ANNUAL REPORT
Malmö Snapshot
Facts and figures on trade and industry in Malmö
Did you know that... ...in twenty years, Malmö's inhabitants have become three years younger? Page 11 ...8 new companies were started every day in Malmö in 2011? Page 16 ...the number of people with their workplace in Malmö is at an all time high? Page 18
A summary from the Malmö City Office, 2012
2
3
Population and labour market preface
Population and labourCONTENTS market
A snapshot of Malmö In 2011, Malmö passed the 300,000 inhabitants mark. Wonderful news. Malmö grew for the 27th year in a row. Malmö´s 2012 structure plan will be one of the guiding lights we follow, since we are counting on the population increasing in twenty years' time by a further 100,000 inhabitants and 50,000 new workplaces. This is exciting and challenging for our city. Malmö is expanding today at a rate of eight new companies every day, all year round, and the city has a workforce of 154,000 people. Naturally, this sets requirements for our growth to be sustainable and inclusive. The global credit institution Standard & Poor's gave Malmö its highest possible credit rating – AAA. It also emphasised that
"Malmö shows a rapid development of the local economy under good management". The future looks bright! In June 2012, the ground breaking ceremony took place for our new convention center and concert hall. This will give Malmö yet another landmark, in the best location, at walking distance from the Central Station and City Tunnel. This facility will undoubtedly contribute to making Malmö an even more attractive city. As if to prove this, at the time of writing we have just received a press release from SVT, which has decided that the 2013 Eurovision Song Contest will be held in Malmö! On 14-18 May 2013, performers from around 40 countries will compete in the Malmö Arena. With 2,000-3,000 journalists on site for two weeks, and hundreds of millions of TV viewers, this is a unique opportunity to show off our fine city.
Contents Contents However, before that, we have the opening of one of Scandinavia's most international shopping centres – Emporia, with approximately 100,000 sq m of shopping and 3,000 employees located in Hyllie, the Öresund region's most environmentallyfriendly urban district. It is planned that the Hyllie district, when it is fully constructed, will provide 9,000 jobs and nearly as many homes.
Corporate structure - Number of workplaces - Legal forms of enterprises
This is just one of many aspects creating excellent conditions for Malmö to be a truly great city in which to live and do business.
- Foreign workplaces - Business promotion initiatives - Malmö's profile areas
Region - Planned projects Pehr Andersson Director, Trade and Industry Agency, City of Malmö
- Commuting - Infrastructure
Workforce - Workforce, daytime population
Pehr Andersson Director, Trade and Industry Agency, City of Malmö
- Geographical development - By industry
Population - Population increase - Age distribution - Universities - Basic facts
- Industry development
Growth - Housing construction - Unemployment - New enterprises
Photography: Håkan Sandbring
- Turnover
A clear picture of Malmö In this report, we have summarised facts and figures that present Malmö's trade and industry. These will give those interested in Malmö a picture of how the city is developing.
»» The report is available in Swedish and English. »» Read and download a digital version from our website www.malmobusiness.com/en, where you will also find further information and presentations.
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Population the region and labour market
Population and labour the CONTENTS market region
Several major investments have been completed in Malmö in recent years, such as:
A city in transition A selection of planned and ongoing projects: »» Emporia shopping centre »» Convention centre, concert hall and hotel »» University expansion (qtr. Niagara) »» Redevelopment and extension of several shopping centres - Triangeln, Mobilia and Caroli City
Two new important research facilities under way
Illustration: Wingårdh Arkitektkontor
Interest in Malmö is high and there is a lot of activity in the city. Many players recognize Malmö's potential and are eager to invest in Malmö's future.
Both will be constructed in Lund, 20 km north of Malmö. In addition to exciting new research opportunities, the facilities will generate further job opportunities and more growth in the region. MAX IV is a synchrotron radiation laboratory. 2,000 researchers from around the world are expected to use the facility each year. Opens in 2015.
»» Legal centre
The Eurovision Song Contest will be held in Malmö in May 2013
»» IKEA - new offices for global staff functions and training centre »» Continued expansion of Västra Hamnen »» Continued expansion of Hyllie
Image of Diligentia's area Masthusen, in the heart of Västra Hamnen, where 18 new quarters are being built
Photography: Leif Johansson X-RAY Malmö Arena
The ESS (European Spallation Source) will be the world's foremost material research facility using neutrons. A collaboration between 17 European countries. Opens in 2019.
»» Development of Skåne University Hospital (SUS)
»» Expansion of Norra Sorgenfri
Sketch: Imagix The City Tunnel, including two new stations and expansion of Malmö Central
Emporia shopping centre
European Spallation Source
A tunnel between Denmark and Germany The Fehmarn belt tunnel will be constructed between Denmark and Germany and it is estimated to be complete in 2021. The tunnel will link Scandinavia with the continent and will reduce travel times considerably.
The Öresund bridge has played an important role in the integration and growth of the Öresund region and it is forecast that the tunnel will have a similar significance for a competitive, new, major, economic region.
Photography: CMP Norra Hamnen
Visions for the future. »» Metro between Malmö in Sweden and Copenhagen in Denmark. Via a tunnel under the Öresund strait, the metro trip will take approximately 15 minutes. A metro would relieve the Öresund bridge, which is expected to receive increased goods traffic when the fixed link between Denmark and Germany is completed. An investigation is under way, which will be completed in Autumn 2013.
Photography: Leif Johansson X-RAY Swedbank Stadium
If the proposal is considered to be positive, a metro system could be finished in the late 2020s. »» Ring line in Malmö (Continental line + City Tunnel + 2 new stations) »» Trams in Malmö Sketch: Midroc New exhibition centre in Hyllie
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Population the region and labour market
Population and labour the CONTENTS market region
The Öresund region
Good infrastructure
The Öresund region is the largest and most densely populated metropolitan area in the Nordic countries.
»» Copenhagen International Airport (Kastrup) is easily accessible by car or rail. The rail trip takes 21 minutes from Malmö Central Station
»» The Öresund region includes Skåne in Sweden and Zealand, Mön, Lolland-Falster and Bornholm in Denmark
»» Trains from Malmö bound for Copenhagen airport and the city centre depart every 10 minutes during rush hours. At other times, trains depart every 20 minutes
»» 3.7 million inhabitants (1.2 million on the Swedish side and 2.5 million on the Danish side)
»» Malmö Airport is 30 kilometres east of the city. An airport bus is available, and takes 40 minutes
»» 25% of Sweden and Denmark's population live in the Öresund region »» The largest Nordic regional labour market, with 1.85 million people
S w e d e n
»» The region represents 26% of the countries' total GNP
»» Malmö has one of Sweden's largest ports for goods. The port is a combined goods and passenger harbour. A comprehensive expansion project has recently been carried out with new areas, terminals and a logistics centre
»» The new City Tunnel, since its opening in 2010, has given Malmö an even better infrastructure and two new stations. Commuting times for a number of routes were shortened and ease of movement in the region was increased still further »» The city has two ring roads (Outer and Inner Ring Road), which allow efficient logistics »» The proximity to a well-developed road and railway network makes it easy to transport goods and people, both within Sweden and to Scandinavia and Europe
»» Around 240,000 companies (2009) »» More than 160,000 students at the region's colleges and universities (2009)
Port of Malmö
»» In 2023, the population is expected to exceed 4 million inhabitants
The Öresund region is growing into a major economic region When the Fehmarn belt tunnel, which is a fixed link between Denmark and Germany, is completed in 2021, it will open the way for a competitive extended region. Travel and transport times will reduce significantly and positive effects are expected in terms of integration, growth, the number of potential jobs, tourism, research and culture.
D e n ma r k
Copenhagen
Malmö Central Station
Malmö
Triangeln Station
NN TY
TU
Inner Ring Road
CI
In Malmö's new structure plan and Copenhagen's new "municipality plan", the cities describe their joint role as motors for regional development. Development strategies and areas are described jointly. These two politically adopted plans signal the close collaboration between the two cities, and that they should be seen in a single context by citizens and industry alike.
EL
Close collaboration across the strait
The Öresund region covers parts of two countries, Sweden and Denmark, with easy access between the countries via the Öresund bridge, which was opened on 1 July 2000. This 16-kilometre long link is located between Malmö and Copenhagen.
Öresund bridge, Copenhagen International Airport
Hyllie Station
Malmö Airport (Sturup)
Svågertorp Station
Outer Ring Road
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Population the region and labour market
Population and labour the CONTENTS market region
Commuting over the Öresund bridge
Domestic commuting
Inbound commuters 2010
43%
Inbound commuting (to Malmö)
Outbound commuting (from Malmö)
57%
2010 2009 2007
Women
Men 43%
Women
2006 2005
15 000
»» 17,300 people commuted daily by train or car across the Öresund Bridge (2011). A reduction of 2.3% compared to the previous year and an increase of 26% over five years. The highest level was reached in 2009; since then commuting has reduced somewhat
10 000
5 000
2004 2002 2001
1995
2000
2001
2002
2003
2004
2005
2006
2007
2008
Commuters by hydrofoil
Commuters by train
Students by train
Commuters by car
2009
2010
2011
»» The majority commuted from Sweden to Denmark – 94% live in Skåne »» Many Danes have settled in Malmö, due to the difference in house prices between the countries, and a large number of Swedes work in Copenhagen »» Around 11,000 people commuted from Malmö to Denmark (2009)
6% 40%
94% Working 94%
Studying 6%
Work
Train
Study
Car
60%
Train 55%
Car 45%
19,150 vehicles per day crossed the bridge Traffic levels increased until 2008 and have since stayed at the same level. In 2011, a total of 6,988,157 vehicles (cars, trucks, buses etc.) crossed the bridge.
Öresund Bridge
43%
2000 1999
57%
1998
»» 60% commuted by train and 40% by car
0
Outbound commuters 2010
2003
1997 1996
»» 94% commuted to work and 6% to study
Photography: Leif Johansson X-Ray
Men 57%
2008
The bridge was 10 years old last year!
20 000
Men 57%
1995 -40 000
-30 000
-20 000
-10 000
0
10 000
20 000
30 000
40 000
»» Malmö is located in a mobile region where everything is nearby. Distances are short and it is easy to move about »» 60,968 people commuted to Malmö from other municipalities in Sweden (domestic inbound commuting 2010) »» 27,706 people commuted to other municipalities in Sweden from Malmö (domestic outbound commuting 2010) »» For several years, commuting has increased in both directions and has contributed to a mobile region »» The communications are good in the region. In December 2010, the City Tunnel in Malmö was inaugurated, further improving commuting options »» Large local labour markets contribute to increased flexibility, benefiting both companies and citizens. Companies have better opportunities to find the right expertise and the individual citizen has a wider choice in the labour market
Photography: Leif Johansson X-RAY Malmö Central Station
50 000
60 000
70 000
Women
Men 43%
Women
10 Population and labour market population
Population and labour market
On 1 April 2011 Malmö passed the In twenty years, the average inhabitant of Malmö has become three years younger. The most typical resident of Malmö today is a 29 year-old woman or a 30 year-old man.
A growing city
300 000 inhabitants mark
»» With 302,835 inhabitants, Malmö is Sweden's third largest city (31 Dec. 2011)
»» In 2026, Malmö-Lund is expected to have half a million inhabitants
»» The population increased by 3,872 people (+1.3%) in 2011. Both net birth and net migration are positive
»» Young city – nearly half of the population is under the age of 35 (48%) »» 75% of households are small households with one or two people (2009)
»» Malmö's population grew for the 27th year in a row
»» 30% of the city's inhabitants were born abroad – the largest groups were born in Iraq and Denmark
»» In 20 years, Malmö's population has increased by 68,000 residents (29%). The largest increases have taken place in the age groups 0-5 and 25-39 years
»» 175 countries are represented and around 150 languages
Photography: Leif Johansson X-RAY
Photography: Leif Johansson X-RAY
Malmö's population 1968-2011
Population by age group and sex (2011)
Thousands
Percentage age distribution
Thousands 30
320
25
300
Total
12%
10%
17%
17%
Men
13%
10%
17%
18%
13%
11%
10%
6% 4% 1%
20 280
302 835 people
260
15
13%
11%
9%
5% 3% 1%
31 Dec. 2011 10
12%
Women
240
9%
18%
16%
12%
11%
10% 7% 5% 1%
5
220
0
0 0-9
10-19
20-29
30-39
40-49
50-59
60-69
70-79
80-89
10
08
20
06
20
04
20
02
20
00
20
98
20
19
94
96
19
92
19
90
19
88
19
86
19
84
19
82
19
80
19
78
19
76
19
74
19
72
19
70
19
68
19
Women
Men
10
20
30
40
50
60
70
80
90
70-79
80-89
100 %
90+
Age 200
19
In Malmö, a thriving commercial life and university is combined with a good quality of life and a rich range of activities. This is attracting many new residents to the city, which is growing every year.
0-9
10-19
20-29
30-39
40-49
50-59
60-69
90+
12
13
Population and labour market population
Population and labour population CONTENTS market
Universities and colleges Malmö University: »» Is Sweden's ninth largest seat of learning and the largest college »» Established 1 July 1998 »» Has 24,000 students (2011) (13,173 fulltime students). When it started in 1998, the university had 5,000 students »» Offers around 100 education programmes and 500 courses »» Located in central Malmö
Metropolitan areas attract highly trained people »» 30% of Malmö's population (25-64 years) have at least a three-year tertiary education. The corresponding figure for Sweden as a whole is 24%. This puts Malmö in 17th place of 290 municipalities according to Statistics Sweden (2011) »» Newly graduated university students prefer to live in metropolitan areas after they have completed their studies, according to a report from the Swedish National Agency for Higher Education and Statistics Sweden (2010)
Malmö also offers opportunities to study at the Art Academy, the Academy of Music and the Theatre Academy. The World Maritime University has been located in Malmö since1983. This is a unit that, in organisational terms, is under the supervision of the United Nations (UN).
Basic facts & regional accounts
»» Malmö's gross regional product (GRP) amounted to SEK 114,362 million in 2008 (+61% in ten years). It is above all the service production that has increased. GRP per capita was SEK 403,000 »» Total disposable income in Malmö was SEK 41,936 million (+53% in ten years). Disposable income per capita was SEK 148,000 »» The total wage bill for Malmö was SEK 46,044 million (+56% in ten years). In particular, a large positive development in wages has taken place in service production
Gross Regional Product (GRP) per capita, current prices, SEK thousand
Gross Regional Product (GRP) in Malmö by Industry, SEK million 60 000
700 600
50 000
500
40 000 400
30 000
300
20 000
200
In Malmö, there are around 26,000 university students.
100 0
10 000
1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Stockholm
Gothenburg
Malmö
Sweden
Skåne
0
1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Market production, goods (SNI 01-45)
Disposable Income per capita, current prices, SEK thousand
Market production, services (SNI 50-95)
Public auth. and household's non-profit org.
Non-sector allocated items
Wages by Industry in Malmö, current prices, SEK million
200
25 000
180
20 000
160 15 000
140 10 000
120 5 000
100 80
0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Stockholm
Photography: Leif Johansson X-RAY Malmö University
Gothenburg
Malmö
Sweden
Skåne
1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Market production, goods (SNI 01-45)
Market production, services (SNI 50-95)
Public auth. and household's non-profit org.
14
15
The quarterly development for the 10 key performance indicators is published on our website in spring and autumn
Population and labour market growth
10 interesting key figures
Guest nights
Malmö is doing well and the development is monitored continuously by 10 key performance indicators. This positive development was rewarded when the city received the prize of Growth Municipality of the Year 2009*.
Thousands
% 14
1 000 800
SEK/sq m/year 2 100
12
1 800
10
1 500
8
1 200
6
900
4
600
2
300
600 400 200 0
* The Growth Municipality of the Year prize is awarded by Arena för Tillväxt and SWECO Eurofutures
Housing construction
Commercial real estate market
1 200
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Hotels
Hostels
»» Never before have so many tourists visited Malmö – 2011 was in many respects a record year. The tourism industry in Malmö had a turnover of SEK 6.8 billion in 2011, an increase of 15% compared to 2010 »» 1.5 million visitors stayed overnight in Malmö in 2011. They stayed on average 2.21 nights per visit, which gave 3.3 million overnight stays. In addition, 5.5 million day trips were made to Malmö (excluding trips to/from work and school) »» There were 1,215,950 overnight stays in Malmö's hotels, 66,599 in the city's hostels and around 107,000 at Malmö's only camp site. There was a record for commercial overnight stays, which showed the highest level ever, at around 1,390,000 overnight stays »» Approximately 28% of the guests who stay at hotels and hostels are international visitors and 72% are Swedish visitors »» On average, the accommodation revenue per hotel room sold was SEK 867, an increase of 1% compared to 2010 Photo
»» Tourism generates employment, and during 2011 provided the equivalent of 4,758 full time jobs in Malmö
graph y: Leif Johan sson X-Ray
Guest night = each overnight guest
0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Vacancy rate Malmö/Lund
Population and labourCONTENTS market growth
0
Prime Rent Central Business District Malmö (SEK/sq m/year)
Thousands
Number
150
2000 1800 1600
120
1400 1200
90
1000 800
60
600 400
30
200 0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Construction started
Newly built
»» Several new office buildings have been completed in 2011 while, at the same time, the vacancy rate has reduced somewhat, amounting to 6.6%. The Prime Rent level for office premises in the CBD (Central Business District) has increased somewhat to SEK 2,050/sq m/year
»» During 2011, 1,066 new homes were completed; 79% in multi-dwelling buildings and 21% in single-family homes
»» Malmö has, once again, a large and functional exhibition centre with conference facilities, located just to the north of Malmö Arena in Hyllie. The exhibition centre has an area of approximately 20,000 sq m and has been developed by Midroc and it is operated by Artexis Nordic
»» In the autumn, the world's financial anxieties once again made themselves felt and housing construction in Malmö slowed. The number of homes started during 2011 ended up at around 1,200
»» Adjoining Västra Hamnen, Wihlborgs completed Media Evolution City in late 2011. It provides a dynamic innovative environment for companies involved with film, TV, communications, computer games and mobile platforms »» Several new office projects are under development. In 2011, construction began on a number of large projects, such as Point Hyllie stage 2, Fullriggaren and Koggen II in Västra Hamnen, Fören in Dockan and Bassängkajen II on Universitetsholmen
Number of employees – daytime population
»» The number of homes started reduced, while the number of newly built homes increased. Above all, the number of multi-dwelling buildings completed increased
»» Despite this reduction, there are good conditions for an increase in the number of new starts in 2012. In addition to housing in completed detailed plans from 2011, there are also detailed plans, which were completed in 2010, where construction has not yet started. In addition there are around 800 homes with planning permission granted, the construction of which has not yet started. The construction of the majority of these can begin in 2012. »» Despite these figures, there is great uncertainty regarding the number of new starts during 2012, due to the global financial situation. This is above all reflected in cooperative flats and single-family homes, while construction of rental units will probably continue as planned. Multi-dwelling building = building with at least 3 separate apartments. The maximum number is unlimited.
0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Number of employees
»» There were 149,825 employees in Malmö in 2011. The number of employees had increased by 2,373 or 1.6% compared to the previous year. »» The number of employees in Malmö increased, despite the financial worries in Europe and across the world. »» Over recent years, an increase has taken place in areas such as social units, travel and tourist agencies, and in electricity and heating plants. There has been a major decrease in the construction industry but also in publishing »» The number of employees in Malmö has increased by 20% in 10 years. A longterm positive development can be seen within business services, IT and computer consultants, commerce, education and within the hotel and restaurant industry. Meanwhile, there is a downward trend in manufacturing and the agriculture/forestry/ fishing industry. »» It is above all the number of employees in the enterprise form represented by foreign legal persons that has increased the most in percentage terms, but municipalities, foundations and economic associations also show an increase. County Council employment shows a reduction Number of employees = daytime population, i.e. the number of people employed in Malmö (exc. owners of sole proprietorships) who earned at least one basic amount per year, or worked as temporary employees for more than 3 months.
16 growth
growth
...............................................................................................................................................
Unemployment
New vacancies
New enterprises
Bankruptcies
Turnover
Industrial investments
%
Thousands
Number
Number
SEK million
SEK billion
18
40
2 800
500
1 200
250
16
35
2 400
14
30
12
25
10
1 000
400
2 000
300
1 600
150
600
20
8
1 200
15
6 4
10
2
5
0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Population Malmö
Population Skåne
Population Sweden
Workforce Malmö
Workforce Skåne
Workforce Sweden
»» A review of the 2000s shows that unemployment was lowest in 2008. The global financial crisis and the subsequent recession led to a dramatic increase, with a peak in 2011 »» The picture is the same in Malmö, regardless of whether unemployment is calculated in absolute figures, as a proportion of the workforce, or as a proportion of the population. The forecast is for some continued increase during 2012 »» In autumn 2011, the Swedish Public Employment Service began to calculate unemployment as a proportion of the workforce. This gives a higher figure than as a proportion of the population »» The total number of unemployed people in Malmö, registered with the Swedish Public Employment Service, was on average just under 18,000 people in 2011, corresponding to 13.9% of the workforce »» For young people aged 18-24, the number of unemployed in 2011 was around 3,200 or 23.5% of the workforce »» Compared to 2010, unemployment increased by 0.1 per cent in Malmö for the 16-64 age group but decreased somewhat in Skåne and countrywide. For young people aged 18-24, unemployment decreased somewhat in both Malmö, Skåne and countrywide Average per year. People in the 16-64 age group who are registered at the Employment Service in per cent of the registered workforce. (1997-2010 = per cent of population)
0
200
800
200
100
400 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
New vacancies
»» 29,114 new vacancies were reported to the Public Employment Service in Malmö in 2011, an increase of 24% compared to the previous year »» On average, 80 new vacancies were reported every day throughout the year »» In 2011, the total number of newly reported vacancies showed an upturn again, after the financial crisis. But after summer 2011, the number of newly reported vacancies decreased, probably due to anxieties in the Euro zone and in the rest of the world. The number of vacancies was at a lower level than 2006 and 2007, but at a high level from a historical perspective »» The majority of sectors showed increased demand. The largest number of new vacancies were reported in the area 'rentals, property services, travel services and other support services'. The largest percentage increase compared to the previous year was shown by 'culture, entertainment, leisure & other service activities' and 'telecommunications', and in 'transport and storage' »» 'Public administration', 'transport equipment manufacturing', 'education' and 'healthcare and social services' showed the largest percentage reduction in demand
0
100
400
800
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Previous calculation method
2011
Number of new enterprises
0
50
200
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Number of bankruptcies
0
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Investments
2012
Forecast
0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Turnover, exc. VAT
»» Approximately 2,300 new enterprises are started each year (average over last 7 years. In 2011, 8 enterprises were started every day
»» For each company that goes into bankruptcy, 7 new companies are started (average over last 7 years)
»» A strong increase in investments in Malmö during 2011. The investment level is the highest since measurements started
»» In 2011, turnover amounted to SEK 255 billion, which is the highest amount during the measurement period
»» 3,068 new enterprises were started in Malmö in 2011. This is the highest number of newly started enterprises ever! (There was a change in the activation criteria in 2010, but regardless of this the figure is very high)
»» Approximately 310 bankruptcies per year. Fewer than one bankruptcy per day (average over last 7 years)
»» Industry in Malmö invested SEK 953 million during 2011, which was an increase of 25% compared to the previous year. The largest percentage increase was shown in buildings and facilities.
»» After several years of strong growth, turnover dropped in 2009-2010 due to the economic downturn. In 2011, turnover in Malmö increased again and is now at a higher level than during the record years of 2006-2008
»» 63% of the new enterprises were sole proprietorships and 31% were limited enterprises. An increase in limited enterprises »» The new enterprises employed 3,493 people (approximately 1.1 per company) »» The sectors that increased most during the year were hotels and restaurants, 'publishing, radio, TV, film, telecommunications', commerce and construction »» 15.1 enterprises per thousand inhabitants were started in Malmö. This compares to 20.0 for Stockholm, 13.7 for Gothenburg and 12.3 for Sweden as a whole. There is a strong entrepreneurial spirit in Malmö and for several years the city has been placed high in rankings for business creation in Sweden »» 68% of the enterprises started in Sweden in 2005 were still in business three years later (survival rate) From 2010, the statistics are based on registration data instead of the direct collection of information. New activation criteria were applied, and a new calculation basis for those employed. New enterprises = completely newly started, or business that resumed after dormancy of at least two years
»» The number of bankruptcies has dropped somewhat after the financial crisis in 2008, which resulted in a large number of bankruptcies in 2009 as a consequence. The level however is still relatively high »» A recovery after the financial crisis can also be observed in Sweden as a whole, and in Stockholm and Gothenburg, where the recovery has progressed somewhat further in terms of the number of bankruptcies »» 364 bankruptcies in Malmö in 2011, occurring within several sectors. An increase from the previous year can be noted within the hotels and restaurant industry, and within retail. Construction has not increased since the previous year, but remains at a high level »» In recent years, limited companies have been responsible for the increase. The increase is greatest in the group with 1-4 employees. The sectors that show an increased number of bankruptcies during the last five years are property companies, construction and transport and storage
»» In Sweden as a whole, industrial investment increased by 6% compared to the previous year. Volume changes within industry have been mainly positive during 2011. The largest increase was in the textile industry. The paper and pulp as well as the steel and metal industries also showed large increases »» The forecast for Malmö for 2012 shows an investment level of SEK 963 million, i.e. investments are expected to remain at this very high level. A few months into 2012, the forecast had been revised downwards by SEK 50 million, but despite this lay at a high level »» For Sweden in total, the original forecast for 2012 showed an increase of 7% compared to 2011. The forecast is unaltered some months into 2012
Industry = SNI code B+C i.e. "extraction of minerals" and "manufacturing". 2012 = forecast
»» During the last 10 years, turnover in Malmö has increased by 51% »» Sectors that have shown a strong increase in turnover during recent years are 'technical consultancy agencies and analysis companies', 'sport, leisure and entertainment facilities', and 'insurance companies and pension funds' »» Other sectors that have shown an increase are 'recruitment and employment companies', 'industry', 'artistic, cultural and entertainment businesses', 'electricity and heating plants', and 'veterinary clinics' »» One sector where turnover has decreased significantly during both 2010 and 2011 is the construction industry
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19
Population and labour market workforce
Population and labour workforce CONTENTS market
Geographical development, workforce
Growth and positive outlook on the future Malmö has a flourishing commercial life with strong growth and great confidence in the future.
2000
2009
2010
Development 10 years
Development vs. previous year
Stockholm
530 731
568 447
589 796
59 065 11%
21 349 3.8%
Gothenburg
264 846
293 807
300 886
36 040 14%
7 079 2.4%
Malmö
131 289
148 931
154 446
23 157 18%
5 515 3.7%
Lund
55 269
64 721
66 154
10 885 20%
1 433 2.2%
Helsingborg
55 876
61 986
63 343
7 467 13%
1 357 2.2%
482 596
523 568
537 594
54 998 11%
14 026 2.7%
4 051 870
4 280 743
4 392 720
Skåne Sweden
In the 1990s, Malmö went through a tough period in which several industries were closed down and the active workforce shrank. During this period, decisions were made to start the construction of the Öresund bridge (inaugurated in 2000) and to establish Malmö University (founded in 1998). Two of the many initiatives that have contributed to Malmö's transformation from an industrial town into a knowledge city.
340 850
»» Malmö shows a solid development in the size of the workforce
8%
111 977 2.6%
»» In Sweden as a whole, the size of the workforce has increased by 8% over a 10 year period. The corresponding figure for Stockholm is 11%, Gothenburg 14% and Skåne 11%
»» The size of the workforce with its workplace in Malmö has increased by 18% in 10 years
From industrial town to knowledge city
Workforce by industry Percent, % 18
»» Today, a large number of people work within various knowledgeintensive service sectors in Malmö. Only 7% work in manufacturing. This is a lower figure than for Sweden as a whole, where 14% work in manufacturing
16 14 12
Photography: Leif Johansson X-RAY 10
Workforce development, daytime population Thousands
6
160 149
146
150
151
154 149
143
140
137
140
»» An increase of 3.7% compared to the previous year and an increase of 18% over ten years
120 111
»» Over the last 10 years, it is primarily the areas business services and education that have increased. Manufacturing has decreased
118
110 100
2010
2008
2006
2004
2002
2000
1998
1996
1994
1992
1990
1988
1986
1980
1970
90
1960
»» After a slight downturn in 2009, the workforce has increased again and is now at an all time high
4
Workforce (16+ years) with workplace in Malmö. The figures include both owners of sole proprietorships and employees in all forms of enterprise. RAMS SCB.
»» Over half (53%) work in the four largest groups listed above
2
»» A workforce of 154,446 has its workplace in Malmö
128
130
»» The largest proportion of Malmö’s workforce work in business services (16%), followed by commerce (15%), healthcare and social services (13%) and education (9%)
8
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Sectors sorted in descending order of size. Workforce, daytime population 2010 (+16 years). RAMS SCB. SNI2007.
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»» Sweden as a whole differs from Malmö in terms of which areas have the highest workforce. In Sweden, the largest group is healthcare and social services (16%), followed by manufacturing (14%)
20
21
Population and labour market workforce
Population and labour workforce CONTENTS market
Industry trend (number of employees) Financial and insurance services
Information and communication
IT and computer consultants
Other business services
Agriculture, forestry and fishing
Manufacturing
Commerce
Transport and warehousing
Rentals, property services,
Real estate and administrators
Education + R&D
Energy, water, waste etc.
Construction
Hotels and restaurants
Culture and entertainment
travel services and other support services
Law, economics, science and technology
Healthcare, social services
18 000
24 000
22 000
26 000
16 000
22 000
20 000
24 000
20 000
18 000
22 000
18 000
16 000
14 000 12 000
16 000
10 000
14 000
8 000
10 000
6 000
8 000
0
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
1994-2008 SNI 2002, 2009-2011 SNI 2007
2009 2010 2011
16 000
12 000
14 000
10 000
12 000
8 000
10 000 8 000 6 000
4 000
4 000
2 000
18 000
6 000
6 000
4 000
20 000
14 000
12 000
2 000
2 000
0
0
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
1994-2008 SNI 2002, 2009-2011 SNI 2007
2009 2010 2011
Public administration and defence
4 000 2 000
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
2009 2010 2011
0
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
2009 2010 2011
1994-2008 SNI 2002, 2009-2011 SNI 2007
1994-2008 SNI 2002, 2009-2011 SNI 2007
'Other business services' includes, for example, legal, economic, architectural and technical consultancy activities, advertising and market research, staffing and recruitment, call centres, cleaning and other consultancy services to businesses.
The number of employees does not include owners of sole proprietorships, only the number of employees
Percentage change 2009-2011
Long-term trends
»» The sectors that show the largest percentage increase in the number of employees are 'public administration and defence', 'healthcare, social services', 'law, economics, science and technology', and 'hotels and restaurants'
Due to the changes in the division into sectors, it is not possible to make any detailed long-term analysis, but only to summarise the overall development in a few short comments:
»» 'Education', 'energy, water, waste' and 'transport and warehousing' also show some increase »» Sectors that show a decrease are 'construction', 'agriculture/ forestry/fishing', 'manufacturing' and 'information and communication'
From 2009, the data is shown according to the new division into sectors. For this reason, there is a break in the time series in the graphs. Even in those cases where the sector name is the same, both before and after 2009, such as 'manufacturing', the underlying division
»» A positive long-term development can be noted within business services, IT and computer consultants, commerce, education and within hotels and restaurants »» A downward trend can be seen within manufacturing and agriculture/forestry/fishing
may have changed. Therefore, the data for the new and old divisions into sectors cannot be compared. We have chosen to retain and present the old definitions in order to give an impression of the long-term development.
22
23
PopulationSTRUCTURE CORPORATE and labour market
PopulationCORPORATE and labour STRUCTURE CONTENTS market
Onward for entrepreneurship
Workplaces
Many new enterprises are being started and already established enterprises are choosing to relocate their operations to Malmö. The number of workplaces has increased significantly and today's corporate structure comprises to a large extent small and medium sized companies.
Legal form
1996
2011
Limited company Sole proprietorship General and limited partnership
8 281 6 126 1 953
12 555 14 252 2 185
Other, public sector
1996
2011
Change
52% 133% 12%
72 835 759 1 250
96 860 1 939 1 946
24 025 33% 1 180 155% 696 56%
785
845
60
8%
29 997
40 263
10 266
Other
1 672
2 486
814
49%
8 755
8 817
62
1%
Total
18 817
32 323
13 506
72%
113 596
149 825
36 229
32%
34%
Legal form of enterprise 3%
The many new companies reflect the driving force present in Malmö
8%
7% 43%
»» Malmö had 149,825 employees spread across 32,323 workplaces »» The number of employees in Malmö has increased by 32% in 15 years Photography: Leif Johansson X-RAY
Trends in the number of workplaces
General and limited partnership
120 000
25 000
Other public sector
100 000 20 000
Other
80 000 15 000 60 000 10 000
40 000
5 000
20 000
0
0 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Employees
Data for November for the respective year. The increase is due to status rule changes made in 2010 and 2011 to adjust over and under coverage in the company register.
39%
Limited company
140 000
30 000
Definition of the number of employees = daytime population, i.e. the number of people employed in Malmö (exc. owners of sole proprietorships) who earned at least one basic amount per year, or who worked as temporary employees for more than 3 months
»» 43% of the workplaces had the enterprise form sole proprietorship, and 39% belonged to the group limited companies, which are the two most widespread enterprise forms in Malmö »» The number of workplaces in the group sole proprietorships has more than doubled in 15 years and in the group limited companies the number has increased by 52%.
Sole proprietorship
160 000
35 000
Workplaces
4 274 8 126 232
Change
The number of employees does not include owners of sole proprietorships, only the number of employees.
The number of employees and workplaces has increased significantly
»» The number of workplaces has increased by 72% in 15 years
Employees
»» The establishment of many new companies reflects the entrepreneurial spirit to be found in Malmö and the changes the city has undergone – from a structure with a number of large companies to one with many smaller companies »» The largest proportion of employees is to be found in limited companies. The number of employees in limited companies has increased by 33% in 15 years
24
25
PopulationSTRUCTURE CORPORATE and labour market
Population CORPORATE and labour STRUCTURES CONTENTS market
Workplaces Owner control
2002
Employees 2011
Change
2002
2011
Change
Government
283
205
-78
-28%
15 139
14 024
-1 115
-7%
Municipal
673
718
45
7%
19 860
22 512
2 652
13%
County council
77
84
7
9%
8 882
10 206
1 324
15%
Private Swedish exc. group
18 605
25 525
6 920
37%
23 752
28 450
4 698
20%
Private Swedish inc. group
2 888
3 965
1 077
37%
36 986
40 235
3 249
9%
Foreign
1 085
1 826
741
68%
20 127
34 398
14 271
71%
23 611
32 323
8 712
37%
124 746
149 825
25 079
20%
Total
Processed data for foreign-owned companies in 2010 (source Swedish Agency for Growth Policy) is on the next page
»» Foreign-owned companies showed the largest increase in the number of employees; an increase of 71% since 2002. »» The number of employees has increased Among foreign-owned companies, there are also companies the public would consider by 20% since 2002. The increase has Swedish but which are registered abroad occurred above all in the private sector »» 69% were employed in the private sector and 31% in the public sector
Foreign-owned workplaces Number of foreign-owned workplaces 1 800
3636000 000
1 600
3232000 000
1 400
2828000 000
1 200
2424000 000
1 000
2020000 000
800
1616000 000 In 2000, the Öresund Bridge between Sweden and Denmark was opened.
600
Number of workplaces by number of employees Sector
0 employees
1-2
Farming, forestry and fishing
675
28
12
1
Manufacturing
622
171
213
130
Energy, water, waste etc.
3-9 10-49 50-249
250-499
400
+500
Total 716
45
2
1
1 184
44
14
12
16
9
2
97
Construction
1 026
379
200
140
39
2
1 786
Commerce
2 657
947
1 020
464
68
2
1
Transport and warehousing
403
303
143
93
24
6
2
Hotels and restaurants
421
284
255
146
9
1 675
351
217
125
42
2
2 412
381
87
93
43
10
1
615
2 212
354
155
45
10
4 484
1 043
523
217
41
1
810
272
188
128
59
5
Information and communication Financial and insurance services Real estate activities Law, economics, science and technology Rental, property, travel and support services Public administration, defence etc. Education Healthcare, social services Culture, entertainment and recreation Other services
5
12
30
36
37
2 776
5
100
151
227
67
3
742
229
264
265
50
4
2 116
203
105
45
9
1
1 713
318
161
61
5
2 182
524
188
8
2
Total
20 721
5 103
3 744
974 1 115
547
Other
5 159
6 309 3 2
1 465 127 1 095
4
1 558 2 479 2 258 198
2011. SNI2007. The number of employees does not include owners of sole proprietorships.
36
13
32 323
31% of those employed in Malmö work in a foreignowned company (exc. public sector)
The service sector has increased significantly over the last 10-15 years and today accounts for a considerable proportion of trade and industry »» Malmö's trade and industry is largely composed of small and mediumsized companies. This is the same structure as for Sweden as a whole »» A large proportion of the workplaces in Malmö have no employees »» Malmö has a mixed business community that includes many different sectors, which gives the city a solid and diversified base »» 97% of Swedish trade and industry consists of so-called micro enterprises with fewer than 10 employees, which represented nearly one quarter of trade and industry's added value in 2010. Large enterprises constituted scarcely a thousandth of the number of enterprises, but represented more than 40% of added value
1212000 000 8 8000 000 4 4000 000
200 0
1996 1997
1998
1999
2000 2000 2001 2001 2002 2002
2003
Foreign-owned workplaces
2004
2005
2006 2007 2006
2008 2009 2009 2010 2010 2008
Employees in foreign-owned companies
00
»» 31,239 people worked in 1,521 foreign-owned workplaces in Malmö (2010) »» 5% of Malmö's workplaces were foreign-owned (exc. public sector) »» The number of foreign-owned workplaces has increased by 87% in 10 years »» The number of employees in foreign-owned workplaces has increased by 70% in 10 years »» 1,104 workplaces had employees »» 525 workplaces had 10 or more employees »» 68 workplaces had 100 or more employees
Among Malmö's largest foreign-owned companies are firms such as Manpower, Pågen, ISS Facility Services, Arriva, G4S, Logica, Trygg-Hansa, E.ON and IKEA.
Number of foreign-owned workplaces by country 350
305 300
250
216 182
200
146
141
150
121 86
100
86
104 70
64
50
0
Denmark
France Rest of the world United Kingdom USA Finland The Netherlands Luxembourg Rest of Europe Norway Germany Foreign-owned places of employment by country (2010)
»» The largest investor countries in terms of the number of workplaces: Denmark (20%), Norway (14%), the United Kingdom (12%) and Germany (9%) »» Most workplaces are found in the areas commerce, property, business services and communication
26
27
Good growth gives top rating
Malmö's profile areas
Malmö shows rapid development of the local economy under good management. This was the assessment made by the global credit institution Standard & Poor's, which has given Malmö an AAA rating, the highest possible credit rating.
Malmö city is engaged in a number of business promotion initiatives regarding development, creative environments and meeting places for entrepreneurship. Examples of such initiatives include:
Malmö focuses on a number of profile areas in a business context. These are areas in which Malmö's strengths are considered to be particularly successful in terms of more employment opportunities and greater growth. Read more on www.malmobusiness.com under "Profile areas".
Ma
»» MINC (Malmö Incubator, celebrating its 10th anniversary)
profile areas: Headquarters Photography: Leif Johansson X-Ray
»» Medeon
l
even s s ' mö
»» Malmö Cleantech City »» Media Evolution City »» Medical Malmö
Malmö's trade and industry policy vision
We will make Malmö the Öresund Region's most innovative and exciting city, where it should be especially inspiring to establish, run and develop enterprises.
Hospitality industry
Life Sciences
Logistics
Photography: Leif Johansson X-Ray
Cleantech
Photography: Leif Johansson X-Ray
New Media
Commerce
Turning Torso is Sweden's highest building (190 metres)
Straight facts! The purpose of Malmö Snapshot is to provide all stakeholders in Malmö's trade and industry with straight facts and transparent statistics – companies in Malmö, companies planning to move to Malmö and others who wish to follow developments in the business community.
Sources: Business Register (Statistics Sweden) European Spallation Source Jones Lang LaSalle Malmö University Statistics Sweden
» The report is available in Swedish and English
Swedish Agency for Economic and Regional Growth
» Read and download a digital version from our website
Swedish Agency for Growth Policy
» More information and statistics are available on our website www.malmobusiness.com/en
Swedish Public Employment Service Ørestat Øresund Bridge Öresund Committee
Number of copies (English edition): 1 500 Design & production: W communication agency (www.justw.com) Printing: Holmbergs Publisher: Pehr Andersson, Director, Trade and Industry Agency, City of Malmö Editor and analyst: Sara Bergman, Trade and Industry Agency, City of Malmö
All graphs in this brochure refer to Malmö. The analyses have been produced in collaboration with the following departments of the City of Malmö: Department of Urban Planning, Department for Integration and Labour Market, and Malmö Tourism.
IC ECOLAB RD O
EL
Office address Lugna gatan 84 Postal address City of Malmö, SE-205 80 Malmö, Sweden Telephone +46 (0) 40 34 17 00 Fax +46 (0) 40 611 27 06 malmobusiness@malmo.se www.malmobusiness.com
N
Trade and Industry Agency
341 140 PRINTED MATTER
Photograph front cover: Västra Hamnen, Leif Johansson X-Ray