Friday, Oct. 12, 2007

Hey, scientists, it’s not cheap here

High living expenses crimp employers’ recruiting efforts

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The high cost of living in the Washington, D.C., region is making it harder to keep rising bioscience stars here, observers say.

‘‘It is much more difficult now than it was five years ago,” for both universities and companies, said Jennie Hunter-Cevera, president of the University of Maryland Biotechnology Institute.

To help keep good scientists in the region, plans to expand research and development facilities will likely follow the commercial trend of mixing in residential properties, said Elaine Amir, director of the Johns Hopkins University’s Rockville campus.

‘‘We must address the workforce housing issues to attract people here, people who want to stay here,” Amir said.

If the state and county governments stay committed to building both the Intercounty Connector and the Corridor Cities Transitway transportation plans, Amir said, Johns Hopkins should plan on mixed-use expansion to house more life science companies near campuses.

‘‘We need to create an environment where housing and work and recreation is combined, so you can walk to work and bike to work,” she said. ‘‘The idea is to reduce the cost of living.”

But the time may be growing short for such initiatives.

The average life scientist’s salary in 2007 in the Washington region is $65,000, while the average renter’s cost of living is $41,600, according to a new report in The Scientist magazine, based on data from the Economic Research Institute. Many scientists rent, rather than own their own home, because they often change employers and move frequently.

Those figures stack up well against those of San Francisco, Los Angeles and especially New York City, where a part-time job might be needed to cover the $6,200 shortfall.

But the numbers in other regions with strong life science sectors are more attractive than Washington’s, according to the survey.

In Boston, for example, the average salary is $69,600, while the cost of living is a relatively paltry $28,600. The figures for San Diego and Seattle are even more attractive. And in Durham, N.C. the average salary is $61,300, with the cost of living a mere $4,025.

The survey also found a discrepancy in pay between men and women, with female life scientists averaging about 80 percent of men’s salaries.

Companies increasingly take a global approach when hiring researchers, says Edmund Orr, managing partner with Caden Murray Group, a life sciences consulting firm in Gilbert, Ariz.

‘‘Frankly, the borders of the world are going away,” Orr said.

‘‘The old saying that recruiting a B student scientist in New Jersey is better than recruiting an A student in China no longer holds.”

The technology sectors in regions such as Austin, Texas, are growing surprisingly fast, he said. Nimble companies now have more flexibility in choosing locations.

‘‘Many executives don’t have to be in the headquarters either,” Orr said. ‘‘They could live in a remote area because today going from one place to another is easy.”

However, Maryland will always hold advantages, he said.

‘‘In Maryland, D.C. or Northern Virginia, it makes a lot of sense in the life sciences because you are that close to [the National Institutes of Health]. It is important to be appropriately positioned with the government in regard to the intricacies of bringing along products, too.”

The U.S. Food and Drug Administration ‘‘has the strictest guidelines for drugs and devices in the world, so more companies contract with firms in and around the D.C. [area],” Orr said.

Still, Hunter-Cevera said, recruiting is much tougher lately for UMBI and for several companies where she is a board member, especially with the housing market slump and slowdown in federal research funding.

‘‘As a state, we want to be able to attract and keep the brightest minds,” she said. ‘‘It is a growing issue.”

Scientists’ Salaries

Average salaries for life scientists in the Washington, D.C., region are comparable to those in other regions. But the cost of living for renters is also high.

Salary Cost of Living

San Francisco $75,400 $66,300

New York City $74,200 $80,400

Boston $69, 600 $28,600.

Los Angeles $69,400 $42,200

Seattle $68,000 $16,200

San Diego $65,400 $27,700

Washington $65,000 $41,600

Durham, N.C. $61,300 $4,025

Source: The Scientist

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