Debunking the Myth That There is a Shortage of Qualified American Life Sciences Employees

Despite the fact the US unemployment rate has hovered around 9.0 percent for the past several years and over 200,000 pharmaceutical employees have lost their jobs since 2001, many life sciences executives contend that they cannot find qualified employees to fill job openings at their companies. Most executives blame the US education system for not providing prospective employees with necessary training and immigration laws that prevent companies from hiring highly-skilled foreign workers. According to a recent survey conducted by the staffing company ManpowerGroup, over 52% of US employers that they have difficulty filling open positions because of talent shortages.  Some other revealing statistics about employer’s attitudes include:

  • 47% of employers blame job candidates’ lack of hard job or technical skills for their inability to hire
  • 35% of companies cite job candidates’ lack of experience as a reason not to hire
  • 25% blame lack of business knowledge or formal educational qualification as a deterrent to hiring

While a majority of US corporate executives may believe this, the reality is that employers simply cannot find employees to accept jobs at the wages that they are willing to offer! In other words, there is a plethora of skilled American workers out there; but many US employers are willing to outsource or hire skilled foreign nationals who frequently work for lower wages than most Americans. Further, American employers are unwilling to spend money to train college graduates or re-train existing employees who may be able to step into these so-called difficult-to-fill positions. This may help to explain why an increasing number of students are willing to accept unpaid internships or, in some cases pay to work at companies for free to garner valuable industrial experience which may ultimately lead to a job.

In a recent article in the Wall Street Journal, Peter Cappelli, the George W. Taylor Professor of Management at the University of Pennsylvania’s Wharton School, offered three possible solutions to the current American unemployment conundrum

Work with education providers

If job candidates lack the skills or qualifications to do certain jobs, companies ought to make them go to school to acquire them. To that end, a growing number of community colleges in North Carolina and New Jersey have partnered with prospective employers to develop courses or degree programs tailored to meet their employment needs. For example, about 10 years ago my local community college (Mercer County College) developed a program (in a partnership with the clinical research company Covance) to train students interested in becoming clinical research assistants and managers. Not surprisingly, many of the students enrolled in the program ultimately where hired by Covance. 

In another variation of this model, extant employees, who may be interested in advancing their cares, would be able take classes at local community colleges (in off hours) and have their tuition subsidized via company tuition reimbursement programs. This would help to obviate the high costs and inordinate amount of time typically required to hire external candidates for newly created positions.

Reintroduce on-the-job training programs

Back in the day, companies tended to hire persons who were the brightest, most talented and most likely to benefit an organization.  New hires were required to participate in internal training programs so that they would better understand their positions and allow management to best evaluate new talent. Generally speaking, this allowed most companies to operate more efficiently; mainly because this allowed managers to determine the best fit of new hires into the existing corporate structure. Sadly this is no longer the case at most companies. These days, companies tend to hire worker who possess the technical skills and qualifications to do a certain job and are expected to “hit the ground running” Put simply, short term needs are placed before the long term needs and future success of an organization.

Promote from within

According to data from the talent management company Taleo Corp., in recent years a surprising two-thirds of job vacancies, even in larger companies, have been filled by outside hires. While it may be cheaper to hiring from the outside, the loss of experienced workers and historical corporate knowledge may affect a company’s performance and ultimately its bottom line.

While the US economy is beginning to show signs that it is beginning to recover, I believe that surest way to prosperity is to put Americans back to work. Although this may require a substantial financial investment by US corporations, we simply can no longer rely on outsourcing or a cheaper immigrant workforce to allow American to continue to compete on the world stage.

Until next time...

Good Luck and Good Job Hunting!!!!!!!

 

Are US Immigration Laws Really Hurting Life Science Innovation?

A report in Bloomberg News today suggested that Eli Lilly & Co. Chief Executive Officer John Lechleiter, PhD told a technology conference today that unfavorable US permanent resident (green card) laws are to blame for declining US innovation in the life sciences. With this in mind, Lechleiter plans on calling for US immigration officials to issue more green cards and adopt a shorter and simpler process for highly skilled foreign nationals to gain permanent residence in the US. According to Dr. Lechleiter, one of only a handful of big pharma CEO who is also a PhD-trained scientist, current green card regulations are so-called job killers and force many talented foreign nationals to return to their native countries to work with firms that directly compete with American life sciences companies. Unlike most of his peers, Lechleiter has been very outspoken about the lack of US life sciences innovation.

While Lechleiter comments may have been appropriate five or more years ago, they are no longer germane to America’s waning innovation in the life sciences. There is little doubt that many bright and talented foreign nationals were denied permanent residency during the Bush era (2000 to 2008) because of stringent immigration policies and limits on the numbers of green cards allotted for persons from certain parts of the world; mainly China, India and the Middle East. This, in turn, forced many life scientists—many of whom desperately wanted permanent residency in the US—to return to their home countries to look for work and gainful employment.

As Lechleiter rightly asserts, these scientists found work with companies that began to directly compete with US life sciences. This phenomenon, coupled with the rapid assent of the middle class in many of these nations, made it possible to begin to conduct Western style research at a much lower costs in these countries. To that end, by 2007, most big pharma companies—many of whom had dwindling pipelines and monstrous overhead costs—realized that it would be more cost effective to outsource or move R&D to countries with emerging pharmaceutical and biotechnology markets and a well trained R&D workforce. And, for the past four years downsizing and outsourcing of R&D are exactly what have been taking place at many American big pharma and biotechnology companies.

In my opinion, the larger question that must be addressed, as far as US innovation in the life sciences is concerned is: why are so few Americans willing to pursue scientific careers? To wit, the main reason why so many foreign life scientists were educated and trained in the US over the past 20 years was because there weren’t enough American students to fill the incoming roster at most American graduate training programs. Put simply, America’s growing lack of innovation in the life sciences over the past decade can be directly attributed to far fewer Americans pursuing scientific careers and an increased reliance on foreign nationals—who were unable to stay in the US—to innovate! While changing US immigration laws may allow some foreign nationals to more easily remain in the US, there simply aren’t enough life sciences jobs left in the US to make it worth their while! In fact, the likelihood of them finding life sciences jobs in their home countries is now greater than it is in the US. In my opinion, the only way to restore American innovation in the life sciences is to convince American students that pursuing scientific careers is worthwhile and that the requisite training for industry jobs is available to them.

Interestingly, after leading with changes to US immigration laws, Lechleiter also suggested that America’s innovation problem could be solved by lowering US corporate tax rates and American companies should not be forced to pay taxes on oversea earnings. Also, he asserted that the US Food and Drug Administration (FDA) should stop putting off decisions or erring on the side of avoiding risk when considering new drug applications. 

This begs the questions, how do lower taxes, no overseas taxes and expedited drug approvals help to spur American innovation when most life sciences R&D is conducted outside of the US?

Until next time...

Good Luck and Good Innovating!!!!!!!!

 

Spurring Innovation

American competitiveness in engineering, technology and science. Unfortunately, while American competitiveness and innovation in these areas continues to wane, little has been done (except talking) about it! Yesterday, Intel and 24 venture capital funds announced that they plan to invest $3.5 billion in American startups and early stage ventures over the next two years. Further, in addition, several of America’s leading technology companies including Google, Cisco Systems, Intel Microsoft and 13 others pledged to add as many as 10,500 jobs into 2010—mainly by hiring Americans graduating from colleges with degrees in computer science and engineering.

The initiative, named the Invest in America Alliance was formed in response to “steadily declining long-term investments in education, technology and human capital” that has been taking place in the US for past 20 years or more. Put simply, the American education system is not training enough qualified individuals to allow the US to compete with other emerging technology and engineering powerhouses that include China, India Finland, Korea and the Netherlands. 

According to Robert Compton, a venture capitalist, entrepreneur and education enthusiast “Fewer than 10 percent of college graduates in the US have engineering degrees, compared with more than one-third in India and China and more foreign-born graduates of US universities are returning to their home countries.” For those of you with degrees in math and science (and you base your calculations on population size), the magnitude of the problem (for Americans anyway) is glaringly obvious. Compton went on to say what many others have been thinking for a while, “Early indicators are that we are not the center of innovation anymore. It is shifting to the East.” And he may be right! Based on surveys conducted by the World Intellectual Property Organization in the last year, patent filings increased 30 percent in China while declining 11 percent in the US.

While the Invest in America Alliance appears to be a great public relations opportunity for the companies and venture firms that are participating in it, its critics doubt whether investing more money in technology startups is going to fix the ongoing problem. Education analysts contend that a better and cheaper solution may be changing US immigration laws so that foreign students who train in the US are allowed to remain in the country after they complete their training. Other naysayers contend that most of the venture money committed by the alliance would have likely gone to American startups anyway (US based venture firms already invest 70 percent of their money in American start ups) and that 10,500 new jobs isn’t enough to make a dent in the US unemployment rolls.

Like the technology industry, a decade of wrong-head immigration policies coupled with a waning American interest in science has begun to jeopardize the US dominance in the life sciences. Further these trends are largely responsible for the massive layoffs and unrelenting outsourcing of pharmaceutical R&D jobs to foreign countries.

Toothless or not, the Invest in America Alliance shows that engineering and technology industry leaders are willing to cooperate with one another and get behind an initiative that raises public awareness about America’s waning competitiveness in these fields. Perhaps,   pharmaceutical, biotechnology and medical devices and diagnostic companies ought to take a page out of the Alliance’s play book to similarly insure the future innovation and competitiveness of the American life sciences industry.

Until next time...

Good Luck and Good Job Hunting!!!!!!!!!

 

Restoring Science to Its Rightful Place: The Obama Administration Addresses the Visa Issues Plaguing Foreign Life Sciences Researchers

After months of complaints by university officials and scientific organizations, the US State Department announced on Tuesday that it is taking action to speed up the delay-plagued visa process for foreign graduate students and post-doctoral researchers.

For the past few years, foreign science and engineering graduate students and postdoctoral seeking to obtain or renew visas have routinely experienced long delays sometimes taking as long as several months. The problem became so acute that students and researchers who left the US often found themselves stranded abroad, not knowing when their visas might be approved.  Not surprisingly, the delays have caused enormous problems for American universities, which heavily rely on foreign nationals to fill slots in graduate and post-doctoral science and engineering programs. Over the last year or so, visa difficulties having discouraged many scientific organizations from holding meetings in the United States. Some life sciences researchers said the apparent reluctance of the United States to accept them encouraged them to seek work in other countries.

The State Department has hired additional personal to deal with the visa backlog but will not say how long it will take to correct the problem. A state department official indicated that they hope to handle routine visa requests within a two week time frame.

While never officially acknowledged, the Bush Administration intentionally slowed the visa process for foreign researchers to “guard against proliferation of science and technical information.” In other words, the visa backlog was likely intentionally created to prevent foreign drug companies and national scientific agencies from infringing on American intellectual property and patent rights—an ongoing practice that clearly frightened many of the jingoistic officials running the Bush State Department.

However, what the Bush administration failed to understand was that a majority of foreign students who train in the US want to remain here after completion of their studies. The visa backlog and its protectionist intent forced many foreign nationals to forgo their US training and return to their home countries to seek employment. This was beginning to threaten scientific and technical innovation in US laboratories because for the past decade or longer American students have shied away from science and engineering to pursue careers in business and computer science. Ironically, the Bush Administration’s protectionist leanings may have contributed—more than they care to admit—

 to the massive job cuts that have taken place at American life sciences companies in the past few years because of availability of a US-trained work forces in countries like India and China. This provides American life sciences companies with reasonable assurances that preclinical and clinical research outsourced to these countries will be conducted according to US standards. Further, it also provides foreign companies with unbridled access to a growing cadre of US-trained scientists that will enable them to compete on a head-to-head basis with American life sciences companies.

Fortunately, the Obama Administration, unlike the previous one, delivers on its promises and appears to be willing to work hard to restore science and technology to its rightful place in American society.

Until next time...

Good Luck and Good Job Hunting (it may now be possible for many foreign students!)

 SocialTwist Tell-a-Friend

Current Immigration Policies are Hurting American Science and Engineering

For the past decade or so, I have worked as a career counselor at national scientific meetings where I present seminars about resume writing, interviewing techniques and other career related issues. About two years ago, I started to hear about the fierce competition for H-1 and J-1 visas that foreign students must obtain to remain in the US to continue their studies and research. Many of the foreign students that I talked with sounded more like immigration lawyers than graduate students or postdocs—I was amazed at how well informed they were about visa availability and the changes and loopholes in US immigration law that can be exploited to obtain visas.

Since that time, it has become increasingly apparent that the visa problems experienced by most foreign students are beginning to wreak havoc on US science and engineering. Curiously, nobody at the US State Department seems to know why these visa problems exist. According to an article in today’s NY Times, a State Department official claims that visa delays can be attributed to “unfortunate staffing shortages.” Many of the students (and some immigration lawyers) that I talked with believe that it is annual visa limits and quotas not staffing issues that make it so difficult to obtain them.

It is no secret that American middle and high school students are no longer interested in pursuing careers in science and engineering. Because of this, American universities have come to rely on foreign students to fill open slots in graduate and postdoctoral sciences and engineering programs. With this in mind, it should come as no surprise that, over the past decade or more, foreign talent has been largely responsible for much of the technical and scientific innovation in the US.  Finally, and perhaps most importantly, American universities can no longer assume that the US is the first choice or destination for many foreign undergraduate, graduate and postdoctoral students—teaching and research at many foreign universities have vastly improved in recent years and can now compete with the best research institutions in the US.  In the past, it was largely assumed that when given a choice foreign student would choice a US university over all others. Together these findings beg the question: “If foreign students and postdocs are largely responsible for maintaining America’s competitive edge in science and technology, why would the US government make it so difficult to recruit the world’s best and brightest?”

There is no doubt that the US government, in a post-September 11th world ought to carefully scrutinize foreign students before they are issued visas to study or work in the US. But, why has it become increasingly difficult for foreign students to renew their visas to continue to study or work in the US? Interestingly, visa availability and renewal problems are not only restricted to foreign nationals from likely places like China, India, the Middle East or Russia.  Many students and postdocs from Australia, Europe and elsewhere are also experiencing major delays and difficulty obtaining student or work visas.

While the visa issues facing foreign students may not seem like a big one to most Americans (most of who are not involved in science and engineering), its effects on American science and engineering are beginning to become apparent. For example, conference organizers are reluctant to hold international meetings in the US because they fear that many students and scientists will not be able to attend because of limited visa availability. Further, many talented foreign nationals, who want to remain and work in the US, are frequently forced to return to their home countries (to find employment) because they are unable to renew or extend their US visas. There is no question that America has grown increasingly dependent upon foreign students to conduct research in science and engineering.  I contend, that without these students, America’s competitiveness in science and engineering will continue to wane as it has over the past 20 years.  I believe that America has two choices to prevent this from happening. First, we can somehow convince larger numbers of American high school students to pursue careers in science and engineering. Second, the US government can improve and simply the visa process so that talented foreign students can continue to study and do research in the US. Nevertheless, something must be done soon—the future competitiveness of American science and engineering depends on it!

Until next time...

Good Luck and Good Visa Hunting!!!!!!