For Release — July 11, 2011
Public Policy Institute study shows the biopharmaceutical sector should be a growth engine for New York's economy
Binghamton - Biopharmaceutical research and manufacturing holds great promise for economic growth in New York. If properly developed and supported this sector could be the engine driving an economic resurgence in New York. That is the finding of a new study by the Public Policy Institute, the research arm of The Business Council of New York State, entitled “New York Must Step Up Its Game: The Global Struggle for Biopharmaceutical Jobs”. This report looks at high paying jobs emanating from biopharmaceutical clusters and the high multiplier potential that these jobs have on the economy.
This report in effect lays down a challenge to public and private sector leaders, labor as well as business, academic health centers focused on research, as well as educators, to take the steps needed to expand New York's reach in this sector.
It establishes biopharmaceutical research and the attending job potential locked inside those clusters, as one of New York's best long-term growth strategies.
“To see just how important expanding this sector can be for New York, for every life-science research position New York creates or retains an estimated 3.458 jobs will arise,” said Heather Briccetti, acting president and CEO of The Business Council. “In addition, each manufacturing job in New York, translates into 9.359 jobs. Therefore, the inherent multiplier effect of biopharmaceutical jobs where melded into manufacturing hubs creates an engine for economic development.”
This sector also provides high paying jobs. Nationally, the average pay for a biopharmaceutical employee in the US in 2009 was $102,341. In New York State, the corresponding wage in this sector was $72,486.
The report also looks at the slow growth of this sector in New York compared to other industrial states as well as China and India. It provides a road map for what New York needs to do, to realize the fruits of this opportunity. It shows that this is a key moment in time when New York's leaders must make growth of this sector a priority because we are in a global competition for these jobs.
Dr. Nathan Tinker, Executive Director of the New York Biotechnology Association, said, “New York State has a tremendous opportunity to become an international leader in the biopharm sector. This report shows step-by-step how state leaders can take advantage of that opportunity for both scientific and economic benefit. These are all investments that would more than pay for themselves in the long run. These are investments that future generations will regard as well-conceived and wise.”
Dr. Rajesh J. Dave, Dean of the SUNY Upstate Medical University Clinical Campus at Binghamton, said, “The Southern Tier region, with a vibrant health care community and outstanding university center, is fertile ground for new research that could one day improve patient outcomes. I applaud the efforts of public and private sector leaders to encourage such research and development.”
Senator Thomas W. Libous, Deputy Majority Leader said, "New York's high-tech academic institutions like SUNY Upstate Medical and Binghamton University provide a perfect environment for advances in biopharmaceutical research. It's simple why we need to encourage and develop this industry: It'll help create jobs."
Assembly Member Donna Lupardo, Chair of the Legislative Commission on Science and Technology said, “It's very important that we focus our efforts around developing strategic innovation clusters, like biopharmaceuticals. The Southern Tier has all the resources and expertise needed to be a leader in this initiative.”
The Public Policy Institute of New York State, Inc. is a research and educational organization whose purpose is to
formulate and promote public policies that will restore New York's economic competitiveness. The Institute
accomplishes this mission by conducting timely, in-depth research addressing key state policy issues. Founded
in 1981 and affiliated with The Business Council of New York State, Inc., The Institute is a non-partisan,
tax-exempt, 501 (c) (3) organization. The Institute depends on the support of corporations, individuals, and
foundations for its income, and does not accept any government funding.