Employee Engagement and Workforce Sentiment Decline in Biopharma Industry

Global employee engagement and workforce sentiment in the biopharma industry experienced a notable decline in 2024, mirroring trends seen during the COVID-19 pandemic. This downturn, coupled with ongoing industry challenges, suggests potential continued struggles in 2025.

Engagement Drops Across the Board

According to Gallup's State of the Global Workplace report, global employee engagement fell from 23% in 2023 to 21% in 2024. The U.S. and Canada region saw a slight decrease from 32% to 31%. Managers were hit hardest, with their engagement dropping from 30% to 27% globally, while individual contributors remained flat at 18%.

BioSpace's 2025 U.S. Life Sciences Employment Outlook report corroborated these findings, revealing a decline in workforce sentiment among biopharma professionals. Notably, the percentage of respondents proud of their company dropped from 87% in 2023 to 82% in 2024.

Porschia Parker-Griffin, founder and CEO of Fly High Coaching, drew parallels between the current situation and the pandemic's onset, citing global and economic uncertainty as key factors affecting all industries. She highlighted the unique challenges faced by middle managers, who often feel caught between satisfying executives and maintaining staff productivity.

Layoffs and Flexibility Concerns Fuel Disengagement

The biopharma industry's ongoing wave of layoffs has significantly contributed to decreased engagement. In 2024, thousands of biotech and pharma professionals lost their jobs across companies of all sizes, including industry giants like Johnson & Johnson, Bristol Myers Squibb, and Bayer.

Survey respondents expressed sharp criticism of these workforce reductions, with some discouraging young students from pursuing STEM careers due to job insecurity. The perceived lack of employer loyalty has led many to consider positions outside the pharmaceutical industry.

The push for return-to-office policies has also impacted engagement, with generational and gender differences in preferences for remote work. Younger generations and women generally favor more flexible work arrangements, aligning with Gallup's findings on changing employee desires regarding workplace flexibility.

Future Outlook and Cultural Considerations

Looking ahead to 2025, experts find it challenging to predict engagement trends due to various external factors. A recent BioSpace LinkedIn poll suggests a potential further decline, with 57% of respondents reporting feeling less engaged now than in 2024.

Parker-Griffin emphasized the critical role of organizational culture in fostering engagement. She advised companies to actively address culture by assessing employee sentiment, making strategic changes where necessary, and ensuring clear communication of organizational values and leadership vision.

As the biopharma industry navigates these challenges, addressing employee concerns and adapting to evolving workplace preferences will be crucial for improving engagement and maintaining a motivated workforce in the coming years.