Last year, the Construction Sector generated 13% of the Principality’s turnover, according to a recent study by the IMSEE*. The study shows that Construction is the third most profitable sector and the fourth largest employer in the Principality.
Almost 500 establishments, which employ over 5,000 people,make up the Principality’s construction sector. Construction is a strong sector in Monaco, according to a recent document published by the IMSEE. As of 31 December 2019, the sector had 484 active establishments, versus 479 in 2018. During the year, 17 establishments were created, versus 25 in 2018. The average age of active construction businesses is higher than the Principality’s average age for companies: 16 years old versus 12 years. Six of these businesses were created before 1950, with the oldest company dating from 1941.
2 billion euros in turnover
Construction was the fourth contributor to the Principality’s Gross Domestic Product in 2018, representing 9.5% of the GDP.The sector’s turnover grew faster than the overall GDP, 15.6% against 6.1%. With nearly 2 billion euros in 2019, Construction is the third contributor in terms of turnover (and the second most profitable sector in 2018). Specialized construction work, like masonry and structural work companies, dominate the sector, generating about one-third of the sector’s turnover.
After a drop of 30.5% in 2018, Property Development increased by 5.8% in 2019. There was a 19.7% drop in turnover for Finishing works, after an increase of 28.2% in 2018. Electrics, plumbing and other installation works, which generate 11.6% of the turnover in the sector, had only a slight decrease of 1.9%.
Fourth largest employer
With 5,211 employees, excluding temporary workers, Construction is the Principality’s fourth largest private sector employer. Like many of the Principality’s employers, construction companies usually have a small workforce. 37.0% of employers have a workforce of less than 5 employees, 58.1% have between 5 and 49 employees, and 4.5% between 50 and 199. Only one company employs more than 200 employees. There was an increase in the number of employees compared to December 2018 (+148).
1 in 10 employees are women, only 1 in 20 employees live in the Principality
The sector does not employ many women, only 8.8% of employees are women, compared to 40.0% total in the Principality’s private sector. More than half of construction workers are French (51.3%), but proportionally less than in the private sector as a whole (62.9%). Employees mainly reside in France in the Alpes-Maritimes (21.8% in neighbouringmunicipalities and 55.9% in other municipalities in the department). 16.2% of employees live in Italy. Only 5.2% live in the Principality. The average age of construction employees is slightly higher than the average employee in the private sector: 43 years of age versus 42 years.
*The IMSEE (Monegasque Institute of Statistics and Economic Studies) was created in 2011 by the Prince’s Government with the mission of promoting knowledge of the Principality’s economic and social environment. The IMSEE is known as the observer of all Monegasque economic activity.