---
title: "Employers Cutting GLP-1 Coverage and a Dip in Massachusetts Biotech Employment"
id: "stat-news-5-stat-pharmalittle-we-re-reading-about-a-gsk-shingles-shot-u-s-employers"
canonical_url: "https://medichelpline.com/clinical-feed/stat-news-5-stat-pharmalittle-we-re-reading-about-a-gsk-shingles-shot-u-s-employers"
content_type: "clinical_feed_article"
specialty: "Pharmacology"
source_name: "STAT News"
source_url: "https://www.statnews.com/pharmalot/2026/08/26/gsk-shingles-shot-us-employers-dropping-glp1-coverage/?utm_campaign=rss"
published_at: "2026-08-26T13:09:25.000Z"
evidence_level: "Verified Feed"
license: "CC-BY-NC-4.0 / Informational Use"
---
# Employers Cutting GLP-1 Coverage and a Dip in Massachusetts Biotech Employment
## Provenance & Clinical Metadata
- **Canonical URL:** https://medichelpline.com/clinical-feed/stat-news-5-stat-pharmalittle-we-re-reading-about-a-gsk-shingles-shot-u-s-employers
- **Specialty:** [Pharmacology](https://medichelpline.com/clinical-feed/pharmacology.md)
- **Primary Source:** STAT News
- **Source URL:** [Original Journal Publication](https://www.statnews.com/pharmalot/2026/08/26/gsk-shingles-shot-us-employers-dropping-glp1-coverage/?utm_campaign=rss)
- **Published At:** 2026-08-26T13:09:25.000Z
- **Evidence Rating:** Verified Feed
## Executive GIST (TL;DR)
- About **14% of U.S. employers** have already or plan to drop coverage of GLP-1 weight-loss drugs in 2027, according to a Business Group on Health survey reported by Reuters and summarized in the article. - Two-thirds of employers reported increased use of these medicines among employees. - Employer coverage of **GLP-1** weight-loss medicines fell from 72% in 2025 to 60% in 2026. - **Pharmacy costs** accounted for 25% of employer health-care spending and are forecast to rise by 12% in 2027, unchanged from the prior year. - PepsiCo is cited as an example of a company that is dropping coverage of weight-loss drugs. - Massachusetts’ biopharma workforce declined by about 3,600 employees in 2025, to a total of 113,503, a 3.1% drop compared to 2024, the first year-over-year decline since at least 2002, per the Massachusetts Biotechnology Council industry snapshot reported by The Boston Globe. - The article notes industry headwinds and uncertainty about federal funding for scientific research as contributors to the workforce decline. - The article is a Pharmalittle/Pharmalot column by Ed Silverman and indicates that additional content in the piece is exclusive to **STAT+** subscribers; the full story is behind a STAT+ paywall. - The headline mentions a GSK shingles shot, but the body provided does not report details about a GSK shingles vaccine; those specifics were not included in the source content provided. - Sources cited in the piece include Reuters, Bloomberg, The Boston Globe, and the Massachusetts Biotechnology Council report; a Business Group on Health survey is explicitly referenced for the GLP-1 coverage data.
## Clinical Analysis & Structured Key Points
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Test your knowledge with our new weekday mini crossword [ Start solving ](https://www.statnews.com/stat-mini-crossword/) [STAT Plus](https://www.statnews.com/stat-plus/)Newsletter[Pharmalot](https://www.statnews.com/category/pharma/pharmalot/) # Pharmalittle: We’re reading about a GSK shingles shot, U.S. employers dropping GLP-1 coverage, and more ## Employment in Massachusetts’ biotech sector fell last year, the first time since 2002 * [Manage alerts for this article](https://www.statnews.com/my-account/edit/#emails) * Email this article * [Share this article](https://www.statnews.com/pharmalot/2026/08/26/gsk-shingles-shot-us-employers-dropping-glp1-coverage/?utm_campaign=rss) ![an anthropomorphized red and blue pill illustrated in the style of the famous american gothic painting](https://www.statnews.com/wp-content/uploads/2015/11/PHARMALOT_LITTLE-copy-645x645.jpg) Alex Hogan/STAT ![](https://www.statnews.com/wp-content/uploads/2021/02/ed-s-avatar-small4-80x80.png) By [Ed Silverman](https://www.statnews.com/staff/ed-silverman/) Aug. 26, 2026 Pharmalot Columnist, Senior Writer ![](https://www.statnews.com/wp-content/uploads/2021/02/ed-s-avatar-small4-80x80.png) [Ed Silverman](https://www.statnews.com/staff/ed-silverman/) 1. [](https://www.linkedin.com/in/edsilverman/ "Linkedin") 2. [](https://x.com/Pharmalot "X") ed.silverman@statnews.com Ed’s stories explore prescription drug pricing, affordability and access, as well issues surrounding patents, litigation, and legislation. He is also the author of the morning [Pharmalittle newsletter](https://www.statnews.com/signup/pharmalittle/) and the afternoon [Pharmalot newsletter](https://www.statnews.com/signup/pharmalot/). Good morning, everyone, and welcome to the middle of the week. Congratulations on making it this far, and remember there are only a few more days until the weekend arrives. So keep plugging away. After all, what are the alternatives? While you ponder the possibilities, we invite you to join us for a needed cup of stimulation. Our choice today is ginseng honey, a favorite from our pantry. Meanwhile, here is the latest menu of tidbits to help you on your way. We hope you conquer the world and have a wonderful day. And as always, please do stay in touch. … **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** , [Reuters](https://www.reuters.com/legal/litigation/more-us-employers-drop-weight-loss-drugs-2027-healthcare-costs-increase-2026-08-25/) notes, citing a [survey](https://www.statnews.com/wp-content/uploads/2026/08/2027_HCS_Survey-ES-FINAL.pdf) by the Business Group ‌on Health. Two-thirds of employers reported rising use of ​the medicines while the share of employers ​covering GLP-1 weight loss ⁠drugs dropped from 72% in 2025 to 60% in 2026. Pharmacy costs made up 25% of employer health care spending and are expected to rise by 12% in 2027, unchanged from the ​year prior. PepsiCo, for example, is dropping coverage, says [Bloomberg News](https://www.bloomberg.com/news/articles/2026-08-25/pepsico-scraps-coverage-of-weight-loss-drugs-for-employees). Advertisement **The number of people working in Massachusetts’ renowned biotech sector fell last year, the first time that’s happened since at least 2002** , [The Boston Globe](https://www.statnews.com/2026/08/25/massachusetts-biotech-slump-then-turnaround/) writes. The state’s biopharma workforce shrank by about 3,600 employees in 2025, to a total of 113,503, as industry headwinds and uncertainty about federal funding for scientific research battered the sector, according to the annual “[industry snapshot](https://www.massbio.org/wp-content/uploads/2026/08/2026_MassBio_IndustrySnapshot_Final.pdf)” by the Massachusetts Biotechnology Council trade group. Compared to 2024, the workforce declined by 3.1%. STAT+ Exclusive Story Already have an account? 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