Mar 03, 2023
Managed IT Could Reduce Employee Turnover in Biotech & Pharma
The use of short-term, contract or temporary staffing is a common employment strategy of biotech and pharmaceutical companies intended to reduce long-term labor costs and increase flexibility in response to market fluctuations. But it can also have its drawbacks when it comes to IT staffing. A Managed IT contract in tandem with temporary staffing in biotech and pharma could reduce excessive employee turnover due to contract term limits.
Reduce Employee Turnover
Considering the high investment risks in the research and development of new drugs, medical devices and other products that may not advance into to clinical trials, it makes sense to staff a project with temporary IT workers or those with fixed-term contracts (FTCs). The trouble comes when the project extends beyond the length of their contracts, which is not uncommon at any stage of a product’s lifecycle.
For these workers to maintain their status as contract or temporary—which, according to the U.S. Department of Labor, means their appointment is for less than one year with a specified end date—their term can be extended up to one additional year before they would be entitled to the benefits and security of permanent employees. Because it can take up to 15 years for a new drug to make it to market, employee turnover every two years can be costly and inefficient.
The cost of replacing these workers is more than just monetary. Their specific job skills and expertise, plus their fit within an established team, and their institutional knowledge and experience on the project cannot be replaced in a matter of weeks. They could possibly be converted into permanent employees, but what if their phase of the project is close to completion? Who knows if and when their particular skillset could benefit the company on another phase or project.
Managed IT is the Solution
One way that Aequor Managed IT has helped overcome this problem for pharmaceutical and biotech companies is that when we are the company’s managed IT service provider, these IT staff are employed by Aequor, thus not susceptible to the expiring terms of FTCs or rules regulating the hours and wages of temporary employees. With an Aequor Managed IT contract, the issues around employee term extensions, turnover and layoffs of IT staff simply go away, and these highly skilled and experienced workers can stay as long as they are needed.
Additionally, with Aequor’s Managed IT services, companies can expect cost-effective enterprise solutions that cover a wide range of network, security, and other IT services, including expertise with lab/sci applications, as well as end-user support from the desktop to the service desk and everything in between.
Find out if Aequor Managed IT is the solution for your organization.