Industry Analysis & Industry Trends
The majority of industry revenue comes from employee drug testing, so industry performance is directly tied to employment rates. As the American economy suffered from the dual impact of the financial meltdown and housing market collapse starting in 2007, companies began scaling back production and laying off workers. Slow job creation and fewer employed Americans over the past five years led to fewer drug screenings taking place throughout the recession, which hurt toxicology labs' revenue and slowed industry growth. As companies start hiring again and more people gain healthcare coverage, demand for toxicology lab services is forecast to rise.... purchase to read more
Industry Report - Industry Analysis Chapter
A rise in demand for employment-based drug screening has driven industry revenue growth over the past five years. Despite a decline in the number of employees over the past five years, demand for drug screenings has been driven by rising illicit drug use rates and a growing concern about the effect of drug use on productivity. In the five years to 2013, industry revenue is expected to grow an annualized 1.0% to $2.0 billion. The industry is expected to grow a further 1.2% in 2013 because of a rising number of employees and increased focus on employee drug prevention.
The majority of industry revenue comes from employee drug testing; therefore, demand for industry services tends to follow economy-wide employment changes... purchase to read more