Local government owned rehabilitation enterprises, accounts (discontinued), 2000-2002

On the increase

Both the number of rehabilitation enterprises and their employment increased by some 20 per cent from 2000 to 2002. The number of rehabilitation enterprises increased from 248 to 313, while employment increased from 11 688 to 14 880 people. The employment figures include staff employed by the enterprises and people who are covered by the employment and rehabilitation programmes.

One reason for the rising number of enterprises is the legal change to facilitate the set-up of such enterprises and a more favourable distribution of wages and operating subsidies from central and local government. Another reason is the changes in Statistics Norway's information about the ownership structure in the enterprises.

Profitability and financial strength

On the whole, local government-owned rehabilitation enterprises are doing well. In 2002, profit before tax was 2.1 per cent of operating income against a loss of 0.5 per cent in 2000. A contributing factor to the positive development is the decrease in total operating expenditure, from 99.6 per cent of operating income in 2000 to 97.4 per cent in 2002.

Public sector subsidies for the period have been relatively stable, and amounted to NOK 1 506 million in 2002. This represents an increase of 0.3 per cent, from 33.9 per cent of operating revenue in 2000 to 34.2 per cent in 2002.

The equity ratio has increased by 8.1 per cent, from 43.3 per cent in 2000 to 51.4 per cent in 2002. The positive profitability development and improved capital structure for new enterprises may also be contributing factors.

Work opportunities for occupationally handicapped people

Rehabilitation programmes are designed to provide work opportunities for occupationally handicapped people. They offer training and counselling related to education, rehabilitation and occupation choice. The principal objectives are to find regular employment for the occupationally handicapped and to create jobs. For the majority of rehabilitation enterprises the activities involve production of goods and services. We therefore concentrate on rehabilitation enterprises owned by local governments. Examples of rehabilitation enterprises are public work cooperatives (ASVO), work preparation training (AFT) and work with assistance (AB).

Tables:

• Table 1 Statistics of accounts - local government-owned rehabilitation enterprises. 2000-2002 (mill. NOK)