BayBio and Biocom Release First Ever California Life Science Industry Economic Impact and Workforce Trends Reports at the BIO International Convention
California’s life science cluster is a major economic engine for the state, creating $258 billion in economic activity and over one million jobs that pay $76 billion in salaries, wages and benefits and driving the need for integrated talent.
SAN DIEGO, Calif. – June 25, 2014 – Biocom, the association for the Southern California life science community, and BayBio, the association for the Northern California life science community, today released the California Economic Impact Report, a collaborative evaluation of the state of the life science industry in California. Concurrently, the BayBio and Biocom Institutes released a companion report that highlights the industry’s current and anticipated demand for talent. These first-of-their-kind reports, released at the BIO International Convention in San Diego, illustrate the significant positive impact that the industry has on California’s economy and the talent needed to sustain that growth.
Highlights from the Economic Impact Report:
- California’s life science cluster is an economic engine for the state, creating $258 billion in economic activity, generating over 1 million jobs that pay $76 billion in salaries, wages and benefits.
- California companies introduced eight new therapeutics to patients in 2013, representing roughly a third of the new molecular entities launched last year.
- California continued to lead the nation in funding innovative science. NIH funding topped $1.3 billion for San Francisco Bay Area institutions, and San Diego organizations received $938 million. More than $1.4 billion in venture capital funding poured into California life science companies to drive the development of new innovations.
- Between 2010 and 2012, total science, technology, engineering and math degree completions grew 13% in the San Francisco Bay Area and 21% in the San Diego region.
Highlights from the Workforce Trends Report:
- The overall number of hires in the life science industry is expected to increase over the next two years, particularly in the drugs and pharmaceuticals sector; and in parallel with R&D, regulatory compliance and quality.
- The industry is increasingly in need of integrated skills: scientists with business acumen and professionals who can scale business globally, form and maintain successful partnerships, build efficient infrastructure for product development and delivery, and work in teams across disciplines and geographies.
- Industry-academic partnerships are critical to ensuring the development of the talent needed to sustain ongoing innovation in the industry.
The statewide economic analysis demonstrates the amazingly positive impact the life science industry has on the state of California, not just in terms of creating life-saving treatments for patients, but also in terms of driving the economy forward and creating a highly-educated, well-paid workforce.
The biotechnology industry was born right here in California, with the Bay Area being home to the first biotech company, the first biotech public offering, and the first biotech drug approved by the FDA. What started out as an industry in its infancy in 1976 has grown into a diverse hub for life science research, development and educational activities, as well as the manufacturing of biopharmaceuticals and medical devices used by patients in need around the world.
The full reports can be obtained at: www.califescience.org.
In order for our industry to continue as an economic engine for the state of California, we need to understand its evolving talent needs and how to best meet them. In short, as our industry continues to create jobs, it is critical that we have people prepared to step into those jobs.
This report serves as a roadmap for ensuring that we are supporting the industry by adequately preparing our workforce: through industry and academic partnerships, informing legislators where training dollars are most needed, and helping companies develop their internal talent.
The workforce analysis was a collaboration between the BayBio and Biocom Institutes, the East Bay Biomedical Manufacturing Network, the Design i-Build it – Ship it initiative, and the CalBiotech Careers program.