rules if you are 40 or older

California generally does not require severance pay. When it is offered, it usually comes in exchange for releasing legal claims. Under Gov. Code §12964.5, a separation agreement must tell you that you may consult a lawyer and give you at least five business days to decide. Your employer also cannot make you sign a release to get wages you are already owed (Labor Code §206.5).

If you are 40 or older, the federal Older Workers Benefit Protection Act adds more. According to the EEOC’s guidance on severance waivers, a valid release of federal age claims must:

• Be written in plain language and refer to the Age Discrimination in Employment Act by name.
• Advise you in writing to consult a lawyer.
• Give you at least 21 days to consider it, or 45 days in a group layoff.
• Give you 7 days after signing to revoke.
• Offer something of value beyond what you are already owed, and not waive future claims.

In a group layoff, the employer must also disclose in writing the group of employees considered, the selection factors, and the job titles and ages of those selected and not selected. It can show whether older workers were cut at a higher rate.

Example (hypothetical): Linda, 58, is a lab manager included in a 40-person reduction. Her agreement arrives with a 45-day review period and an age chart showing that most people selected in her department were over 50. She has time to have the agreement and the chart reviewed before deciding.

Even after signing a release, the EEOC says you can still file a charge with it, though you may give up the right to recover money personally. More in our guide to severance agreements.

When a layoff may be unlawful

California’s Fair Employment and Housing Act, which covers employers with five or more employees, protects workers 40 and older from age discrimination, along with disability, pregnancy and other characteristics. It may also be unlawful to select someone because they took protected leave or complained about wages, safety or suspected legal violations. Keep your notice, the selection criteria you were given, performance reviews and any comments about age or “fresh energy.” See age discrimination.

Frequently asked questions

Does Cal-WARN apply if I worked remotely?

It can, depending on which facility you were assigned to or reported to. This is fact-specific, so keep your offer letter and any notice.

Do I have to sign my severance agreement right away?

No. You get at least five business days under California law, and at least 21 or 45 days to consider a release of federal age claims if you are 40 or older.

Is equity vesting part of my final wages?

Not necessarily. Equity is usually governed by your plan and grant documents.

Can I collect unemployment if I take severance?

Generally you can apply. EDD reviews severance and similar payments to decide whether they affect your benefits, so report them accurately. See our unemployment guide.

Talk to a California employment lawyer

Employees First Labor Law represents workers exclusively. If you were laid off and want your severance agreement or selection reviewed, we offer free virtual consultations. Contact us or call (310) 853-3461.

This article is general information about California law as of 2026, not legal advice for your situation. Reading it does not create an attorney-client relationship.