Malmö Snapshot - Facts and figures on trade and industry in Malmö

a r e p o r t f r o m t h e T r a d e a n d I n d u s t r y A g e n c y , Ci t y o f M a l m รถ 2 0 1 0

Facts and figures on trade and industry in Malmรถ

preface

Current facts, present potential We are pleased to present the 2010 edition of Malmö Snapshot, a publication that provides a unique opportunity to study the trends and developments in some of the most important areas of the city.

This snapshot of Malmö shows a city with tremendous growth potential and many good reasons for establishing a company here. The city is ideally located, with an infrastructure that enables the entire world to reach Malmö by air or rail. The Öresund Bridge, which links Malmö with the continent, is celebrating its tenth birthday and when the Fehmarn Belt Bridge opens in 2018, the connection will be complete, providing enormous opportunities for the future.

When the City Tunnel opens at the end of the year, travel to and within the city will be even easier.

The new train stations will allow nearby areas to be developed and refined in a way that we can today hardly imagine – new neighborhoods will be created and existing ones expanded.

The new Triangeln station will be one of the three largest stations in Sweden, with a direct connection to downtown Copenhagen.

We will live and act in one continuous metropolis, with new opportunities for venues and increased employment. In short, a great snapshot of a great location – with Copenhagen and Malmö-Lund as engines for future growth in the Öresund Region.

Pehr Andersson, Director, Trade and Industry Agency, City of Malmö

Photo: Håkan Sandbring

The straight facts!

The purpose of this report is to provide all stakeholders in trade and industry in Malmö with straight facts and transparent statistics – companies in Malmö, companies planning to move to Malmö, and others who wish to follow business community developments.

– The report is available in Swedish and English – Read and download the digital version from our website – More information and statistics are available on our website >> www.malmo.se/tradeindustry >> www.malmobusiness.com

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Malmö Snapshot

contents

Contents 4 region

10 Population Population increase

Planned projects

Age distribution

Commuting

Universities/colleges

18 14 growth

WORKFORCE

Daytime population Industries

Housing construction Industry trends

Infrastructure

Basic facts

Unemployment New companies Turnover

22 corporate structure Places of employment Form of enterprise Foreign-owned places of employment Malmö’s 10 largest private employers

Malmö Snapshot

3

region

Malmö - City of the Malmö is vibrant with activity. Interest in the city is huge and many players recognize its potential and are eager to invest in our future.

A selection of current and planned projects »» Emporia Shopping Center

»» World Village of Women Sports

»» Point Hyllie

»» Lernacken (hotel, conference, spa)

»» New fair and exhibition center

»» Health Campus at Dalaplan

»» Convention center and concert hall

»» Several new hotels

»» »» Renovation and expansion of several shopping malls – Mobilia, »» Triangeln, and Caroli City »» »» Media Evolution City (Västra Hamnen) »»

Continued expansion of Västra Hamnen Development of hospital campus Expansion of Norra Hamnen (port) Expansion of Hyllie

4

Illustration: Schmidt hammer lassen architects

»» Expansion of Norra Sorgenfri

Kontrapunkt (Counterpoint) is the name of Malmö’s new convention center and concert hall

region

Photo/Sketch: Imagix

City Tunnel (completion December 2010)

Photo: Leif Johansson X-Ray

Illustration: Wingårdh Arkitektkontor

future

Illustration: Danish architectural firm BIG

Some recent major investments in Malmö:

Swedbank Stadium (completed 2009)

Entré Shopping Center (completed 2009)

Photo: Leif Johansson X-Ray

JUUL / FROST Architects

Emporia Shopping Center

Photo: Leif Johansson X-Ray

Illustration: Schmidt hammer lassen architects

World Village of Women Sports

New Court of Appeal building (completed 2009)

Media Evolution City

Photo: Leif Johansson X-Ray

Illustration: Cadwalk Media

Convention center and concert hall

Malmö Arena (completed 2008)

Point Hyllie Malmö Snapshot

5

region

Öresund Region The Öresund Region is the largest and most densely populated metropolitan region in the Nordic countries.

25% of the population of Sweden and Denmark live in the Öresund Region

S w e d e n

»» The Öresund Region includes Skåne in Sweden and the Danish islands of Zealand, Lolland-Falster, Mön, and Bornholm »» 3.7 million inhabitants (1.2 million on the Swedish side and 2.5 million on the Danish side)

D e nm a r k

»» Largest Nordic labor market region – 1.8 million people »» 58 Nordic headquarters (35% of companies in Forbes 2000 list that have operations in the Nordic countries) »» 165,000 students (Öresund University – consortium of nine universities) »» 12,000 researchers (Öresund University)

The Öresund Region extends across two countries, southern Sweden and eastern Denmark, with easy access between the countries via the Öresund Bridge, which was inaugurated on July 1, 2000. The 16 km long route connects Malmö and Copenhagen.

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Malmö Snapshot

Copenhagen

Malmö

region

Commuting over the Öresund Bridge 20,400 people commuted daily by train or car over the Öresund Bridge (2009)

25,000

20,000

15,000

»» Commuting increased by 2.4% over the previous year and 150% over five years

10,000

»» 57% commuted by train and 43% by car

5,000

»» 88% commuted to work and 12% were students 0 1995

2000

2001

2002

2003

2004

2005

2006

2007

2008

Commuters by hydrofoil boat

Commuters by train

Students by train

Commuters by car

Working

Studying

88%

Train

Car

»» The majority commuted from Sweden to Denmark – 94% live in Skåne »» Many Danes reside in Malmö due to housing price differences between the countries and many Swedes work in Copenhagen »» Approximately 11,000 people commuted from Malmö to jobs in Denmark (2007) »» 19,500 vehicles per day crossed the bridge in 2009 (a total of 7,103,706 cars, trucks, buses, etc.)

57% 43%

Photo: Leif Johansson X-Ray

12%

2009

Malmö Snapshot

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region

Domestic commuting Commuting to/from Malmö (across municipal boundaries in Sweden) Outbound commuting (from Malmö)

Commuting in both directions has increased for several years, contributing to a mobile region

Inbound commuting (to Malmö)

2008 2007 2006

»» Malmö is located in a mobile region with everything close at hand – short distances and easy to move around

2005 2004 2003

»» 59,626 people commuted to Malmö from other municipalities in Sweden (domestic inbound commuting 2008)

2002 2001 2000 1999 1998

»» 26,800 people commuted to other municipalities in Sweden from Malmö (domestic outbound commuting in 2008)

1997 1996 1995 -30,000

-20,000

-10,000

0

10,000

Outbound commuters 2008 Men

Women

59%

Malmö Snapshot

30,000

40,000

50,000

Inbound commuters 2008 Men

Women

58% 41%

8

20,000

42%

60,000

»» The City Tunnel in Malmö, which will open in December 2010, will improve commuting opportunities; commuting times for a number of routes will be shortened, resulting in greater mobility in the region

region

Good infrastructure 1 h Stockholm 1 h 05 Oslo 1 h 15 Berlin 1 h 25 Amsterdam 1 h 50 Brussels

Stoc 4h 2kholm 0 mi n

»» The City Tunnel (completion in December 2010) will provide Malmö with an even better infrastructure and two new stations

»» Malmö Airport is located 30 km east of the city; airport buses are available for the 40-minute journey

»» Malmö has two ring roads (Outer and Inner Ring Road), which allow efficient logistics

»» Sweden’s third largest cargo port is in Malmö; the harbor in Malmö is a combined cargo and passenger port; a major harbor expansion project is underway with new terminals and spaces

»» Proximity to a well-developed road and rail network allows easy transport of goods and people, both within Sweden and to Scandinavia and Europe

Port of Malmö

10 Lund Gothenburg

»» Copenhagen International Airport (Kastrup) is easily accessible by train and car; trains depart every 20 minutes and the trip takes 22 minutes

min

3h

Malmö Central Station

Copenhagen 30 min Station Triangeln

Inner Ring Road

CI

TY

TU

NN

EL

Tr avel time by tr ain

urg Hamb in m 0 5h 3

Öresund Bridge, Copenhagen International Airport Station Hyllie

Malmö Airport (Sturup)

Outer Ring Road

Malmö Snapshot

9

population

The people make the city

Photos: Leif Johansson X-Ray

Malmö’s booming trade and industry and flourishing university offer a good quality of life with a wide range of activities, attracting many new residents to the city, which is growing year by year.

Malmö’s population 1968-2009 Thousands 300 290

293,909 people

280 270

Dec. 31, 2009

260 250 240 230 220 210 200

68

19

10

Malmö Snapshot

70

19

72

19

74

19

76

19

78

19

80

19

82

19

84

19

86

19

88

19

90

19

92

19

94

19

96

19

98

19

00

20

02

20

04

20

06

20

08

20

10

20

population

Malmö is a YOUNG CITY. Almost half of the population is under the age of 35 (48%) »» With 293,909 inhabitants, Malmö is Sweden’s third largest city (December 31, 2009)

»» In 2023 the Malmö-Lund region is expected to have half a million inhabitants

»» The population increased by 7,374 people (+2.6%) in 2009 – the largest increase in Malmö’s 800-year history

»» 76% of households are small one- or two-person households

»» Malmö’s population grew for the twenty-fifth year in a row

»» 30% of the city’s inhabitants were born abroad – Danes are one of the largest groups

»» In early 2011 Malmö is expected to exceed 300,000 inhabitants

»» 174 countries are represented and about 150 languages

Population by age group and sex (2009)

Percentage age distribution

Thousands 30

Men

Women

11%

Total

25

10%

18%

16%

13%

11%

9%

6% 4% 1%

20 Men

12%

Women

11%

11%

17%

18%

13%

11%

9%

6% 3% 0%

15

10

10%

18%

15%

12%

11%

9%

7% 5%

1%

5 0

0 0-9

10-19

20-29

30-39

40-49

50-59

60-69

70-79

80-89

90+

Age

10

0-9

20

10-19

30

20-29

40

30-39

50

40-49

60

50-59

70

60-69

80

90

70-79

80-89

100 %

90+

Malmö Snapshot

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population

Colleges and universities Malmö University

Öresund University

»» Ninth largest institute of higher learning and largest college in Sweden

»» Consortium of nine universities in two countries – Sweden and Denmark

»» Founded on July 1, 1998

»» Offers students greater choice and facilitates study combinations across national borders, but also aims to be an important cog in the region’s expansion as a hub for cooperative research and business contacts

»» 23,900 students in 2009 (12,367 full-time students); 5,000 students at its inception in 1998 »» Over 100 programs and 500 courses »» Located in central Malmö

»» 165,000 students and 12,000 researchers

The consortium includes Lund University, University of Copenhagen, Roskilde University, Malmö University, Kristianstad University, Copenhagen Business School, Technical University of Denmark, The Royal Danish Academy of Fine Arts - School of Architecture, and Swedish University of Agricultural Sciences/Alnarp

Malmö also offers opportunities to study at the Art Academy, Academy of Music, Theater Academy, and World Maritime University. »» 42% of Malmö’s population (25-64 years) have tertiary education); the corresponding figure for Sweden as a whole is 36% (2007) »» Newly graduated college students in Sweden prefer to settle in metro­ politan areas after completing their studies according to a report from the National Agency for Higher Education and Statistics Sweden (April 2010)

Malmö has about 26,000 college students

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Malmö Snapshot

PHOTO: Leif Johansson X-Ray

population

Basic facts & regional accounts

»» Gross Regional Product (GRP) in Malmö amounted to SEK 108,568 million in 2007 (+63% in ten years); service production in particular has increased; GRP per capita was at SEK 390,000 »» Total disposable income in Malmö was SEK 41,203 million (+52% in ten years); disposable income per capita was SEK 148,000 »» Total wage bill for Malmö was SEK 43,451 million (+71% in ten years); service production in particular shows a major positive development in wages

Gross Regional Product (GRP) per capita, current prices, SEK thousand 700 600

Stockholm

Skåne

Gothenburg

Sweden

Disposable income per capita, current prices, SEK thousand 200 180

Malmö

500

Stockholm

Skåne

Gothenburg

Sweden

Malmö

160

400 140 300 120

200

100

100 0

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

80

Gross Regional Product (GRP) in Malmö by industry, SEK million Manufacturing (SNI 01-45) 60,000 50,000

SNI2002

Services (SNI 50-95) Public authorities and household non-profit organizations Items not broken down by industry

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

Wages by industry in Malmö, current prices, SEK million Manufacturing (SNI 01-45) 25,000

SNI2002

Services (SNI 50-95) Public authorities and household non-profit organizations

20,000

40,000 15,000 30,000 10,000 20,000 5,000

10,000 0

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

0

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

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growth

Guest nights

10 interesting key figures Quarterly results for the ten key figures are published on our website in the spring and fall.

Malmö is doing well and 10 key figures help to monitor its development. The positive trend was recognized in 2009 when the city was awarded the prize for Growth Municipality of the Year*.

Thousands 1,200 1,000 800 600 400 200 0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Hotels

Hostels

»» Malmö had a total of 1.7 million overnight visitors in 2009, which meant 4,700 visitors spent the night in Malmö each night »» They stayed an average of almost two nights, resulting in approximately 3.2 million overnight stays

* The Growth Municipality of the Year prize is awarded by Arena för Tillväxt and SWECO EuroFutures

»» In addition, Malmö had an estimated 5.1 million daytime visitors (excluding travel to and from work/school) »» 1,125,367 guest nights in the city’s hotels and 62,756 in hostels; an 8.3% increase over the previous year for hotels; Sweden showed an increase of 0.4%; Malmö was one of the few destinations in Sweden that showed a large increase »» Average accommodation revenue per hotel room sold and day was SEK 878, an increase of 20% in five years; total 2009 accommodation revenue for hotels was SEK 684 million, in addition to other sales in hotels

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Malmö Snapshot

photo: Leif Johansson X-Ray

»» 80% of visitors are from Sweden; Danes comprise the largest foreign group by far; they have markedly increased over the past year in terms of both daily visits and overnight stays

Guest night = each overnight guest

growth

Commercial real estate market

%

Housing construction

SEK/sqm/year

14

2,100

12

1,800

10

1,500

8

1,200

6

900

4

600

2

300

Volume

Thousands

1,800

150

1,600 120

1,400 1,200

90

1,000 800

60

600 400

0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Vacancy rate Malmö/Lund

Prime Rent Central Business District Malmö (SEK/sqm/year)

»» Despite the turbulent economy in 2009, the rental market for offices in Malmö has been positive and the vacancy rate is virtually unchanged, 6.8% for Malmö/Lund (slightly higher for Malmö) »» Rental levels for prime rent in the Central Business District (CBD) were steady at about SEK 2,100/m²/year »» The number of real estate transactions fell in Malmö in 2009 due to the financial crisis, as it did in the rest of Sweden; Malmö retained its share of about 10% of total Swedish transaction volume even during the recession »» Several major projects were completed in 2009 – the Entré shopping center, Swedbank Stadium soccer arena, the Ikea store in Svågertorp, and a couple of large office buildings in the Västra Hamnen/Dockan area and at Svågertorp »» Diligentia decided to demolish large parts of Malmömässan (Malmö Exhibition and Convention Center) in the Västra Hamnen area to begin construction of 16 blocks of housing, offices, and commercial space

0

Number of employees – daytime population

30

200 0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Construction started

Newly built

»» In 2009, 793 homes were completed, 65% in multi-dwelling buildings and 35% in single-family homes »» Both the number of constructions started and newly built homes declined; multi-dwelling buildings in particular declined among completed homes »» The global financial crisis and subsequent recession had a strong impact on 2009; recovery was evident in the autumn of 2009, but from a low level, which means the number of completed apartments in 2010 will be low »» In 2010 around 600 residential units will be completed and in 2011 the figure will rise to 1,000 homes; the number of residential units in relation to the population is lower now than it was in the 1980s, at the same time that Malmö’s population is growing »» Several large residential areas are planned and the increase in building permits suggests that the market will maintain a high level of preparedness for an improved economy »» Housing starts are expected to pick up in 2010; construction will begin on about 1,500 homes in 2010 Multi-dwelling building = building with at least three separate apartments. The maximum number is unlimited.

0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Number of employees

»» There were 145,135 employees in Malmö in 2009; the number of employees declined slightly in 2009 after several years of strong growth »» A slowdown due to the financial crisis and recession was also noted in other cities in Sweden and the country as a whole »» The number of employees in construction and health care has declined somewhat over the past year, while the restaurant industry shows an increase »» The number of employees in Malmö rose 18% over 10 years; the industries that showed the largest percentage growth are IT and computer consultants, other business services, and education; construction also shows a relatively large increase »» Sole proprietorships increased most, but corporations have also shown a large increase »» Employees of foreign companies have increased most in terms of percent; number of employees in county councils has also increased; also private Swedish companies have shown some growth Number of employees = daytime population, i.e., the number of people employed in Malmö (excl. owners of sole proprietorships) who earned at least one basic amount per year, or worked as temporary employees for more than 3 months.

Malmö Snapshot

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growth

Unemployment

New vacancies

New companies

%

Thousands

Number

16

40

2,800

14

35

2,400

12

30

10

25

8

20

6

15

4

10

2

5

0

0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Malmö

Skåne

Sweden

Average per year. People aged 16-64 registered with the Public Employment Service as a percentage of the population

»» After a couple of years with low unemployment, the number of unemployed rose to the level it was in 2006; open unemployment and the number of people in employment programs both increased, though the situation did not become as severe as it was between 2002 and 2005 »» Due to the structure of trade and industry in Malmö, with a smaller percentage of the cyclically sensitive manufacturing industry, the unemployment rate did not take off until the second half of 2009 »» Total unemployment in Malmö (open unemployment and people in programs with activity grants) in 2009 was an average of 7.2%, about 14,000 people »» Even youth unemployment, 18-24 years, reached high levels; the total average unemployment rate in 2009 was 9.1% (approximately 2,500 people), slightly lower than in Skåne and the country at large »» Danish demand for labor has had a restraining effect on unemployment in Malmö, especially for young people; about 11,000 people commuted from Malmö to Denmark in 2007; after a slowdown in 2009, the need for Swedish labor appears to be increasing again Unemployment rate = open unemployment + programs with activity grants

16

Malmö Snapshot

2,000 1,600 1,200 800 400

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

New vacancies Public Employment Service

»» 16,793 new vacancies were reported to the Public Employment Service in Malmö in 2009, down 34% compared with 2008 »» Despite the decline, an average 46 new vacancies were reported every day throughout the year »» The financial crisis and the recession led to a dramatic drop compared with recent years – but from a very high level; the number of new vacancies is still higher than between 1997 and 2004 »» The most new vacancies were reported in the areas ‘real estate and business services’ and ’public administration, education, health and social services’ »» The engineering and manufacturing industries showed the largest percentage reductions in demand »» One industry showed an increase in demand despite the economic downturn – financial services, where demand was higher than the previous year

0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Number of new companies

»» About 2,000 new businesses are started per year, which means 5-6 companies are started every day »» 2,525 new companies were started in Malmö in 2009 – more new companies than in the record years 2007 and 2008 »» 70% of the new companies were sole proprietorships and 22% were corporations; 62% had all men in management, 33% all women, and 5% had joint management »» The new companies employed 4,396 people (about 1.7 per company), 38% of whom worked full time »» The industries that grew most were business services, commerce, hotels and restaurants, and construction »» 13.0 companies/1,000 inhabitants (16-64 years) were founded in Malmö, compared with 16.0 in Stockholm, 11.1 in Gothenburg, and 10.0 in Sweden as a whole; the business climate in Malmö is excellent and for years it has placed high in rankings for business creation in Sweden »» 68% of companies established in Sweden in 2005 were still operating three years later (survival rate) New company = completely newly started, or business that resumed after dormancy for a minimum of two years

growth

Bankruptcies

Industrial investments

Turnover

Number

SEK million

SEK billion

500

900

250

800 400

200

700 600

300

150

500 400

200

100

300 200

100

50

100 0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Number of bankruptcies

»» For every company that goes bankrupt, six new companies are started (average 2002-2009) »» About 300 bankruptcies per year.

Fewer than one bankruptcy per day »» After several years with a relatively low level of bankruptcies, the number of bankruptcies increased in 2009 due to the global financial crisis and subsequent recession »» A sharp increase in the number of bankruptcies in 2009 was also evident in Stockholm, Gothenburg, and in Sweden as a whole »» 388 bankruptcies in Malmö in 2009, found in many industries; an increase over the previous year can be noted in construction, hotels and restaurants, commerce, transport, manufacturing, and business services »» Corporations account for the increase in recent years; small businesses (1-19 employees) in particular have increased, as well as companies without employees »» The industries that show an increased number of bankruptcies in recent years are real estate, and to some extent retail trade and construction

0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Investments

2010

Outlook

»» Industries in Malmö invested SEK 558 million in 2009, a 31% reduction compared with the previous year; the decline relates to machinery and equipment »» Even in Sweden total industrial investment fell by 24% against the previous year; investments decreased in most sectors »» Investments were weak in 2009 in response to the global financial crisis, as companies were more cautious and postponed investments »» The outlook for 2010 is more positive than the outcome of 2009, though still low compared with previous years, where investment volumes followed a rising trend over several years »» The outlook for Malmö in 2010 shows a pronounced recovery, with a projected level of investment of SEK 708 million; a few months into 2010 the forecast was revised upwards by SEK 18 million »» For Sweden as a whole, the original projection for 2010 was unchanged compared with 2009, but a few months into 2010 the forecast shows some improvement

0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Turnover ex VAT

»» Turnover for 2009 was SEK 223 billion. After several years of strong growth, turnover dropped due to the economic downturn »» Turnover in Malmö remained at a high level, though it was below the record years of 2006 to 2008 »» The large number of Danish visitors had a positive impact on turnover; a strong Danish krone encouraged many Danes to cross to the Swedish side for shopping and business trips »» Over the past 10 years, turnover in Malmö increased by 48% »» Industries that showed a large increase in recent years include construction, telecommunications and electronics, airlines and computer consultants »» Other industries that showed a pronounced increase include health care, sanitation and waste management, consulting services (recruitment and staffing, finance, law, architecture, and engineering), property services, restaurants, culture/ entertainment/sports, and foods

Industry = SNI code B+C, i.e. “extraction of minerals” and “manufacturing”.

Malmö Snapshot

17

Workforce

Workforce and industry trends Malmö is a city with a thriving economy, strong growth, and great confidence in the future.

Malmö’s journey from industrial city to knowledge city is fascinating. During the 1990s several industries were shut down, which reduced the size of the workforce.

During the same period decisions were made to build the Öresund Bridge (opened 2000) and to establish Malmö University (founded 1998), two of the many initiatives that have contributed to Malmö’s major transformation.

»» Malmö was the place of employment for a workforce of 151,137, the highest figure ever »» An increase of 1.4% against the previous year and 21% over a 10-year period »» Business services and education are the main areas that have increased over the past decade

Trend for workforce, daytime population Thousands 160

Employed population, thousands

140 120

137

140

149 151 143

146

128 111

118

100 80 60 40 20

19 8 19 5 86 19 8 19 7 88 19 8 19 9 90 19 9 19 1 9 19 2 93 19 9 19 4 9 19 5 9 19 6 9 19 7 98 19 9 20 9 00 20 0 20 1 0 20 2 03 20 0 20 4 05 20 0 20 6 0 20 7 08

19 6 19 0 6 19 5 7 19 0 75 19 80

0

Workforce (16 + years) with workplace in Malmö. The figures include both owners of sole proprietorships and employees of all forms of enterprise. RAMS SCB.

18

Malmö Snapshot

Photo: Leif Johansson X-Ray

Workforce

Geographic trend, workforce Trend 10 years

Trend vs previous year

1998

2007

2008

Stockholm

499,043

559,509

570,377

71,334 14%

10,868 1.9%

Gothenburg

248,777

301,731

304,578

55,801 22%

2,847 0.9%

Malmö

124,866

148,998

151,137

26,271 21%

2,139 1.4%

Skåne

466,879

535,585

536,689

69,810 15%

1,104 0.2%

3,918,678

4,390,559

4,406,789

488,111 12%

16,230 0.4%

Sweden

»» The workforce with workplace in Malmö has increased by 21% in 10 years »» In Sweden as a whole, the workforce increased by 12% during the 10-year period; the corresponding figure for Stockholm is 14%, Gothenburg 22%, and Skåne 15%

Workforce by industry Malmö 3%

2%

2%

Sweden

15%

1% 1% 0%

16%

5%

14%

6%

6%

6%

14%

16%

15%

7% 10% 11%

14% 8%

16%

29%

9%

15%

12% 12%

7%

14%

10%

11%

Workforce (daytime population) 2008 (+16 years). RAMS SCB. SNI2007.

6%

7%

9%

8%

Commerce

Health care, social services

Transportation and warehousing

Real estate activities

Business services

Education

Public administration and defense

Energy, environmental activities

Manufacturing and mining

Cultural and personal services

Unknown activities

Information and communication

Hotels and restaurants

Agriculture, forestry, and fishing

Construction

Financial and insurance services

Other industries

From industrial city to knowledge city »» Today a large number of people work in various knowledge-intensive service industries in Malmö; only 8% work in manufacturing, which is a lower figure than Sweden as a whole, where 15% work in manufacturing »» Malmö has the highest percentage working in commerce (16%), followed by business services (14%), followed by health care and social services (14%), followed by education (9%) »» Over half (53%) work in the four major groups above »» Sweden as a whole differs from Malmö with respect to which areas have the largest workforce; in Sweden, the largest group is health care and social services (16%), followed by manufacturing (15%)

Malmö Snapshot

19

Workforce

Industry trend (number of emp Agriculture, forestry and fishing

Manufacturing

Commerce

Transportation and warehousing

Energy, water, waste, etc.

Construction

Hotels and restaurants

Recreation, culture and sports

SNI2002 22,000

16,000

20,000 18,000

14,000

16,000

12,000

14,000

10,000

12,000

8,000

10,000 8,000

6,000

6,000

4,000

4,000

2,000 0

20

SNI2002

18,000

2,000 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Malmรถ Snapshot

0

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Workforce

loyees) Financial and insurance services

IT and computer consultants

Public administration

Real estate and rental services

Other business services

Health care, social services

Education + R&D

SNI2002

SNI2002

22,000

26,000

20,000

24,000 22,000

18,000

20,000

16,000

18,000

14,000

16,000

12,000

14,000

10,000

12,000

8,000

10,000 8,000

6,000

6,000

4,000

4,000

2,000 0

2,000 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

0

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

“Other business services” includes e.g. legal, financial, architectural, and engineering services, advertising and market research, staffing and recruitment, call centers, cleaning, and other management consultancy activities.

Percentage change, 1994-2008 »» Industries with a large percentage increase in number of employees during the period include IT and computer consultants, other business services, hotels and restaurants, and education; construction also shows a relatively large increase »» Industries showing a slight increase include recreation, culture and sports, commerce, real estate and rental services, public administration and defense, and transportation and warehousing »» Health care and social services, finance and insurance remain stable; health

care and social services returned to 1994 levels after maintaining a lower level over an extended period of time »» Industries showing a decline include agriculture, forestry and fishing, manufacturing, energy, water, and waste

Actual increase in number of employees, 1994-2008 »» As regards actual number of employees, the most jobs were added in other business services, which accounted for 40% of the total increase »» Other industries showing a large actual increase include education, IT and computer consultants, commerce, and construction

Percentage change over the past five years »» The industries that have grown most over the past five years include IT and computer consultants, other business services, and real estate and rental services »» Only two sectors have shown some decline in employment – manufacturing, and agriculture, forestry, and fishing

Number of employees does not include owners of sole proprietorships, just employees

Malmö Snapshot

21

corporate structure

Corporate structure Many new and established businesses locate their operations in Malmö. The number of places of employment has sharply increased and today’s corporate structure largely consists of small and medium-sized enterprises.

Trend, number of places of employment Places of employment

Employees

32,000

160,000

28,000

140,000

24,000

120,000

20,000

100,000

16,000

80,000

12,000

60,000

8,000

40,000

4,000

20,000

0

0 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Data for November of each year

The number of places of employment increased by an impressive 68% over 15 years

»» The number of employees in Malmö increased by 23% over 15 years »» Malmö had 145,135 employees at 28,832 places of employment »» Number of employees and number of places of employment both increased significantly Photo: Leif Johansson X-Ray

Definition of number of employees = daytime population, i.e., the number of people employed in Malmö (excl. owners of sole proprietorships) who earned at least one basic amount per year, or worked as temporary employees for more than 3 months.

22

Malmö Snapshot

corporate structure

Places of employment Legal entity

1994

2009

Corporation

8,094

10,958

Sole proprietorship

4,658

12,633

General and limited partnership

2,025 746

Other Total

Other, public sector

Employees

Change

1994

2009

Change

2,864

35%

69,281

96,189

7,975

171%

675

1,803

2,201

176

9%

1,450

1,943

493

795

49

7%

37,621

37,080

-541

-1%

1,669

2,245

576

35%

9,357

8,120

-1,237

-13%

17,192

28,832

11,640

68%

118,384

145,135

26,751

23%

26,908

39%

1,128 167% 34%

Number of employees does not include owners of sole proprietorships, just employees

Malmö has changed from a structure with a number of large enterprises to a structure with many small enterprises

Legal form of enterprise 8%

7%

3%

8%

8% 43%

44%

»» 43% of places of employment were sole proprietorships and 38% were corporations, the two most common forms of enterprise in Malmö »» The number of places of employment in the group sole proprietorships has more than doubled in 15 years and the number of corporations increased by 35%

38% 38%

Sole proprietorship

General and limited partnership

Corporation

Other, public sector Other

»» The establishment of many new companies reflects the conducive business climate in Malmö and the change that the city has undergone from a structure with a number of large enterprises to a structure with many small firms »» The largest percentage of employees are in corporations; the number of employees in corporations has increased by 39% in 15 years

Photo: Leif Johansson X-Ray

3%

Malmö Snapshot

23

corporate structure

Places of employment Corporate governance

2002

2009

Employees

Change

2002

2009

Change

Government

283

227

-56

-20%

15,139

14,286

-853

-6%

Municipal

673

655

-18

-3%

19,860

19,535

-325

-2%

County council

77

92

15

19%

8,882

10,807

1,925

22%

18,605

22,775

4,170

22%

23,752

26,826

3,074

13%

Private Swedish with group

2,888

3,509

621

22%

36,986

40,177

3,191

9%

Foreign

1,085

1,574

489

45%

20,127

33,504

13,377

66%

23,611

28,832

5,221

22%

124,746

145,135

20,389

16%

Private Swedish without group

Total

Processed data on foreign-owned enterprises in 2008 (source Swedish Agency for Growth Policy) are on the next page

»» 69% were employed in the private sector and 31% in the public sector »» The number of employees has increased by 16% since 2002, mainly in the private sector

»» Number of employees increased most in foreign-owned places of employment, up 66% since 2002; foreign-owned companies also include some companies considered “Swedish”, but registered abroad

Number of places of employment by number of employees Sector

0 emp.

1-2

Agriculture, forestry, and fishing

580

32

5

Manufacturing

616

157

212

141

47

3

34

10

11

17

10

2

902

278

188

131

40

1

Energy, water, waste, etc.

Construction Commerce

3-9 10-49 50-249

Total 618

2,534

931

939

477

72

1

452

221

141

96

21

7

Hotels and restaurants

413

275

226

109

12

1,418

307

190

111

41

6 2

Financial and insurance services

+500

1

Transportation and warehousing Information and communication

1

1,177

1

1,541

84 4,954 2

940 1,035

1

2,074

269

79

86

45

10

Real estate activities

1,810

377

145

43

10

Law, economics, science, and technology

4,028

923

467

205

33

1

Rental, real estate, travel, and support services

704

203

170

118

55

4

4

1,258

5

10

22

43

33

5

1

119

Education

449

77

139

226

54

2

Health care, social services

610

203

250

258

41

4

Culture, entertainment, and recreation

1,646

176

89

47

10

1

Other services

1,502

278

132

59

7

3,412

2,126

497

Public administration, defense, etc.

Other

234

3

Total

18,206

4,540

Malmö Snapshot

491 2,385 5,657

947 2

1,368 1,969 1,978 237

2009. SNI2007. Number of employees does not include owners of sole proprietorships.

24

250-499

39

12

28,832

The service sector has markedly increased over the past 10-15 years and now accounts for a significant portion of trade and industry »» Malmö’s economy is largely composed of small and medium-sized enterprises, which is also the structure of Sweden as a whole where 99.9% of firms had fewer than 250 employees (2008) »» A large portion of places of employment in Malmö have no employees »» Malmö has a mixed economy that includes many different sectors, providing a solid and diversified base

corporate structure

Foreign-owned businesses Number of foreign-owned places of employment 1,600

32,000

1,400

28,000

1,200

24,000

1,000

20,000

800

16,000 The Öresund Bridge between Sweden and Denmark was inaugurated in 2000

600 400

12,000 8,000

200

4,000

0

0 1996

1997

1998

1999

2000

2001

2002

2003

Number of foreign-owned places of employment

2004

2005

2006

2007

2008

Employees in foreign-owned companies

Malmö’s largest foreign-owned companies include Manpower, Pågen, ISS Facility Services, Logica, Schenker, Trygg-Hansa, E. ON, and IKEA.

31% of Malmö’s employees work in foreign-owned companies (excluding public sector) »» 30,489 people worked in the 1,400 foreign-owned places of employment in Malmö (2008) »» 5% of Malmö’s places of employment were foreign-owned (excluding public sector) »» The number of foreign-owned places of employment has increased by 131% over 10 years »» The number of employees in foreignowned places of employment has increased by 116% over 10 years »» 1,105 places of employment had employees »» 487 places of employment had more than 10 employees

Number of foreign-owned places of employment by country

»» 64 places of employment had more than 100 employees »» 47% of those employed by foreign-owned firms worked here

300

291 250

200

164

150

163

162 144 109

100

106

108 91 62

50

0 Denmark

Norway

United Kingdom

USA Germany

Finland Netherlands

Rest of Europe France

»» The largest investor countries with respect to the number of foreignowned places of employment were: Denmark (21%), UK (12%), Norway (12%), and Germany (10%) »» The largest number of places of employment were in commerce, communications, hotels and restaurants, as well as in financial and business services

Rest of world

Number of foreign-owned places of employment per country (2008)

Malmö Snapshot

25

corporate structure

Number of employees

Skanska

2,575

Academic Work

825

ISS Facility Services

775

Pågen

775

Manpower

675

DSBFirst

575

Sydsvenska Dagbladet

525

Logica

525

Attendo Care

525

Assistansia

475

Photo: Leif Johansson X-Ray

Malmö’s 10 largest private employers

Company

Malmö’s trade and industry policy vision

We will make Malmö the most innovative and curious city in the Öresund Region, where it will be especially inspiring to establish, operate, and develop businesses.

Turning Torso is the tallest building in Sweden (190 meters)

26

Malmö Snapshot

Malmö’s profile areas When marketing in trade and industry contexts, Malmö will increasingly focus on a number of profile areas where the city’s strengths are considered to be especially relevant for more jobs and growth.

The new profile areas are:

Life Science Commerce Logistics

New Media

Clean tech

Environmental technology is an important and rapidly growing industry with potential for Malmö. Here the City of Malmö would like to gather stakeholders from academia, industry, and the public sector that are committed to enhancing the image of Malmö as a sustainable city, thereby creating more jobs.

office works with CleanTech Center, a showroom where environmental technology companies can demonstrate their products, and the Green Light District, a geographical area that provides companies with visibility in the city­scape and where good synergies can be created.

A CleanTech Office has been launched that can assist companies and organizations within the field of environmental technology. The

Media is another important area where the City of Malmö cooperates with participants such as Region Skåne and Region Blekinge to strengthen and grow

Hospitality industry

Headquarters

the mobile media sector. Media Evolution City in Västra Hamnen is being developed into a world-class venue for companies, research, and organizations in mobile media and mobile platforms.

Within Medical Malmö trade and industry are linked to medical research.

The City of Malmö has taken the initiative to launch a marketing organization together with Malmö University, Lund University, and Region Skåne to promote Medical Malmö.

Malmö Snapshot

27

The straight facts!

Sources:

The purpose of this report is to provide all stakeholders in trade and industry in Malmö with straight facts and transparent statistics – companies in Malmö, companies planning to move to Malmö, and others who wish to follow business community developments.

Jones Lang LaSalle

– The report is available in Swedish and English – Read and download the digital version from our website – More information and statistics are available on our website >> www.malmo.se/tradeindustry >> www.malmobusiness.com

Business Register (Statistics Sweden) Malmö University Statistics Sweden Swedish Agency for Economic and Regional Growth Swedish Agency for Growth Policy Swedish Public Employment Service Öresund Bridge Öresund Committee Öresund Institute Öresund University

Print run (English edition): 2,000 Design & production: W communication agency (www.justw.com) Printing: Holmbergs Publisher: Pehr Andersson, Trade and Industry Agency, City of Malmö Editor and analyst: Sara Bergman, Trade and Industry Agency, City of Malmö

Trade and Industry Agency Visiting address Lugna gatan 84 Mailing address City of Malmö, SE-205 80 Malmö, Sweden Telephone +46 (0)40-34 17 00 • Fax +46 (0)40-611 27 06 E-mail tradeindustry@malmo.se www.malmo.se/tradeindustry www.malmobusiness.com

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.