Seventeen life sciences companies awarded Massachusetts tax incentives to create 426 jobs between 2021 and 2025 collectively added only 41 net new jobs by December 31, 2025, according to Biospace. A stark discrepancy between promised and actual job creation signals a significant challenge for the state’s biotech sector. Massachusetts life sciences jobs declined 1% in 2025, falling from 144,669 in 2024 to 143,224, as reported by Biospace.

Massachusetts has heavily invested in life sciences through tax incentives, yet these investments are not yielding the promised job growth. Many companies are terminating awards or reporting layoffs, creating tension between state policy and economic reality. The decline in overall employment numbers further complicates the picture.

Based on the widespread underperformance of job creation targets and increasing layoffs, Massachusetts' life sciences sector appears to be entering a period of contraction and consolidation, challenging its long-held status as a growth engine. Public investment strategies are failing to stabilize the workforce.

Key Statistics on Massachusetts Life Sciences Employment

  • 41 — net new jobs added by 17 life sciences companies with tax incentives, compared to 426 promised, according to Biospace.
  • 1% — decline in Massachusetts life sciences jobs in 2025.
  • 143,224 — life sciences jobs in Massachusetts in 2025.
  • 144,669 — life sciences jobs in Massachusetts in 2024.
  • Less than 10% — of promised job creation delivered by the state's tax incentive program.
  • Three — companies (Novartis, Prime Medicine, TScan) reported layoffs after voluntarily terminating their state tax incentive awards.
  • 125 — positions Dicerna Pharmaceuticals failed to add across two tax incentive awards, with only 30 net new jobs for one award and no net increase for the second, according to Biospace.

The Promise vs. The Reality: Incentive Programs Underperform

Three companies, KARL STORZ Endovision, Novartis Institutes for BioMedical Research, and PathAI, voluntarily terminated their tax incentive awards. State incentives were either insufficient to prevent strategic shifts or became burdensome for firms, as indicated by these terminations. Dicerna Pharmaceuticals failed to add 125 positions across two tax incentive awards, with only 30 net new jobs added for one award and no net increase for the second, according to Biospace.