The biotech industry in the Philadelphia area continues to undergo some belt-tightening, but Christopher Molineaux of Life Sciences Pennsylvania says, “the pace of innovation remains strong,” writes Tom Avril for The Philadelphia Inquirer.

The latest round of belt-tightening is occurring at the University of Pennsylvania’s gene therapy program where about a quarter of the staff was laid off this month.

Layoffs at Philadelphia-area biotech firms started in 2022 and more than 500 people have been let go already.

Biotech experts say that various factors are playing a role in this trend including high interest rates, difficulty gaining funding, and the arduous process of bringing a new drug to market.

“It’s been a tough two years,” Molineaux, Life Sciences president and chief executive officer said.

Penn hasn’t given an official number of the jobs cut. A spokesperson cited financial challenges including loss of funding as the reason for the job cuts.

It is not all doom and gloom though. Many biotech executives are hopeful that the industry will rebound soon.

Molineaux said, “If you take the long view, the scientific expertise and the biotech expertise that’s resident in Philadelphia is going to prevail.”

Read more about the biotech industry and Life Sciences PA in The Philadelphia Inquirer.

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