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Micro and small businesses make up 99% of enterprises in the EU

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In 2022, the EU had 32.3 million enterprises, employing 160 million persons. Of that total, 99% were micro and small enterprises employing up to 49 persons.

Micro and small enterprises employed 77.5 million persons, i.e. almost half (48%) of the total number of all persons employed in enterprises. They generated €11.9 trillion in turnover, representing 31% of the total (€38.3trn). 

The 240 000 medium-sized enterprises (50-249 persons employed) represented 0.8% of all enterprises accounting for15% of the employment and 18% of the turnover. 

Even though large enterprises (more than 249 persons employed) represented only 0.2% of the total number of enterprises, they employed more than a third of the business labour force (37%) and generated more than half (51%) of the turnover.

Business economy by size in 2022. Pie charts - Click below to see full dataset.

Source dataset: sbs_sc_ovw

Industry: biggest turnover with 8% of companies

The industrial sector had the biggest turnover in 2022, generating more than a third of the turnover (€13.6trn, 35%) and employed around one-fifth of the business labour force (33.4 million persons, 21%). However, in the number of enterprises, it was the smallest sector with only 8% (2.4 million) of the total number of enterprises. 

With 5.8 million enterprises, the trade sector represented 18% of the total number. The 29.8 million persons employed there generated 29% (€11.2trn) of the total turnover. 

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The construction sector represented 12% of the total number of enterprises, but only 6% (€2.1trn) of the total turnover. This sector employed 13.8 million persons.

Enterprises employment and turnover by industry, construction, trade and services in 2022. Pie chart. Click below to see full dataset.

Source dataset: sbs_sc_ovw

Highest employee benefits expense in the financial sector

Looking at the average employee benefits expense, the highest amount was found in the financial and insurance sector (€77,500), ahead of electricity and gas supply (€68,100) and information and communication (€67,530). The average for the total business economy was €41,340. The sectors with the lowest average employee benefits expense were accommodation and food services (€20,630), education (€28,730) and administrative and support services (€29,940). Different wage levels in different industries impact on these values, as well as the share of persons working part-time versus full-time.

The average employee benefits expense in the manufacturing sector (€48,090) was slightly above the average for the whole business economy. For this sector, information by employment size classes is available. They show that average employee benefits expense is substantially higher in bigger enterprises than in smaller ones: In enterprises with 0 to 9 employees and self-employed persons it was €28,510, contrasting €40,820 (in enterprises with 50 to 249 persons), or even €59,460 (250 or more persons).

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Methodological notes

  • Economic activities as described by the NACE Rev. 2 classification.
  • The term ‘business economy’ is defined as industry, construction and market services (except public administration and defence; compulsory social security; activities of membership organisations).
  • Micro, small, medium-sized and large enterprises in structural business statistics (SBS) are defined on the basis of the number of persons employed only and do not take into account other factors such as turnover and balance sheet total and could belong to a larger enterprise group.
  • Number of persons employed is the number of employees and self-employed persons.
  • Employee benefits expense is made up of wages, salaries and employers’ social security costs. They include taxes and employees’ social security contributions retained by the employer, as well as the employer’s compulsory and voluntary social contributions. Average employee benefits expense equals employee benefits expense divided by the number of employees (persons who are paid and have an employment contract). Sometimes the term ‘personnel costs’ is used instead of ‘employee benefits expense’ and the term ‘unit labour costs’ for ‘average employee benefits expense’.
  • In SBS, the term ‘Industry’ covers the following Sections of the NACE: Section B ‘Mining and quarrying’; Section C ‘Manufacturing’; Section D ‘Electricity, gas, steam and air-conditioning supply’; and Section E ‘Water supply; sewerage, waste management and remediation activities’.

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