Novo Nordisk’s Australian arm is embroiled in a Federal Court case after a long-serving employee alleged the company’s incentive structure fuelled off-label Ozempic sales. The former staff member, employed by the Danish drug maker for 17 years, claims sales bonuses encouraged representatives to sell large volumes to people seeking weight loss instead of prioritising patients with type 2 diabetes.
He alleges the company then targeted him internally when he repeatedly raised concerns about compliance and sales practices over roughly four years.
According to his statement of claim, the employee says he noticed in late 2020 that Ozempic, a clinical drug intended for type 2 diabetes, was being sold heavily to the general public. He alleges this surge in demand from non-diabetic customers left inadequate supply for those needing the medicine for its approved use.
The court filing also claims Novo Nordisk’s Australian operations responded to his complaints by manufacturing retaliatory allegations against him, which later formed part of the case for his dismissal.
The former employee is now suing Novo Nordisk in the Federal Court of Australia, arguing the company breached workplace protections and whistleblower legislation when it terminated his employment in October 2024. His case puts scrutiny on how pharmaceutical sales bonuses can shape demand for high-profile drugs like Ozempic when supply is finite.
