CBRE Report: San Francisco Bay Area Ranked Second Overall for U.S. Life Sciences Research Talent

The San Francisco Bay Area moved up to second overall for Life Sciences Research Talent, boosted by high annual wages, concentration of life sciences occupations and talent pipeline, according to CBRE’s second annual life sciences talent report.

Life sciences research professions across the U.S. – from biochemists to epidemiologists and data scientists – recorded an all-time high of 545,000 specialists in 2022, up 3.1% from 2021. Meanwhile, the Bay Area’s total life sciences employment – which includes 32,490 research specialists – marked an increase of 27% from 25,660 in 2020.

The concentration of life sciences researchers in the Bay Area increased 25% between 2017-2022 – the second highest in the U.S., well-above the national average (16%). The Bay Area also has the greatest concentration of Data Scientists, bolstered by its abundant Professional, Scientific, and Technical workforce.

The Bay Area’s talent pipeline remained robust with more than 3,200 degrees completed in biological and biomedical sciences in 2021. The Bay Area was among the top markets producing graduates in specialized fields with 877 cell/cellular biology & anatomical sciences graduates in 2021. Washington D.C./Baltimore had 582 biotechnology graduates and Los Angeles/Orange County had 735 biochemistry, biophysics & molecular biology graduates.

“The proximity of leading research institutions in the San Francisco Bay Area has been critical to the growth of life sciences intellectual property and talent in the region. While the tremendous growth over the last fifteen years started to normalize last year, the established fundamentals in the Bay Area continue to position it as one of the strongest life sciences markets in the country,” said Gregg Domanico, Vice Chairman with CBRE’s Life Sciences Practice in the San Francisco Bay Area.

Nationally, the growth of U.S. life sciences researchers remained resilient despite economic concerns. The number of life sciences researchers in the U.S. increased by 87% over the past 20 years, compared with 14% for all U.S. occupations – through three recessions and amid a tight labor market of recent years.

CBRE evaluated each of the largest 74 U.S. life sciences labor markets against multiple criteria, including the number and concentration of life sciences researchers, number of new graduates with life sciences degrees and specifically with doctorate degrees in life sciences, concentration of all doctorate degree holders, and concentration of jobs in the broader professional, scientific, and technical services professions. The analysis produced CBRE’s second annual ranking of the leading markets for U.S. life sciences talent.

“Demand for life sciences research workers is above pre-pandemic levels,” said Matt Gardner, CBRE Advisory Services Life Sciences Leader. “We’re also seeing a closely balanced ratio of hiring to job cuts in the biopharma industry compared with the technology sector and the broader economy, which positions the life sciences to remain stable despite an economic downturn.”

“It’s worth mentioning that large lab markets, such as Boston and the San Francisco Bay Area remain stable,” he said. “But in the second year of our analysis, we’re seeing cities like Atlanta, Philadelphia and Denver/Boulder gain ground as hubs for life science research talent.”

CBRE’s analysis examines the industry from various angles, including shifts in the type of life science research occupations. For example, the number of digital and analytics roles has increased by 101% in the last five years due to innovation in artificial intelligence and machine learning. The industry is also experiencing a shift from chemistry to biology, resulting in a 1.2% decrease in the number of chemists over the past five years.

To read the full report, click here.