Just 23% of respondents to a BioSpace LinkedIn poll expect the biopharma job market will rebound in 2026. Three experts discuss when they see a turnaround happening and how increasing emphasis on cost efficiency is impacting hiring practices.
Most biopharma professionals don’t see the job market turning around anytime soon, based on a BioSpace LinkedIn poll this month. It found that 77% of respondents don’t expect a change until 2027 or later, and 50% don’t expect movement until or after 2028.
Poll respondents aren’t the only ones predicting a turnaround won’t occur until next year at the soonest. Graig Suvannavejh, managing director and senior biotech and biopharma analyst at Mizuho Securities, told BioSpace a job market rebound is unlikely until 2027. He said whether it happens in the beginning or middle of next year is hard to predict, as that depends on issues such as funding.
In addition, while Suvannavejh noted that there have been a decent number of initial public offerings (IPOs) as well as mergers and acquisitions (M&A) this year, they don’t outweigh the modern-day pressures biopharmas face.
“As someone who roots for everybody—investors, companies, employees—I wish I could say that a turnaround in the biopharma job market were coming soon, but I think it’s going to take awhile, and I think it’s going to take awhile primarily because of increasing focus on being as cost-efficient as possible,” Suvannavejh said.
There have been over a dozen IPOs so far this year, according to BioSpace tallies. The largest was Parabilis Medicines’ $670 million raise, the biggest biotech debut of all time. M&A activity includes Eli Lilly’s 10 announced acquisitions so far this year. The pharma’s deals include acquiring Kelonia for up to $7 billion, Centessa Pharmaceuticals for $6.3 billion upfront and Orna Therapeutics for $2.4 billion.
While Suvannavejh said increasing pressure on companies to run as leanly and cost efficiently as possible is the biggest factor preventing a rebound, he also identified other issues. One is biotech sector investment not resulting in a net plus for job creation. For example, Suvannavejh said, while some companies are going public, others are shutting down because they can’t find funding. In addition, while new businesses need new people, those employees might come from other companies.
Suvannavejh also said the velocity of company creation has slowed dramatically since the almost euphoric and chaotic period of 2019 to 2022.
“There was just a lot of money flowing into biotech in such a way that even if you didn’t have a drug candidate being tested, and your company was more an idea, there was money for you,” he said. “We don’t have that today.”
Some already see signs of a turnaround
While many don’t see the job market bouncing back this year, two recruiting experts told BioSpace it’s started to do just that.
Kim Laipple, president of life sciences recruiting firm Scientific Search, said her business noticed increased hiring during the first and second quarters that included bringing in more consultants and contractors. She explained that companies fill those types of positions to get comfortable with hiring again, as they don’t have to make the large commitments involved with bringing in permanent employees.
An increased need for clinical operations personnel in 2026 is another sign the market is starting to turn around, according to Laipple. She said for roughly the past two years, there was an emphasis on research and development rather than true clinical hiring because companies weren’t getting to clinic or the regulatory filing stage.
While those signs are positive, Laipple also shared that her firm has recently seen some roles go on hold, a reassessment of hiring she didn’t expect companies would make until September.
“Usually, we start seeing that going into Q4, where they’re holding until the new budget,” she said. “So, I’m surprised I’m seeing it late Q2 going into Q3 already, and I’m not sure I know what that means yet.”
Regarding what’s ahead for hiring, Laipple said she doesn’t expect it to increase further until late third quarter or in the fourth quarter, with the largest increase not happening until the start of 2027.
Melinda Emig, founder and CEO of BioPharma Select, a life sciences executive placement firm, also shared that she’s seen hiring rise this year. As an example, she noted that companies have increasingly hired strategic personnel—people who are “plug and play.”
“They’re really thinking through what they need in these roles, what they need in the candidate that’s coming into these roles,” she said.
Moving forward, Emig expects hiring will increase in Q4, right before the holidays, and in 2027.
“I think we’re right on the precipice of the pickup, and it’ll go gradually until probably late in the year,” she said.
As to Suvannavejh’s thoughts on what’s ahead, he said he hopes those making biopharma hiring decisions don’t focus too much on operating lean.
“I do believe you want to do things as efficiently as possible, but taking shortcuts on resourcing for the sake of just being lean doesn’t ensure success,” he said. “I think in the end, you want to set up yourself for success, and I hope companies will do the right thing by resourcing appropriately.”
