More FTEs despite less activity within coal mining in 2017

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Notwithstanding the significant reduction in coal mining activity in Svalbard, the total number of full-time equivalents(FTEs) increased slightly more than 4 per cent from 2016 to 2017. Growth in accommodation and food service activities was the main contributor to the increase.

Written by: Mikael Sandberg / Hege Raaberg Bekkevold

Coal mining operated by Store Norske has been the most important activity in Svalbard for many decades now. But according to the statistics Industry statistics for Svalbard, the number of full-time equivalents (FTEs) in the industry has been falling since 2014. In 2017, only Gruve 7 was in operation. The decline in turnover was especially noticeable from 2016 to 2017, and was caused mainly by reduced activity in the industry. With NOK 559 million in turnover in 2016 compared to NOK 103 million in 2017, this corresponds to an 82 per cent decrease from 2016. The total turnover of the businesses located in Svalbard fell by 6 per cent in this period and the number of FTEs within mining went down by 52 in the same period, a decrease of 34 per cent from 2016.

Growth for accommodation and food services

The number of FTEs for the industry section ‘accommodation and food service activities’ rose by 84 from the previous year following a growth in tourism in Svalbard in the same period. The turnover increased by NOK 96 million, or 27 per cent, from 2016. NOK 60 million was also invested in the same industry section in 2017, an increase of 76 per cent from the year before. The total number of companies’ FTEs in Svalbard increased from 1 540 in 2016 to 1 604 in 2017.

Figure 1. Turnover by industry. NOK million

2016 2017
S Other service activities 5 5
R Arts, entertainment and recreation 126 118
Q Human health, social work 13 12
P Education 63 60
O Public adm., defence, soc. security 139 157
N Administrative, support service 229 291
M Profess., scientific, tech. act. 32 35
L Real estate activities 119 111
J Information, communication, financial and insurance act. 423 518
I Accommodation, food service 354 450
H Transportation and storage 232 271
G Domestic trade, car repair shop 377 405
F Construction 528 476
C-E Manufacturing, electr., watersupply, sewerage, waste 153 167
B Mining and quarrying 559 103

From mining to other industries

The decrease in coal mining activity had negative effects for other industries that supply this industry with goods and services, such as construction and other services. Both industries had a decline in FTEs, of 9 and 10 per cent respectively. At the same time, there has been growth in other industries: in addition to accommodation and food service activities considerably more FTEs were performed within professional, scientific and technical services, which had an increase of almost 19 per cent from the previous year. The transport and storage industry section experienced almost a 15 per cent rise in FTEs.

Figure 2. Number of man-years by industry

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
B Mining and quarrying 440.3 395.6 366.7 383.5 410.3 345.2 351.4 262.4 152.8 100.9
C-E Manufacturing, electr., watersupply, sewerage, waste 32.4 31.9 26.4 29.2 28.2 27.5 38.6 55.4 52.7 51.6
F Construction 183.6 168.4 162.8 170.8 203.3 212.7 215.3 196.2 172.4 157.3
G Domestic trade, car repair shop 105.9 115.7 106.9 105.7 114.8 118.7 103.1 131.3 116.2 120.7
H Transportation and storage 109.7 98.9 102.8 103.7 110.6 112.7 98.6 86.1 75.8 87
I Accommodation, food service 137.3 134.5 146 189.7 212 216.8 245.4 260.4 231.3 315.2
J Information, communication, financial and insurance act. 44.4 39.7 44.4 50.1 50.3 51.6 55.7 55.2 58.5 54.6
L Real estate activities 1.3 2.7 0.7 2.6 3.5 6.5 5.7 6.3 11.4 9.3
M Profess., scientific, tech. act. 25.9 28.3 33.4 34 40.8 44.3 41.3 40.9 53.3 63.2
N Administrative, support service 134.9 108.9 109.9 137.1 103.5 100 96.3 105.2 132.6 156
O Public adm., defence, soc. security 71.4 71.1 80.3 82.8 78.8 79.1 72.4 80.9 100.3 105.9
P Education 143.3 124.5 117.4 138 150.1 152.9 162.6 198.6 192.3 186.8
Q Human health, social work 68.8 76.7 64.2 63 69.6 70.3 62.9 66.3 59.1 58.5
R Arts, entertainment and recreation 29.7 40 35.1 39.2 47.8 44.7 70.4 95.6 117.3 124.6
S Other service activities 18.4 17.8 14.5 9.4 9.5 10.3 11.2 12 13.5 12.1

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