STAT+: Pharmalittle: We’re reading about a GSK shingles shot, U.S. employers dropping GLP-1 coverage, and more
About 14% of employers in the U.S. have already or plan to drop coverage of GLP-1 drugs in 2027, as companies see rising health care costs
Greetings and welcome to the middle of the week. As the weekend approaches, it's good to keep pushing forward. In this edition, we'll explore some recent developments in the business world. First up, a surprising trend among U.S. employers – an increasing number are planning to drop coverage for GLP-1 drugs in 2027. According to a survey by the Business Group on Health, 14% of employers have already or intend to make this change.
This move comes as companies grapple with rising healthcare costs, with pharmacy expenses accounting for 25% of total health care spending and projected to increase by 12% in 2027. PepsiCo announced it would also be dropping GLP-1 drug coverage, according to Bloomberg News. Turning to the biotech industry in Massachusetts, there's some concerning news.
The state’s biopharma workforce shrank by 3,600 employees last year, marking the first decline since at least 2002. This reduction, amounting to 3.1% compared to 2024, is attributed to industry headwinds and uncertainty surrounding federal funding for scientific research, as reported by The Boston Globe and the Massachusetts Biotechnology Council. For those interested in more details, continue reading in STAT+.
Written by urgent.news from STAT News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
