Public Sector Employment in Scotland Statistics for 2nd Quarter 2023

Public and Private Sector Employment in Scotland; Headcount

Public sector employment in Scotland increased by 4,670 (0.8%) between June 2022 and June 2023. This increase in public sector employment is mainly due to an increase in the devolved public sector.

The public sector is defined according to the UK National Accounts Classifications Guide

Figure 1: Public sector employment in Scotland has increased over the year and accounts for just over one fifth of total employment

Public and Private[1] Sector employment (Headcount) in Scotland as at June 2023

Source: Public Sector Employment in Scotland, Quarter 2 2023

Figure 2:  Public Sector employment in Scotland has been gradually increasing since 2018

Public Sector employment and estimated public sector employment (excluding major reclassifications) in Scotland, June 1999 to June 2023, non-seasonally adjusted

Source: Public Sector Employment in Scotland, Quarter 2 2023

Figure 2 shows that the number of people employed in the public sector remained relatively constant between Q1 2014 and Q2 2018, before falling in Q3 2018 and rising again from Q4 2018 onwards. Excluding the effects of major reclassifications[2] (i.e. taking out the headcounts for all large organisations listed in footnote 5 from the overall numbers), the number of people employed in the public sector gradually reached a peak in Q2 2006, decreased until Q3 2013 and remained relatively constant until Q3 2018. The increase between Q3 2018 and Q4 2018 is mainly due to Cordia services moving back under Glasgow City Council services. Since Q4 2018, the series has typically been increasing over time.

Figure 3 shows the annual change in employment for the public sector. Employment increased by 4,670 (0.8%) between June 2022 and June 2023. The increase is mostly due to increases in the NHS and Local Government employment  in the Devolved Public Sector, as well as increases in the Reserved Public Sector.

Figure 3: Public Sector employment in Scotland increased over the year

Annual change in Public Sector employment (Headcount) in Scotland

Source: Public Sector Employment in Scotland, Quarter 2, 2023

Impact of Excluding Major Reclassifications from Public Sector

If the major reclassifications5 were to be excluded from the public sector series (i.e. the headcounts for all large organisations listed in footnote 5 were taken out of the overall numbers), there would be around 579,000 people employed in the public sector as at June 2023. This would be 21.5% of the total employment in Scotland compared with 22.2% if major reclassifications are included.

Public sector employment, excluding the effects of the major reclassifications, would be around 3,000 (0.6%) higher in June 2023 compared with June 2022. The increase when major reclassifications are included is higher (4,670), showing that reclassifications are playing some role in the increase over the year.