07.04.2025
Tourism a bright spot in the face of challenges – recovery is also expected for other sectors
In the business life of Northern Ostrobothnia, 2024 was challenging in many respects, but the wood products, furniture and ICT industries in particular saw positive development towards the end of the year. The tourism sector continued to grow steadily, while the construction and energy sectors continued to struggle in a difficult situation. While the outlook for 2025 largely depends on overall economic developments, the positive signals at the end of 2024 suggest that at least some sectors may be in a position to reverse for the better.
Turnover and number of employees go in different directions
Turnover in construction fell by 8.1 per cent year-on-year, but the weakest period occurred in the early part of the year (-18.2 % with Q1. Towards the end of the year, the fall flattened (-3,3 % Q4), which may give hope of stabilizing the situation. Personnel decreased throughout the year (-5.9 %), but more moderately in the second half of the year. After a difficult beginning of the year, the turnover of the wood products and furniture industry rose by a third (+8.3 %) and in the fourth quarter (+23.4 %), which brought the full-year result to zero. This indicates that demand has intensified again. However, the number of employees decreased further (-11.2 %), but if positive developments continue, the number of jobs may also start to recover.
The rebound towards the end of the year suggests better
Turnover in the metal industry fell by 8.6 per cent year-on-year, but the trend was already more stable in the second half of the year. The decrease in the number of personnel remained moderate (-1.3 %), and there was already a slight increase in the fourth quarter. Although the early part of the year was challenging, the ICT cluster showed a strong recovery. Net sales increased by 14.4 per cent in Q3 and 27.5 per cent in Q4, which increased the full-year development to a plus (+2.1 %). However, the number of employees decreased (-3.7 %), which indicates efficiency measures or caution on the part of companies when it comes to new recruitments.
The electricity and energy technology cluster's net sales decreased throughout the year, and the year-on-year drop was 6.6 per cent. The number of personnel decreased by 1.3 per cent, and the decrease was strongest in the first quarter of the year. The turnover of the large tourism cluster grew by 3.6% in 2024, with increases seen in all quarters. Although growth was stronger in the early part of the year, the latter part of the year also continued its positive trend (+4.5 % with Q4. The number of employees remained stable throughout the year. Turnover in wholesale and retail trade was on a downward trend for most of 2024, but slight growth was seen in the fourth quarter (+0.3 %). On an annual basis, however, turnover contracted by 0.9 per cent. The number of personnel decreased by 0.6 per cent, especially in the second half of the year.
More about the cycle: Business cycle monitoring - Regional Assembly of Oulu Region
