A Lafayette facility is losing 45 of its roughly 600 employees.
Evonick is cutting its workforce at its Tippecanoe Laboratories site.
The specialty chemical manufacturer is changing its business model and officials say the reductions are needed to increase flexibility and stay competitive in the market.
The Laboratory produces active pharmaceutical ingredients.
The employees losing their jobs will receive a severance package and Evonik is vowing to provide outplacement services.
Company officials says the reduction is not based on performance.
Evonik took over the Laboratory from Eli Lilly in 2010. At the time, there were about 700 employees and company officials said they expected to maintain that amount.