Tax Policies Can Hurt California’s Growth in Life Sciences

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Tax Policies Can Hurt California’s Growth in Life Sciences

From CLSA President Sara Radcliffe in a special commentary for the San Diego Union-Tribune (intro):
“For generations, California has led the way in advancing innovations that drive the economy and create jobs. That is certainly the case with the life sciences — biotechnology, pharmaceuticals, medical devices and diagnostics — a sector that helps fuel economic growth and improves the lives of people in San Diego and around the world.

Indeed, California’s 2,848 life sciences companies up and down the state have more than 1,200 therapies under development, including new treatments for cancer, infectious diseases, central nervous system disorders and many other conditions.

Radcliffe-Desk1This research is a testament to the values of California’s life sciences sector — helping people and saving lives. California’s life sciences sector is also driving economic growth in the state. In 2014, the industry directly employed 281,000 people. Add in indirect and induced employment — the vendors companies employ and the grocers, dry cleaners and others supported by industry employees — and the number reaches 862,000 Californians. Total salaries exceeded $30 billion with those directly employed making an average of $108,000 per year.

San Diego has particularly benefited from this life sciences boom. Companies like Illumina, Pfizer and Thermo Fisher Scientific, along with The Salk Institute, UC San Diego, The Scripps Research Institute and other research institutes, have generated nearly 40,000 jobs and enormous economic growth.

As seen in the recently released 2016 California Life Sciences Industry Report, California leads the nation in research grants from the NIH ($3.3 billion) and in the ability to attract life sciences venture capital ($4.8 billion). California also leads the nation with 11 of the world’s top 100 universities.

These statistics are compelling, but they only tell part of the story.” Full letter/article

February 5th, 2016|