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Tourism and service grow in the shadow of the Fehmarn construction

The Fehmarn connection creates thousands of jobs in construction - but the lasting effects are seen in hotels, cleaning, and service.

Most jobs in construction will disappear when the Fehmarn Belt link is completed. But the many new jobs in tourism will remain. Photo: Jan Knudsen
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The excavators are working around the clock at Rødbyhavn, and the large contracts are leaving their clear mark - not only on the landscape but also on the labour market. New figures show that the number of employed people in the Femern area has grown significantly in recent years, and the project has already created thousands of jobs. It is a development that can be felt in the five neighbouring municipalities: Lolland, Guldborgsund, Vordingborg, Næstved, and Faxe, which together have been uplifted by the large construction work.

Since 2016, employment in the selected sectors in the five neighbouring municipalities has increased from 14,874 to 22,173 employees. This corresponds to an increase of 7,299 people - almost 50 per cent in seven years. The figures come from the Danish Agency for Labour Market and Recruitment, which every quarter records employment in the affected municipalities. Thus, one can closely follow the development, and the picture is clear: the Femern connection has truly left its mark on the labour market throughout the region.

Construction is booming

When you delve into the figures, it quickly becomes clear that the construction industry is the major driver behind the progress. The industry has almost doubled the number of employees during the period. From 5,575 in 2016 to 10,950 today - an increase of 5,375 people or a full 96 per cent. Almost three out of four new jobs in the area since 2016 have thus been created in construction.

This development is not surprising when considering the scale of the project. The Fehmarn connection will be the world's longest immersed tunnel with 18 kilometres of motorway and railway under the sea, and every single casting, every foundation, and every concrete block requires thousands of hands. But at the same time, it also raises the question: what happens when the construction is finished, and many of the temporary jobs disappear again?

Tourism and service grow alongside

Part of the answer can be found in other sectors. The hotel and restaurant industry has grown significantly, from 3,678 employees in 2016 to 5,304 today. This is an increase of 44 percent, even though the corona crisis caused a noticeable dip along the way. Today, employment in the sector is higher than ever before, driven by both visiting workers, meetings and conferences, but also by burgeoning tourism, which is expected to grow further when the tunnel is completed.

What happens when construction stops?

Of the 7,299 additional employees in the Fehmarn area since 2016, 5,375 come from the construction industry. This corresponds to 74 percent of the entire growth. When the tunnel is completed, many of these jobs will disappear again.

More lasting effects are especially seen in:

  • Hotel and restaurant: +1,626 employees (+44 percent)

  • Security and cleaning: +195 employees (+10 percent)

  • Industry: +78 employees (+4 percent)

  • Transport: +25 employees (+2 percent)

The perspective is that tourism, service, and industry may become the sectors that support employment when construction declines.

Other service industries are also experiencing growth. The security and cleaning industry has seen an increase of 195 people - from 2,001 to 2,196 employees - corresponding to just under ten percent. This reflects that more jobs and more people in the area require more service functions, whether on the construction site, in businesses, or in hotels and restaurants.

Small steps in industry and transport

The industry has experienced a more subdued development than the other sectors. From 2016 to today, the number of employees has increased from 2,105 to 2,183 - an increase of 78 people, equivalent to just under four percent. It may seem modest, but precisely the jobs in industry are often more lasting than construction work. At the same time, this is where many subcontractors to the Femern connection are found. The production of materials, components, and technical solutions can help give the industry a more long-lasting boost, which can extend beyond the construction phase itself.

The transport sector has seen an even smaller increase, from 1,515 to 1,540 employees - just 25 more. Here the picture is stable, but there is still an indirect effect of Femern, because materials, machines, and employees all need to be moved around. When the tunnel is completed, the sector could become one of the winners in the longer term, as the connection will provide faster access to the German market and change the flow of goods between Scandinavia and Central Europe.

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