Even in a Downturn, Devices are a "Strong and Vibrant" Sector of Economy
BY LAUREN UZDIENSKI, JUNE 23, 2010
Touting the industry as a "critical" component of the U.S. economy, AdvaMed released a report on the health of the medical technology sector - demonstrating that even amid an economic slowdown, devices added jobs, grew worker pay and contributed $136 billion in sales to the U.S. economy.
In 2008, the device industry employed over 422,000 workers, which led to almost $25 billion in annual payroll. Device companies shipped $136 billion worth of products. Compared to 2005 data, these represent increases of 13%, 11% and 12%, respectively.
There is also evidence that device industry employees fared better than average in the recession that began in 2008. While total manufacturing employment decreased by 5% from 2007 to 2008, device industry employment decreased by only 1%. The report also notes that payroll earnings in general manufacturing decreased by 1% and total shipments increased by 3% in the period from 2007 to 2008; device payroll increased by 3% and shipments increased by 7% over the same period.
As far as the most active environments for devices, the report states that with over three times the national average, Minnesota and Utah had the highest concentration of device industry jobs relative to total employment. Delaware, Massachusetts and Indiana (home of DePuy, Zimmer and Biomet) boasted more than two times the national average.
