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High Level Summary of Equality Statistics: Key Trends for Scotland 2006

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2. Businesses

Introduction to Businesses and Equality

This section of the High Level Summary of Equality Statistics ( HLSES) presents key information on businesses in Scotland across a number of equality dimensions including age, disability, ethnicity, gender and religion. It is intended to compliment the key areas of activity identified in the main High Level Summary of Statistics ( HLSS) chapter on businesses ( http://www.scotland.gov.uk/Topics/Statistics) from an equalities perspective and includes a few additional topics where these are particularly relevant to equality issues. Where the main HLSS publication presents data by any of these equality dimensions, these are also shown here for ease of reference.

As well as showing key high level trends, the analysis highlights where differences and potential areas of inequality may exist for businesses in Scotland for those groups outlined above. The analysis is not intended to provide a definitive set of equalities data and more detailed statistics across the equality dimensions, where available, are referenced in the links provided. It is also not possible to break down all topics by all equality dimensions.

There are limitations in how far some data can be broken down by the above equality dimensions. Data taken from sample surveys often contain small numbers, particularly in the case of smaller ethnic groups and to some extent disability. As such, some data are prone to sampling error and trends based on such data often show a high degree of volatility. In such instances, data may have been combined for multiple years or multiple ethnic groups, whilst in other cases data may be shown for a single year only. In other instances small data may have been suppressed in order to protect individuals' confidentiality.

Possible reasons underlying the differences reported in this chapter are not detailed here. Factors which contribute to differences between equality groups represent a complex interplay of cultural, demographic and socio-economic factors and, as such are outwith the scope of this publication.

Size of Companies in Scotland

Scotland lacks a critical mass of larger scale businesses, and a key challenge is growing and sustaining businesses of scale.

Size of Companies in Scotland: Ethnic Group

The Department of Trade and Industry ( DTI) classifies firms employing less than 50 employees as 'small' and firms employing more than 250 people as 'large'. The banded data available from the Census do not match these groupings and therefore the figures outlined above will to some extent under report the actual number of people working for small and large companies.

In 2001, 60% of Chinese adults and 58% of Pakistani adults work in organisations employing 9 people or less (micro-businesses) compared with 28% of White Scottish adults. Seventy-two per cent of Chinese adults, 69% of Pakistani adults and 67% of Bangladeshi adults worked in 'small' businesses employing 24 people or less. For 'large' businesses employing 500 people or more, 24% of African adults and 22% Indian adults and Other South Asians adults worked for companies of this size.

image of Employee's Ethnic Group by Size of Company Worked For, Persons Aged 16 - 74 Years, Scotland, 2001

Source: General Register Office for Scotland ( GROS) - 2001 Census

Publications

Analysis of Ethnicity in the 2001 Census - Summary Report http://www.scotland.gov.uk/Publications/2004/02/18876/32937

Minority Ethnic Enterprise in Scotland: A National Scoping Study http://www.scotland.gov.uk/Publications/2005/06/20132742/28083

Web Link

General Register Office for Scotland ( GROS) http://www.gro-scotland.gov.uk

Size of Companies in Scotland: Religion Group

The Department of Trade and Industry ( DTI) classifies firms employing less than 50 employees as 'small' and firms employing more than 250 people as 'large'. The banded data available from the Census do not match these groupings and therefore the figures outlined above will to some extent under report the actual number of people working for small and large companies.

In 2001, over half of Sikhs (54%) and Muslims (53%) worked in organisations with 9 people or less (micro-businesses). Forty-four per cent of both Jewish and Buddhist adults worked in micro-businesses compared with 30% of adults in the Church of Scotland religion group and 24% of adults in the Roman Catholic religion group. Sixty-eight per cent of Sikh adults and 65% of Muslim adults worked for 'small' businesses. This compares to 47% of adults in the Church of Scotland religion group and 41% of adults in the Roman Catholic religion group who worked for 'small businesses.

image of Employee's Religion Group by Size of Company Worked For, Persons Aged 16 - 74 Years, Scotland, 2001

Source: General Register Office for Scotland ( GROS) - 2001 Census

Publication

Analysis of Religion in the 2001 Census http://www.scotland.gov.uk/Publications/2005/02/20757/53567

Web Link

General Register Office for Scotland ( GROS) http://www.gro-scotland.gov.uk/

Self-Employment

Self-Employment: Ethnic Group

In 2001, the proportion of all people in employment who were self-employed was highest for the following ethnic groups; Pakistani (32%), Chinese (23%) and Indian (22%). Bangladeshi and Other South Asian also have high rates of self-employment (20% cent for both groups). By comparison, self-employment rates were substantially lower for the following groups; White Scottish (10%) and Caribbean (10%) and people in the African group had the lowest rate of self-employment at 8%.

image of Proportion of those Economically Active who are Self-Employed, by Ethnic Group, Scotland, 2001

Source: General Register Office for Scotland ( GROS) - 2001 Census

Publications

Analysis of Ethnicity in the 2001 Census - Summary Report http://www.scotland.gov.uk/Publications/2004/02/18876/32937

Minority Ethnic Enterprise in Scotland: A National Scoping Study http://www.scotland.gov.uk/Publications/2005/06/20132742/28083

Web Link

General Register Office for Scotland ( GROS) - Census Statistics http://www.gro-scotland.gov.uk

Self-Employment: Religion Group

In 2001, the proportion of all people in employment who were self-employed was highest for the following religion groups; Sikhs (33%), Muslims (29%) and Jewish (27%). By comparison, self-employment rates were substantially lower for the following religion groups; Other Christian (13%), Another Religion (12%) and Roman Catholic which had the lowest self-employment rate at 8%.

image of Proportion of those Economically Active who are Self-Employed, by Religion Group, Scotland, 2001

Source: General Register Office for Scotland ( GROS) - 2001 Census

Publication

Analysis of Religion in the 2001 Census http://www.scotland.gov.uk/Publications/2005/02/20757/53567

Web Link

General Register Office for Scotland ( GROS) http://www.gro-scotland.gov.uk

Self-Employment: Age

Rates of self-employment increase with age with the rate being highest for adults aged 55 to pensionable age (14% of adults in this age group) and lowest for those aged 25 to 30 years (7% of adults in this age group) 1. In general, rates of self-employment have tended to fluctuate year on year for each age group but do appear to be decreasing for those aged 55 to pensionable age in recent years, following a peak in 2003 (21% of adults in this age group).

image of Rate of Self-Employment, by Age Group, Scotland, 1996 to 2006

Source: Labour Force Survey, Spring Quarters (March to May)
Note: 1. Data for 16 to 24 year olds for 1996 to 2006 have been suppressed due to unreliability. 2. Figures are based on working age population in employment; 16 to 59 years for women and 16 to 64 years for men.

Publication

Annual Population Survey in Scotland 2005 http://www.scotland.gov.uk/Publications/2006/06/28140032/0

Self-Employment: Gender

Working age males are much more likely to be self-employed (13.2%) than females (5.7%) in 2006. Since 1996, rates of self-employment have remained fairly constant for both males and females.

image of Rate of Self-Employment, by Gender, Scotland, 1996 to 2006

Source: Labour Force Survey, Spring Quarters (March to May)

Publications

Social Focus on Women and Men 2002 http://www.scotland.gov.uk/stats/sfwm/docs/sfwm-00.asp

Annual Population Survey in Scotland 2005 http://www.scotland.gov.uk/Publications/2006/06/28140032/0

National Centre For Women's Enterprise: Feasibility Study:- Final Research Report http://www.scotland.gov.uk/Resource/Doc/47034/0028812.pdf

Entrepreneurship

Household Survey of Entrepreneurship Scotland, 2003

The Household Survey of Entrepreneurship Scotland ( HSES) (biennial), segments the working age population into three entrepreneurial groups. These include;

Thinkers - those who are thinking about becoming entrepreneurs.
Doers - those who are already entrepreneurs through running their own business or by being self-employed.
Avoiders - those who are neither currently engaged in entrepreneurial activity nor thinking about doing so.

Household Survey of Entrepreneurship Scotland, 2003: Age

In 2003, the Household Survey of Entrepreneurship Scotland estimates that adults aged between 35 and 44 years are most likely to be 'Thinkers' (12% of this age group), whilst those aged between 55 and 64 years are most likely to be 'Doers' (16% of this age group). Those aged between 16 to 24 years are most likely to be 'Avoiders'. The HSES shows that people are less likely to be 'Thinkers' and more likely to become 'Doers' as they get older, however the proportion of people who are 'Avoiders' tends to remain the same regardless of age.

image of Proportion of Thinkers, Doers and Avoiders, by Age, Scotland, 2003

Source: Household Survey of Entrepreneurship Scotland, 2003
Note: 1. These data are not National Statistics.

Publication

Household Survey of Entrepreneurship 2003 Published 2005 http://www.scotland.gov.uk/Publications/2005/06/09113446/34484

Household Survey of Entrepreneurship Scotland, 2003: Gender

In 2003, the Household Survey of Entrepreneurship Scotland estimates that a slightly higher proportion of males are 'Thinkers' (11%) compared to females (7%) and higher proportion of males are 'Doers' (15%) compared to females (5%). The HSES estimates that a higher proportion of females are likely to be 'Avoiders' (87%) compared to males (74%).

image of Proportion of Males and Females who are Thinkers, Doers and Avoiders, Scotland, 2003

Source: Household Survey of Entrepreneurship Scotland, 2003
Note: 1. These data are not National Statistics.

Publications

Social Focus on Women and Men 2002 http://www.scotland.gov.uk/stats/sfwm/docs/sfwm-00.asp

Household Survey of Entrepreneurship 2003 Published 2005 http://www.scotland.gov.uk/Publications/2005/06/09113446/34484

National Centre For Women's Enterprise: Feasibility Study:- Final Research Report http://www.scotland.gov.uk/Resource/Doc/47034/0028812.pdf

Household Survey of Entrepreneurship Scotland, 2003: Disability

In 2003, the Household Survey of Entrepreneurship Scotland asked respondents whether they have a disability/ health problem which limits their abilities to carry out paid work. It then categorised respondents as 'Thinkers', 'Doers' or 'Avoiders'.

A slightly higher proportion of those people reporting a disability/ health problem are 'Thinkers' (11%), compared to those who did not report a disability/ health problem (9%). Conversely, a slightly higher proportion of those not reporting a disability/ health problem are 'Doers' (11%), compared to those reporting a disability/ health problem (7%). The proportion of 'Avoiders' is just over 80% for both groups.

image of Proportion of Working Age Adults who Report a Disability/ Health Problem which Limits their Abilities to Carry Out Paid Work, by Entrepreneurial Category, Scotland, 2003

Source: Household Survey of Entrepreneurship Scotland, 2003
Note: 1. These data are not National Statistics.

Publications

Social Focus on Disability 2004 http://www.scotland.gov.uk/Publications/2004/08/19818/41697

Household Survey of Entrepreneurship 2003 Published 2005 http://www.scotland.gov.uk/Publications/2005/06/09113446/34484

Global Entrepreneurship Monitor

The Global Entrepreneurship Monitor ( GEM) records entrepreneurial activity by measuring Total Early-stage Entrepreneurial Activity ( TEAs) rates. TEA rates measure the percentage of the adult working age population that is actively trying to start a business or that own and manage a business that is less than three and a half years old. The GEM is produced by Strathclyde University.

Global Entrepreneurship Monitor: Age & Gender

The GEM estimates that TEA rates are higher for male adults than for female adults across all age groups in 2004. Among males, TEA rates are highest for those aged 18-24 years (8.8%) and lowest for those aged 55 to 64 years (1.5%). However for females, TEA rates are highest for those aged 35 to 44 years (6.3%), whilst the rate was lowest for those aged 55 to 64 years (0%).

image of Total Early-Stage Entrepreneurial Activity Rates (TEAs), Scotland, 2000 to 20041 - Working Age Males

image of Total Early-Stage Entrepreneurial Activity Rates (TEAs), Scotland, 2000 to 20041 - Working Age Females

Source: Strathclyde University - Global Entrepreneurship Monitor
Note: 1. These data are not National Statistics.

Publication

Social Focus on Women and Men 2002 http://www.scotland.gov.uk/stats/sfwm/docs/sfwm-00.asp

Web Link

The Global Entrepreneurship Monitor ( GEM) Research Programme - University of Strathclyde http://www.entrepreneur.strath.ac.uk/research/gem/