Post on 16-Mar-2020
2015 Industry Snapshot
Compiled with support from
Employment & Physical Growth
MA Biopharma Industry Employment
The industry grew
by 4.9% in 2014 -
the highest
annual growth
rate for the
Massachusetts
industry since
2008.
Source: U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW); MassBio
38 %
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
43,904
46,117
51,518
54,280 54,829 55,342 56,097 56,462
57,642
60,459
Massachusetts
has more
employment
classified as
Biotechnology
Research and
Development
than any other
state.*
Many states have
declining biotech
R&D. A few
smaller clusters
are growing at
faster rates,
though still well
below
Massachusetts in
total employment.
*NAICS 541711:
Research and
development in
biotechnology. This
classification has only
existed since 2007.
Source: U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW)
8-Year Employment Performance:
Biotech Research & Development*
Top 5 in Job Growth
2007 2014 =/-%
Massachusetts 24,656 29,897 21.3%
California 19,134 27,123 41.8%
Pennsylvania 16,902 9,648 -42.9%
Maryland 10,154 8,334 -17.9%
New Jersey 8,567 8,574 0.1%
North Carolina 7,042 7,251 3.0%
Michigan 4,670 2,686 -42.5%
Missouri 4,262 3,541 -16.9%
Texas 4,229 4,643 9.8%
Ohio 2,696 3,352 24.3%
New York 2,679 4,924 83.8%
Washington 2,499 3,610 44.5%
Connecticut 2,452 1,821 -25.7%
Illinois 2,403 3,560 48.1%
Indiana 1,277 1,645 28.8%
Florida 737 2,622 255.8%
CA 7,989
MA 5,241
NY 2,245
FL 1,885
IL 1,157
10-Year Employment Performance:
Biopharma Manufacturing
Top 5 in Job Growth
Top 5 in
Percentage Growth
Massachusetts
grew in biopharma
manufacturing
employment by
28.4% since
2005.
In the same
period, the U.S.
lost 6,329
biopharma
manufacturing
jobs, a 2.2%
decrease.
Source: U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW)
2005 2014 =/- %
California 41,743 47,163 13.0%
New Jersey 40,235 27,459 -31.8%
Puerto Rico 28,323 13,752 -51.4%
New York 22,050 19,233 -12.8%
Pennsylvania 21,824 17,570 -19.5%
North Carolina 20,628 21,658 5.0%
Illinois 20,143 18,436 -8.5%
Indiana 19,493 17,414 -10.7%
Michigan 9,682 8,813 -9.0%
Connecticut 9,671 5,147 -46.8%
Texas 9,387 10,677 13.7%
Massachusetts 7,777 9,989 28.4%
Maryland 5,335 6,969 30.6%
Missouri 5,284 5,292 0.2%
Ohio 5,016 4,984 -0.6%
CA 5,420
MA 2,212
MD 1,634
TX 1,290
NC 1,030
MD 30.6%
MA 28.4%
TX 13.7%
CA 13.0%
NC 5.0%
Job Listings on MassBio.org
Average Daily Number of Job Listings, 2009-2015*
While
MassBio.org is not
a comprehensive
listing of all jobs
available in the
industry in
Massachusetts, it
does provide a
statistically strong
sampling in
determining job
listing trends.
Activity thus far in
2015 outpaces
every year since
the site has been
live.
The MassBioEd
Foundation will
launch a job
trends and
forecasting report
later this year. Source: MassBio
1,005
504
980
786
1,005
1,394
1,588
2,096
2008 2009 2010 2011 2012 2013 2014 2015
*2015 listing average is through July.
Largest Industry Employers in MA, 2014
Sources: MassBio Membership Reports & Surveys; Boston Business Journal Book of Lists, 2015
Genzyme, a
Sanofi
company, has
long been the
largest
employer in the
industry in
Massachusetts.
New additions
to the Top 30
include
Merrimack and
Momenta.
1 Genzyme, a Sanofi Company 4,356
2 Biogen 3,100
3 Parexel International 2,800
4 Pfizer 2,600
5 Novartis 2,100
6 Hologic 1,800
7 Thermo Fisher Scientific 1,726
8 Shire 1,500
9 Vertex 1,300
9 Takeda 1,300
11 Quest Diagnostics 1,100
12 EMD Millipore 1,000
13 Charles River Laboratories 960
14 EMD Serono 860
15 Nova Biomedical 855
16 PerkinElmer 850
17 AstraZeneca 700
17 AbbVie 700
17 Sunovion Pharmaceuticals (DSP) 700
20 Merck 525
21 Bristol-Myers Squibb 400
22 Lantheus 375
23 Alkermes 325
24 Immunogen 311
25 Ironwood 290
26 Merrimack 288
27 New England Biolabs 280
28 Amgen 275
29 Cell Signaling 270
30 Momenta Pharmaceuticals 263
Economic Impact, 2014
60,459 employees
$120,628 average salary
$7,293,035,898 total MA-based payroll
Source: U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW)
Industry Geography Top 10
communities
by number of
biopharma
companies*
Cambridge (130)
Boston (41)
Worcester (31)
Waltham (26)
Lexington (25)
Woburn (24)
Watertown (16)
Bedford (14)
Marlborough (9)
Billerica (9)
*The Bureau of Labor
Statistics indicates 738
biotechnology and
pharmaceutical
establishments in MA.
For this list, MassBio used
its own database and the
MassBio/MHT 2014
Complete Guide, which
include 431 company
addresses.
The immediate
western suburbs
include 70+ biotech
companies,
15 colleges, 3 million
s.f. of lab space.
128/Suburbs
60+ biotech companies,
WPI, UMass-Worcester,
and 16 other colleges.
Worcester/I-495 100+ biotech companies,
2 million+ s.f. in lab space,
UMass-Lowell and 11 other
colleges.
Northeast
Home of UMass-
Amherst and 21 other
colleges. Area known
as The Knowledge
Corridor.
West
Strong med device and
biopharma manufacturing
capacity, with numerous
BioReady® land sites and 10
colleges.
South Coast
180+ biotech companies,
the top 5 NIH-funded
hospitals in the U.S.,
and 48 colleges.
Boston-Cambridge
Source: U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW); MassBio/MHT Directory
2007
Life Sciences Lab Inventory Growth
Source: Colliers Meredith & Grew, Life Science Review, 2007-2015
2015
21,502,509 s.f.
16,063,990 s.f.
2015 New Construction
Novartis, Cambridge
Longwood Center, Boston
Close to 6
million
additional
square feet of
commercial lab
space has been
added to the
Massachusetts
market since
2007.
Approximately
1.6 million s.f.
additional lab
space is under
construction.
Finishing in 2015
50-60 Binney Street, Cambridge
GE Healthcare, Marlborough
Transportation
Primary Means of Commuting for Industry
54.8% of respondents used public transportation (rail, subway,
bus) as a primary means of commuting versus 38.3% who
drove exclusively to work
In response to
growing concern
regarding
transportation in
Eastern
Massachusetts,
MassBio
conducted its
first annual
commuting
survey in March.
The survey
includes 293
respondents who
resided in 99
different
communities.
(290 respondents)
Response
Percent
4.5%
2.1%
41.4%
10.7%
23.8%
25.9%
1.4%
0.0%
I use Commuter Rail
Primary Means of Commuting
I take a shuttle van or bus
I take a shuttle van or bus provided by my employer
I walk
I bicycle
I drive to work
I take a bus
I use the MBTA subway or trolley
Source: MassBio 2015 Commuter Survey
Duration of Commute
56% of
respondents
have one-way
commutes of
less than one
hour.
43.2% of
respondents
have commutes
of 60 or more
minutes.
For all workers in
Massachusetts,
the average
commute is 39
minutes,
according to the
U.S. Census.
3.8%
15.1%
38.7%
34.9%
8.6%
Under 15 minutes Under 30 minutes Under 60 minutes 60-90 minutes Over 90 minutes
Source: MassBio 2015 Commuter Survey
15.6%
39.5%
35.9%
12.0%
My commute is good, no realissues
My commute could beshorter, but the length of mycommute does not affect mysatisfaction with my current
job
Because of the length of mycommute, I would consider a
job closer to my home
Commuting around here issuch a problem, I'm ready to
leave the region entirely
Commuter Satisfaction
103% reporting connotes limited multiple responses occurred. 273 respondents.
55% of
respondents
were satisfied
with their
commutes.
36% of
respondents
said they’d
consider
another
employer for a
better
commute.
12% said they
are ready to
exit the region
because of
commuting
issues.
Source: MassBio 2015 Commuter Survey
Satisfaction by Primary Means of Commuting
Good Commute
Could be shorter,
but satisfied
Would consider
job with shorter
commute
Ready to leave
region
Bus 22.6% 45.2% 22.6% 9.7%
67.7% 32.3%
Subway/Trolley 16.2% 47.1% 22.1% 14.7%
63.2% 36.8%
Drive 12.9% 33.6% 41.4% 12.1%
46.6% 53.4%
Commuter Rail 4.1% 25.5% 59.2% 11.2%
29.6% 70.4%
Those using the
bus or the T
subway or trolley
as primary means
of commuting are
substantially
more satisfied
with their
commutes than
those who drive
or use the
commuter rail.
Over 70% of
commuter rail
users are
dissatisfied with
their commute.
Source: MassBio 2015 Commuter Survey
Venture Capital, Private & Public Investments
Venture Capital Investment
Venture
investment in MA
rose to a record
$2 billion in
2015, an all-time
high, surpassing
the 2014 record
of $1.9 billion.
Source: PwC Money Tree Report
Investment in Massachusetts Biotech Companies, 2005-2015
Top 15 VC Financings in MA, 2014
Name $ (mill ion) Series
Moderna Therapeutics 475.0 Series C
Intarcia Therapeutics 200.0 Series H
Voyager Therapeutics 105.0 Series A
Dimension Therapeutics 95.0 Series A
UNUM Therapeutics 77.0 Series A
Blueprint Medicines 75.0 Series B
Seres Therapeutics 58.0 Series B
Civitas Therapeutics 55.0 Series C
Syros Pharmaceuticals 53.0 Series B
Mersana Therapeutics 49.5 Series B
Proteon Therapeutics 45.0 Series D
Flex Pharma 40.0 Undisclosed
SAGE Therapeutics 38.0 Series C
EPIRUS Biopharmaceuticals 36.0 Series B
Synlogic 34.4 Series A
Source: EvaluatePharma®, August 2015
Top 15 VC Financings – 2015
Source: EvaluatePharma®, February 2016
Name $ (million) Series
Editas Medicine 120.0 Series B
Gritstone Oncology 102.0 Series A
Syndax Pharmaceuticals 80.0 Series C
Chiasma 70.0 Series E
Intellia Therapeutics 70.0 Series B
Dimension Therapeutics 65.0 Series B
Voyager Therapeutics 60.0 Series B
UNUM Therapeutics 60.0 Series B
Ra Pharmaceuticals 58.5 Series B
Jounce Therapeutics 56.0 Series B
Constellation Pharmaceuticals 55.0 Undisclosed
RaNA Therapeutics 55.0 Series B
Neon Therapeutics 55.0 Series A
Allena Pharmaceuticals 53.0 Series C
Decibel Therapeutics 52.0 Series A
2014 Massachusetts IPOs
$90 M $90 M
$84 M
$65 M
$100 M*
$59.5 M
$12 M
$52 M
$96 M
$32.7 M
$90 M
$65 M
$66 M
There were 17
IPOs for
Massachusetts
companies in
2014 – twice
as many as
the previous
record year of
2013.
Source: Nasdaq.com, BioSpace
Note: Figures refer to “offer amounts” (investment secured) at time of IPO
$65 M
$61 M
$98 M
$57 M
2015 Massachusetts IPOs
$86 M
Source: Nasdaq.com, BioSpace
Note: Figures refer to “offer amounts” (investment secured) at time of IPO
$4 M
$40 M
$147 M
$55 M
$60 M
$70 M
$65 M
$134 M
There were 13
IPOs for
Massachusetts
companies in
2015.
$72 M
$102 M
$101.8 M
$70 M
Geography of VC and IPOs: 2014-15
Cambridge 42%
Lexington 15%
Burlington 11%
Waltham 12%
Bedford, Billerica, Boston, Canton,
Watertown 4% each
Cambridge 66%
Boston 18%
Watertown 4%
Waltham 3%
Other cities 9%
Location of VC-backed
Companies
Location of Companies
with IPOs
From 2014 -
August 2015,
66% of all
Massachusetts
biotechs
receiving
venture capital
deals were
located in
Cambridge.
A majority
(58%) of
Massachusetts
biotechs with
Initial Public
Offerings
(IPOs) from
2014 -August
2015 were
located
outside of
Cambridge. Source: EvaluatePharma®, August 2015
MA Seed-Stage Funding
$0
$50,000,000
$100,000,000
$150,000,000
$200,000,000
$250,000,000
$300,000,000
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
15-yr average, $83,429,940
5-yr average, $152,382,480
In the 2014
Snapshot,
MassBio
highlighted a
concern– the
potential decline in
seed-stage
funding for
Massachusetts
biotechs.
In order to
maintain the
historical five year
average of seed
stage funding, MA
companies
needed to raise
$199 million in
2014.
Source: PWC MoneyTree Historical Data
MA Seed-Stage Funding, Annual, 1999-2014
$0
$50,000,000
$100,000,000
$150,000,000
$200,000,000
$250,000,000
$300,000,000
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
10-yr average, $83,429,940
5-yr average, $152,382,480
Actual seed
financing was $20
million below that
mark at $179
million.
While not an
immediate red
flag, prolonged
declines in seed-
stage funding
jeopardize the
Massachusetts
supercluster,
which is fueled by
early-stage
research &
development.
Source: PWC MoneyTree Historical Data
2014
2014 NIH Funding, by State Total & Per Capita
Massachusetts
trailed only
California in total
NIH funding in
2014.
Massachusetts is
a small state
relative to most
leading NIH-
recipient states.
But, with its high
number of
research
institutions, on a
per capita basis
Massachusetts
received twice
as much NIH
funding as the
next closest
state. Source: NIH, Research Portfolio Online Reporting, U.S. Census Bureau
Total Funding Per capita
$351
$169
$124 $117
$105 $100 $88
$55 $55
$36
MA MD WA PA NY NC CA IL OH TX
State Funding
California $3,410,496,236
Massachusetts $2,364,750,629
New York $2,069,300,604
Pennsylvania $1,496,869,899
Maryland $1,010,931,562
North Carolina $991,876,570
Texas $972,156,544
Washington $876,933,041
Illinois $710,197,186
Ohio $633,220,134
US $22,251,657,294
Increased Funding for the NIH?
Source: Federation of American Societies for Experimental Biology, NIH Research Funding Trends, Garrison, Drehman, Campbell, 2015
FY 1995 FY 2003 FY 2014 FY 2015
%
Change
since
2003
NIH Budget (millions) $11,300 $27,167 $30,070 $30,311 11.6%
NIH Budget (constant to 1995 $ millions) $11,300 $21,080 $16,594 $16,366 -22.0%
In constant dollars, adjusted to factor inflation, funding of
NIH has decreased by 22% since 2003.
Federal
lawmakers are
considering
increases from
$1 - $2 billion for
NIH for FY 2016.
However, the
return of
sequestration
looms and, when
adjusted for
inflation, NIH
funding for
basic
research has
actually
declined since
2003.
Top NIH-Funded Independent Hospitals, 2014
Source: NIH, Research Portfolio Online Reporting
Eight of the top
14 NIH-funded
independent
hospitals are in
Massachusetts.
Please note:
NIH lists
University-
operated
hospitals
separately.
Organization City State Awards Funding
Massachusetts General Hospital Boston MA 770 $349,524,060
Brigham & Women's Hospital Boston MA 558 $319,409,432
Children's Hospital Corporation Boston MA 301 $122,949,506
Dana-Farber Cancer Inst. Boston MA 207 $122,652,215
Children's Hospital of Philadelphia Philadelphia PA 192 $112,146,779
Beth Israel Deaconess Medical Center Boston MA 240 $108,156,442
Cincinnati Childrens Hosp Med Ctr Cincinnati OH 251 $97,854,412
St. Jude Children's Research Hospital Memphis TN 89 $48,650,426
New York State Psychiatric Institute New York NY 99 $46,903,956
Seattle Children's Hospital Seattle WA 84 $39,068,563
Boston Medical Center Boston MA 85 $38,130,340
Cedars-Sinai Medical Center Los Angeles CA 76 $34,423,825
Tufts Medical Center Boston MA 45 $27,737,457
McLean Hospital Belmont MA 81 $25,413,803
Top Massachusetts NIH-Funded Non-Profits, 2014
Source: NIH, Research Portfolio Online Reporting
Massachusetts
non-profits are
significant
recipients of NIH
funding.
Institution Funding Grants
Harvard Medical School $193,508,468 383
Harvard School of Public Health $123,955,103 182
U. Massachusetts Med School Worcester $121,907,830 301
Boston University Medical Campus $112,678,027 233
Massachusetts Institute of Technology $103,988,893 251
Broad Institute, Inc. $95,443,418 55
Harvard University $61,056,145 125
Tufts University Boston $41,918,398 116
Boston University (Charles River Campus) $34,618,048 104
Brandeis University $28,831,370 93
University of Massachusetts Amherst $19,107,287 64
Boston College $11,142,110 26
Northeastern University $20,812,728 53
Joslin Diabetes Center $13,306,601 34
Forsyth Institute $12,021,486 24
Drug Development Pipeline
Drug Development Pipeline, by Phase
The MA drug
development
pipeline includes
14 candidates
pending FDA
approval.
*Massachusetts-
headquartered
company pipelines
only included.
1,491 MA drug candidates*
11% of US pipeline
5.5 % of Global pipeline
Research Project Pre-Clinical Phase I Phase II Phase III Filed
468
611
146
187
65
14
Source: EvaluatePharma®, August 2015
In the Pipeline
Tazemetostat
Phase I
Phase I clinical
trials are aimed at
proving that a drug
candidate, which
has proven to be
safe when used on
animals, can be
given safely to
people. These
trials, which last
several months to a
year, usually
involves a small
number of healthy
volunteers, 10-50.
Epizyme is a Cambridge-based
clinical stage biopharmaceutical
company that is creating novel
epigenetic therapies for cancer
patients.
Tazemetostat (EPZ-6438) is intended as a treatment for patients with non-Hodgkin
lymphomas, including germinal center and non-germinal center diffuse large B-cell lymphoma,
primary mediastinal B-cell lymphoma (PMBCL) and follicular lymphoma.
Source: EvaluatePharma®, August 2015; Epizyme Website www.epizyme.com
In the Pipeline
Eravacycline
Phase III
Phase III clinical
trials typically
include 300-3,000
patients to provide
a definitive
assessment of how
effective a drug is
in comparison to
existing treatments.
Should a drug
candidate work well
in Phase III trials in
treating a specific
condition, its
researchers can
submit an
application for FDA
approval.
Tetraphase is a Watertown-based
company focused on a synthetic
chemistry technology platform
that is aimed to address the
global health crisis caused by
antibiotic resistance.
Eravacycline is in a Phase III clinical study for patients with complicated intra-abdominal infections
and complicated urinary tract infections. It is a broad-spectrum intravenous and oral antibiotic for
the treatment of multi-drug resistant (MDR) infections. It has been designated by the FDA as a
Qualified Infectious Disease Product and eligible for priority review.
Source: EvaluatePharma®, August 2015; Tetraphase Website www.tphase.com
Massachusetts Pipeline by Therapeutic Area
Source: EvaluatePharma®, August 2015
Oncology & Immunomodulators
37%
Systemic Anti-infectives 14%
Central Nervous System 14%
Various 8%
Musculoskeletal 6%
GastroIntestinal 4%
Sensory 4%
Cardiovascular 4%
Endocrine 3%
Blood 2%
Respiratory 2%
Geneto-Urinary 1%
Dermatology 1%
The 1,491
investigational
drugs fall into 13
broad
Therapeutic
Areas.
MA Pipeline by Medical Indication (Top 25)
Massachusetts
researchers are
currently
researching and
developing
products for
patients with
370 different
medical
indications.
Medical Indication
# of
investigational
drugs
Pct. of all activity
General cancer indications 233 9.67%
Solid tumour indications 137 5.68%
General inflammatory disorders 59 2.45%
Undisclosed 58 2.41%
Other neurological indications 57 2.37%
Other immune indications 44 1.83%
Pain 39 1.62%
Hepatitis C treatment 38 1.58%
Alzheimer's disease 37 1.54%
Diabetes, type II (maturity onset) 36 1.49%
General bacterial indications 35 1.45%
Arthritis, rheumatoid 34 1.41%
Multiple sclerosis (MS) 31 1.29%
Obesity 31 1.29%
HIV treatment 30 1.24%
Breast cancer 26 1.08%
Asthma 25 1.04%
Other metabolic indications 24 1.00%
Cystic fibrosis (CF) 23 0.95%
Hyperlipidaemia 23 0.95%
Non-Hodgkin lymphoma (NHL) 23 0.95%
Duchenne muscular dystrophy 21 0.87%
Parkinson's disease 21 0.87%
General cardiovascular indications 20 0.83%
Prostate cancer 20 0.83%
Source: EvaluatePharma®, August 2015
New Drug Approvals for MA Companies,
2014
*Approved drugs developed in Massachusetts and/or owned by companies based or with core US operations here.
Source: CenterWatch
Alprolix; Biogen; For the treatment of hemophilia B
Entyvio; Millennium, The Takeda Oncology Company; For the treatment of adults with
ulcerative colitis and Crohn's disease
Sivextro; Cubist Pharmaceuticals; For the treatment of acute bacterial skin and skin
structure infections
Eloctate; Biogen; For the treatment of hemophillia A
Plegridy; Biogen.; For the treatment of relapsing multiple sclerosis
Cerdelga; Genzyme; For the treatment of certain adult patients with Gaucher disease type 1
Lemtrada; Genzyme; For the treatment of relapsing multiple sclerosis
Zerbaxa; Cubist Pharmaceuticals; For the treatment of complicated intra-abdominal and
urinary tract infections
New Drug Approvals for MA Companies,
2015
*Approved drugs researched, developed or manufactured in Massachusetts .
Source: CenterWatch
Orkamb; Vertex: For the treatment of cystic fibrosis
Varubi; Tesaro; For the prevention of delayed nausea and vomiting
associated with chemotherapy
Aristada; Alkermes; For the treatment of schizophrenia
Strensiq; Alexion; For the treatment of hypophosphatasia
Onivyde; Merrimack; For the treatment of metastatic pancreatic cancer
following gemcitabine-based therapy
Ninlaro; Takeda: For the treatment of treat multiple myeloma
Kanuma; Alexion; For the treatment of Lysosomal Acid Lipase (LAL)
deficiency
Imlygic; Amgen; For the treatment of unresectable recurrent melanoma
Massachusetts
companies had
8 drug approvals
in 2015.
Changing the Lives of Patients
Sources: Developed from multiple sources including EvaluatePharma®, August 2015, emedicine medscape, NCBI, CDC, 2014
More than 160
drugs have been
commercialized
by current
Massachusetts-
headquartered
companies.
Massachusetts-headquartered companies have developed
therapies that focus on patient populations of
232,434,000 patients 1,507,722,000 patients
IN THE UNITED STATES AROUND THE WORLD
What’s in a Number?
Please note: Prior to 2012, MassBio used two different federal sources for
employment data. In order to present more consistent employment data on a more
timely basis, we no longer use County Business Patterns (CBP) data of the U.S.
Census Bureau but rely primarily on the U.S. Bureau of Labor Statistics, Quarterly
Census of Employment and Wages (QCEW) for this data.
As a result, historical employment data found in the 2012 -2014 Snapshots vary from
that found in past reports. Though the historical annual employment figures vary by
about 5% between the 2012 Snapshot and those of past years, the trend lines are
very similar.
Why use the QCEW? QCEW data is comprised of employment and wages from
unemployment insurance (UI) tax reports submitted by employers and is augmented
by both BLS worksite reports and the Annual Re-filing Survey (ARS), which surveys
one quarter of all private-sector establishments each year. The QCEW data is
available on a more timely basis than the CBP and is directly related to the state’s ES-
202 data, providing an additional, ongoing corroborative source.
What’s in a Number?
What is considered “biopharma” employment?
Using the North American Industry Classification System (NAICS), with which QCEW data is reported,
MassBio has determined that several NAICS classifications can be considered part of the biotechnology
and pharmaceutical industry. However, only in certain cases can the industry claim 100% of any one
NAICS code. MassBio determined that a percentage of some industry classifications could be used in
estimating overall industry employment. In some cases, the percentage determination for certain industry
codes was based on reports developed by other organizations. The following NAICS codes are utilized:
NAICS 3254: Pharmaceutical MFG, including biologics (100%)
NAICS 541711: Research and Development in Biotechnology (100%)
NAICS 541712: R&D in Physical, Engineering, and Life Sciences (except biotech) (22%)
NAICS 334516: Analytical Laboratory Instrument MFG (30%)
NAICS 54138: Testing Laboratories (30%)
NAICS 622: Hospitals (4.5%)
NAICS 61131: Universities (1.9%)
NAICS 621511: Medical testing laboratories (100%)
NAICS 4242, Drug merchant wholesalers, is no longer included in any current or annual employment
figures. NAICS 621511, Medical Laboratories, is included. Prior to 2013, we omitted Medical Laboratories,
as these laboratories are health care services related, providing services to the medical delivery and
patient care system, rather than the biopharma research development and manufacturing industry. We now
acknowledge that Medical Laboratories are closely connected to the biopharma industry, requiring similar
capacity and skills found in the biopharma industry. MassBio also tracks employment for “green
biotechnology” classifications: 325199. 325221, 311222, and 311223. However, the QCEW does not reveal
employment data for these categories beyond minimum ranges, so this data is not included in the
employment figures presented in this Snapshot nor is it factored in comparisons with other states.
Questions?
As the premier source of information on biotechnology in
Massachusetts, MassBio tracks industry statistics over time
and issues an overview Industry Snapshot each year.
For more information, contact:
Jessica Roche
Director of Communications @ MassBio
617-674-5146
jessica.roche@massbio.org