Talent Pressures Heat Up in Life Science and Bio Tech Companies

As we turn the page on another year, it’s clear 2025 holds some exciting opportunities for life science and biotech companies, but incredibly stubborn talent challenges could delay or possibly prevent much of their future success. 

Here’s a quick recap of what’s happening at the macro level within this dynamic industry: 

• Global Health Crises and Emerging Diseases - Events like the COVID-19 pandemic and ongoing threats from emerging diseases (e.g., antimicrobial resistance, zoonotic diseases) have highlighted the need for rapid development of vaccines, therapies, and diagnostic tools.
• Aging Populations - Global aging trends are increasing the prevalence of chronic diseases like diabetes, cancer, and neurodegenerative conditions (e.g., Alzheimer’s). This demographic shift increases the need for medical innovations, including new drugs, diagnostics, and therapies.
• Rise of Precision Medicine - Advances in genomics and bioinformatics are enabling more personalized treatments tailored to an individual's genetic makeup, lifestyle, and environment.
• Expansion of Digital Health and AI Integration - Digital technologies, including AI, machine learning, wearable health devices, and telemedicine, are transforming how healthcare is delivered and monitored. A recent Deloitte study found that nearly 70% of biopharma companies consider using generative AI for research and discovery a top priority.

The challenges 

As pressure increases on this critical industry and its ability to innovate, so too does the demand for highly skilled workers. Job growth for Biological Technicians (according to the latest data from the Bureau of Labor Statistics) is projected at 7%, almost twice the rate for all occupations surveyed. Looking even closer, it’s clear the talent challenges facing this industry won’t be easily overcome. 

• Digital Skills Gap: The rapid integration of digital technologies has created a demand for professionals proficient in areas like data science, bioinformatics, and AI. However, 43% of pharmaceutical companies report a shortage of candidates with adequate digital literacy skills. 
• Diversity and Inclusion: Companies in these industries continue to grapple with underrepresentation of certain demographics, with 65% of the workforce identified as white, and only 6% Black and 7% Hispanic/Latinx. Several research papers link diversity directly to increased innovation and financial returns, two things these companies will need to survive in an age of technological advancement. 
• Employee Growth Opportunities: Professionals in the sector prioritize increased career opportunities, with 63% citing it as a key motivator. Opportunities to earn greater compensation was a close second at 57%. 

A few recommendations

Obviously, these challenges won’t be solved in a single year. What can life science and bio technology companies focus on now to create a predictive talent supply in 2025? 

Here are a few recommendations: 

• Supplement your job architecture with high-demand technical skills: Traditional job architecture designs focus a lot on job titles and levels, and those are critical components to define if you haven’t already. Once those components are in place, companies should quickly include the high-demand technical skills that will drive the future of their business.
• Skills-based hiring and training: Once high-demand technical skills are defined, they can be integrated into workforce planning processes, and those plans will help shape future hiring and development plans. Establishing programs to enhance employees' digital competencies will go a long way towards retaining existing talent who are, no doubt, looking for new opportunities both inside and outside your organization.
• Move upstream in your hiring strategy: Identify education institutions that will help your organization meet its hiring goals while also promoting a diverse talent pool. Focus on candidates' skills and potential rather than traditional credentials to help foster diverse hires which will lead to increased talent agility and innovation. 
• Transparent Career Progression Paths: Pay transparency laws are increasingly requiring open and transparent communication on “career advancement opportunities.” Even where regulations don’t require this level of transparency, it’s in your organization’s best interest to develop flexible career options for your employees and communicate how they can develop their skills to reach their career goals.