Sandia National Laboratories has achieved a remarkable milestone, generating an economic impact of $5.2 billion in 2025. This figure marks the 17th consecutive year that Sandia has recorded an increase, reflecting its vital role in New Mexico’s economy. The latest report, released earlier this week, indicates a growth of $40.5 million from the previous year and more than double the economic contribution recorded just 12 years ago.
“This achievement underscores Sandia’s long-standing commitment to New Mexico,” said Laura McGill, Laboratories Director. “We are not only focused on economic growth but also on giving back to our community through financial contributions and volunteer efforts. Our aim is to enhance the quality of life in this region.”
Investment in Workforce and Community
A significant portion of Sandia’s economic impact stems from its workforce, which comprises approximately 16,000 employees. In 2025, the laboratory allocated nearly $2.95 billion to labor costs, an increase of $46 million from 2024. This rise is attributed to salary adjustments for its highly skilled scientists, engineers, and professionals dedicated to national security initiatives. With an average salary of $145,000, Sandia remains committed to retaining high-quality jobs within New Mexico.
“Our employees live and thrive here, contributing actively to local organizations and businesses,” McGill added. “When we discuss economic impact, we are talking about the community’s well-being.”
Sandia’s commitment extends beyond its workforce. In 2025, the lab invested $1.7 billion in subcontract-related payments to businesses nationwide. Many of these payments supported small businesses, essential for the national economy. Krista Smith, Sandia’s supply chain director, emphasized the significance of these partnerships: “Small business suppliers are crucial in supporting our national security efforts.”
In total, Sandia spent $1.03 billion with small businesses in 2025, marking the third consecutive year it has surpassed the billion-dollar threshold. Of this amount, $463 million was directed to small businesses in New Mexico. Notably, Sandia collaborated with 335 new small businesses during the year, reinforcing the importance of innovation and local economic growth.
Education and Community Engagement
Sandia also prioritizes education as a means to invest in the future. In 2025, the laboratory reached 14,000 students through its STEM education programs, an increase of approximately 4,000 from the previous year. Engagement efforts included collaboration with 700 teachers and community members, marking a 98.86% increase compared to 2024. A notable initiative, Mission Fission, launched in partnership with the National Museum of Nuclear Science, aims to introduce eighth-grade students to concepts of nuclear science and energy.
“These students may one day become the engineers or scientists of New Mexico,” McGill noted. “Each statistic represents a student discovering a passion for science.”
Sandia’s community involvement extends to significant financial contributions. In 2025, the National Technology and Engineering Solutions of Sandia LLC donated $1.6 million to support local education, family stability, and community leadership initiatives. Employees contributed over $4 million to various nonprofit organizations through the United Way of North Central New Mexico, along with additional donations for specific causes such as $15,000 for Shoes for Kids and $14,000 for Roadrunner Food Bank.
Employees also demonstrated their commitment to community service by donating 1,322 pints of blood and volunteering at more than 50 events across the region.
“As the nation’s premier engineering laboratory, Sandia’s mission focuses on addressing complex national security challenges,” McGill concluded. “We are deeply integrated with our community, which includes local businesses, schools, nonprofits, and families across New Mexico.”
The ongoing economic impact and community contributions from Sandia National Laboratories highlight the institution’s significant role in fostering growth and innovation, both locally and nationally.
