Chamber and committees

The latest Gross Domestic Product statistics for Scotland, covering the period July 2013 to September 2013, show that total output in the economy grew by 0.7 per cent compared to previous quarter. The services sector, which accounts for nearly three quarters of the economy, grew by 0.7 per cent during the latest period. The production sector grew by 0.6 per cent, and construction grew by 0.7 per cent.

The latest labour market statistics, published by the Office for National Statistics, show that the employment rate in Scotland was 72.7% and increased by 2 percentage points over the year to the period September 2013 to November 2013. This increase was driven by an increase in the female employment rate of 3.3 percentage points, and an increase of 0.7 percentage points in the male rate over the same period.

An employment rate is calculated by dividing the number of people in employment by the total population (employed, unemployed and economically inactive). It is therefore not possible to calculate employment rates for industry sectors since those who are unemployed or economically inactive cannot be allocated to an industry sector.

The Annual Population Survey provides the preferred measure for economic inactivity rates for small cohorts of the population in Scotland. The latest data covers the period from October 2012 to September 2013.

The rate of economically inactive mothers by number of children is shown in Table 1 and the rate of economically inactive mothers by age of youngest dependent child in Table 2.

Table 1: Economic inactivity rates¹ for mothers by number of dependent² children

Number of dependent children	Economic Inactivity rate
1	23.2%
2	21.8%
3	32.2%
4 or more	58.2%

Source: Annual Population Survey, October 2012-September 2013, Office for National Statistics.

Notes:

1. Rates based on population aged 16-64.

2. Dependent children are children aged under 16 and those aged 16 to 18 who have never-married.

Table 2: Economic inactivity rates¹ for mothers by age of youngest dependent² child

Age of youngest dependent child3	Economic Inactivity rate
Under 1	36.8%
Aged 1	32.4%
Aged 2	34.0%
Aged 3	35.3%
Aged 4	26.8%
Aged 5 to 11	19.8%
Aged 12 to 18	16.2%

Source: Annual Population Survey, October 2012-September 2013, Office for National Statistics.

Notes:

1. Rates based on population aged 16-64.

2. Dependent children are children aged under 16 and those aged 16 to 18 who have never-married.

3. Analysis is based on age of youngest child to avoid double counting of mothers with multiple children.

HM Revenue & Customs (HMRC) publish bi-annual statistics on provisional awards for child tax credit, available at link:

https://www.gov.uk/government/publications/child-and-working-tax-credits-statistics-provisional-awards-geographical-analyses-december-2013.

HMRC also publish information relating to the value of childcare vouchers through Employer Supported Childcare in the Tax Ready Reckoner and Tax Relief supplementary document:

http://www.hmrc.gov.uk/statistics/expenditures/table1-5.pdf.

<>The Scottish Government published an economic analysis of childcare and labour market participation in January 2014. The report is available from:http://www.scotland.gov.uk/Topics/Economy/Childcare-and-Female-Labour-Market-Participation and contains estimates of the increase in the number of economically active women in Scotland that would be achieved if Scotland matched the female economic activity rates of countries such as Norway or Sweden.

The Annual Survey of Hours and Earnings (ASHE) provides information about the levels, distribution and make-up of earnings and hours worked for employees in all industries and occupations. The information requested is available from the ‘Annual Survey of Hours and Earnings, 2013 Provisional Results’ Office for National Statistics’ publication:

http://www.ons.gov.uk/ons/rel/ashe/annual-survey-of-hours-and-earnings/2013-provisional-results/index.html

Estimates of median gross weekly earnings by gender, part-time status and region are available in the zip file ‘ASHE 2013 (provisional) Table 25-Region by Public and Private Sector’ at the following page:

http://www.ons.gov.uk/ons/publications/re-reference-tables.html?edition=tcm%3A77-328216

 

Within this set of tables, Table 25.1a gives data on Weekly pay-Gross (£). For female part-time employee jobs: United Kingdom, 2013.

The Scottish Social Services Council publish information on an annual basis on the size and composition of the childcare and day-care of children workforce in Scotland.

The Annual Population Survey provides the preferred measure for employment rates for small cohorts of the population in Scotland. The latest data covers the period from October 2012 to September 2013.

The employment rate of mothers by number of children is shown in Table 1 and the employment rate of mothers by age of youngest dependent child in Table 2.

Table 1: Employment rates¹ for mothers by number of dependent² children

Number of dependent children	Employment rate
1	71.6%
2	72.9%
3	61.6%
4 or more	38.7%

Source: Annual Population Survey, October 2012-September 2013, Office for National Statistics.

Notes:

1. Rates based on population aged 16-64.

2. Dependent children are children aged under 16 and those aged 16 to 18 who have never-married.

Table 2: Employment rates¹ for mothers by age of youngest dependent² child:

Age of youngest dependent child3	Employment rate
Under 1	60.3%
Aged 1	63.5%
Aged 2	60.2%
Aged 3	60.0%
Aged 4	63.7%
Aged 5 to 11	73.2%
Aged 12 to 18	80.3%

Source: Annual Population Survey, October 2012-September 2013, Office for National Statistics.

Notes:

1. Rates based on population aged 16-64.

2. Dependent children are children aged under 16 and those aged 16 to 18 who have never-married.

3. Analysis based on age of youngest child to avoid double counting of mothers with multiple children.

The Annual Population Survey provides the preferred measure for detailed labour market information for subsets of the population in Scotland. The latest data covers the period from October 2012 to September 2013.

Female economic inactivity rate by qualification

Qualification	Economic inactivity rate
Degree, Professional Qualification	15.7%
HNC/HND or equivalent	21.4%
Higher, A-Level or Equivalent	26.1%
Credit Standard grade or Equivalent	30.8%
General Standard Grade or Equivalent	41.7%
Other qualifications	35.3%
No qualifications	57.4%
All	28.2%

Source: Annual Population Survey, October 2012 to September 2013, Office for National Statistics

Notes:

1. Rates based on female population aged 16-64

2. Rates are calculated on unrounded figures

3. Rates for all excludes those who didn’t know or didn’t answer

At 69.5%, the level of female employment is at its highest rate since the Labour Force Survey series began in 1992. (source, Labour Force Survey, ONS, Sept-Nov 2013). However, the Scottish Government recognises that women continue to face many different barriers accessing, retaining and progressing in employment.

Attendees at the Women’s Employment Summit in September 2012 identified a number of key challenges, including childcare; support for women setting up their own enterprise; flexible working; the particular challenges of rural living; and occupational segregation.

Since the event, action has been taken across these areas, and is monitored through the Advisory Group on Women and Work Chaired by Angela Constance

Actions include:

Child care: We are increasing the level of funded early learning and childcare from 475 hours to 600 hours per year, for three and four year olds, and the most vulnerable two year olds, and from 2014. We will extend our childcare offer of 600 hours per year to two year olds in workless households from 2014, and to two year olds who would be eligible for free school meals from 2015.Enterprise: following a series of seminars chaired by Professor Sara Carter of Strathclyde University and Jackie Brierton of Women in Enterprise Scotland, a draft framework for action by Scottish Government and partners has been produced and will be published in Spring this year.

Careerwise: A £250,000 fund which will see the Scottish Resource Centre for Women in Science, Engineering and Technology to work collaboratively with employers, schools, colleges, universities and Skills Development Scotland to encourage and support young women into Science, Technology, Engineering and Maths learning and jobs.

 

Training:We are keen to test the impact of an offer of childcare support on uptake of training by women, particularly in non-traditional sectors. Through the Energy Skills Challenge Fund which offers ‘transition training’ to up-skill those with relevant transferable skills and experience, 2 of the 9 providers this year are specifically targeting women for their courses. These are:

 

Fife College who have commenced training and are contracted to deliver 168 places. Fife College are specifically marketing and targeting women.

 

Opito, who are contracted to deliver 331 places, which will include 50 places specifically being offered to women though a four day awareness course on the realities of the oil and gas industry and details of the training available through the challenge fund. The course and training is due to run in March 2014.

Both providers will pilot offering childcare expenses as an incentive to increase the number of women taking up this provision it is important women can access training offer of childcare;

Research: Understanding the evidence we have around women’s employment was a key issue identified at the summit. Professor Patricia Findlay of Strathclyde University has chaired a small group which produced and published on the Scottish employability website:-www.employabilityinscotland.com.

An updated Women’s Employment Summit Evidence Paper, a database of sources for women’s labour market information, alongside a guide to data sources and a thematic guide to data sources, short summary review of evidence papers and a list of women’s employment support networks and resources

In ‘Scotland’s Future’ we set out further actions we will take if elected in an independent Scotland which would offer more support to women and families accessing the labour market. This includes the introduction of a universal childcare system, a fair pay commission, action to increase the number of women on public and corporate boards and promotion of a living wage.

The Scottish Government published an economic analysis in January 2014 illustrating the potential impact of increasing Scotland’s female participation rate to levels seen in countries such as Norway and Sweden. The results are outlined in a document entitled Childcare and Labour Market Participation - Economic Analysis, and can be accessed using the following link:

http://www.scotland.gov.uk/Topics/Economy/Childcare-and-Female-Labour-Market-Participation

The results published in the above report indicate that if Scotland’s female participation rate reached Swedish levels, output could rise by up to 1.7% (£2.2 billion) and tax revenues by 1.5% (£700 million) in the long run.