A total of 130,439 jobs, $7.6 billion in personal income and 13 billion in gross domestic product (GDP) — that’s a lot of economic impact. But that’s what a new study from the Kem C. Gardner Policy Institute at the University of Utah says Utah’s life sciences industry meant tothe state last year.
The research, released last week, defines which companies are part of the industry and support scientific advancement — mostly related to healthcare. Life sciences companies are involved in producing and marketing things such as medical devices, drugs, lab testing and diagnostics.{mprestriction ids="1,3"}
“The Gardner Policy Institute is pleased to share our findings about Utah’s nationally recognized life sciences industry,” said Levi Pace, senior research economist at the institute and lead author of the study. “Years of strong growth have made life sciences a vital strategic sector as we anticipate tomorrow’s economic opportunities.”
The “Economic Impacts of Utah’s Life Sciences Industry” report is the first comprehensive economic impact study of the industry performed in the state, the institute said. The study will be used as a baseline for future studies and updates in order to track the progress of the life sciences industry.
The study found that companies within the industry directly and indirectly contribute 5.9 percent of the state’s personal income and 7.9 percent of its GDP. The industry provides employment with 40 percent to 50 percent higher average pay than Utah’s average salary. It also directly and indirectly supports 6.7 percent of the state’s employment.
From 2012 to 2017, Utah’s life science industry had the largest job growth among the 20 states with the largest life science industries, according to the study. It also shows that the industry’s job growth rate has been consistently high over the past 15 years, growing by 14 percent from 2002 to 2007. The rate held steady during the Great Recession and then skyrocketed to 26 percent over the past five years.
“Utah already has the fastest pace of job growth in the nation and life sciences is growing at a rate even faster than that,” said Juliette Tennert, director of economic and public policy research at the Gardner Policy Institute. “The industry represents quality economic growth through its innovation, exports and high-paying employment.”
The full report can be seen at http://gardner.utah.edu/wp-cotent/uploads/Aug2018-LifeSciencesReport.pdf.{/mprestriction}
