The franchise sector is a significant driver of employment in the United Kingdom, providing stable and diverse job opportunities across a wide range of industries. As the franchise industry continues to grow, its contributions to the labour market have become increasingly evident. Below, we explore the critical employment statistics that demonstrate the sector’s impact and its role in shaping the UK workforce.
Total Employment Figures
Franchising has become a cornerstone of job creation in the UK economy, with over 700,000 individuals employed across various industries. This number reflects the scale of the sector and its ability to offer opportunities in both skilled and entry-level positions.
- Direct Employment: A large proportion of these jobs are created directly by franchise units, ranging from frontline staff to management roles.
- Indirect Employment: The industry also supports thousands of additional jobs in supply chains, logistics, and other associated services.
The franchise model not only generates employment but also supports job security due to the proven success rates of franchises compared to independent start-ups.
Diversity in Employment Opportunities
Franchises cater to a wide range of industries, creating opportunities across multiple sectors. Key areas of employment include:
- Food and Beverage: Restaurants and cafes offer positions in customer service, food preparation, and management.
- Retail: Franchise retail stores provide opportunities for sales assistants, inventory managers, and store supervisors.
- Health and Fitness: Fitness centres and gyms create roles for trainers, support staff, and administrators.
- Education: Tutoring and training franchises employ educators, programme coordinators, and administrative personnel.
- Cleaning and Maintenance: Residential and commercial cleaning services generate positions for operational staff and team leaders.
- Pet Care: This sector offers roles in grooming, boarding, and veterinary assistance.
The variety of opportunities ensures that individuals with different skill sets and career goals can find meaningful employment within the franchise sector.
Job Growth Trends
The franchise industry’s steady expansion has resulted in continuous job growth:
- Between 2018 and 2024, the number of franchise units grew by 3.7%, increasing from 48,621 to 50,421 units.
- The growth in units has directly contributed to a proportional rise in employment opportunities, demonstrating the scalable nature of the franchise model.
The resilience of the franchise industry during challenging economic periods further highlights its importance as a stable employer.
Youth Employment and Training Opportunities
Franchises play a pivotal role in addressing youth unemployment and providing training opportunities for young professionals.
- Youth Employment: Approximately 20% of franchise employees are under the age of 25, making the sector an essential contributor to youth employment in the UK.
- Skills Development: Many franchises offer structured training programmes, helping employees acquire skills in customer service, management, and specialised roles.
Franchising also provides an accessible entry point for young entrepreneurs, with many franchisees starting their journey under the age of 30.
Multi-Unit Franchising and Employment
Multi-unit franchise ownership has contributed significantly to job creation, with approximately 29% of franchisees managing multiple locations. This model fosters job growth by scaling operations efficiently, requiring additional staffing for each unit while maintaining centralised management.
Franchising as a Stable Career Path
The high success rate of franchises compared to traditional businesses translates to stable employment for staff. The franchise sector boasts a 99.5% success rate, reducing the risks of job losses due to business closures.
- Career Progression: Many franchises offer clear pathways for career advancement, from entry-level positions to management roles.
- Job Retention: The structured operations of franchises often result in higher employee retention rates, creating long-term opportunities for staff.
Women and Inclusive Employment
Franchises have become increasingly inclusive employers, promoting diversity and equity in the workplace.
- Women in Franchising: A growing number of women are taking leadership roles as franchisees, contributing to more inclusive hiring practices.
- Flexible Employment: Many franchises offer part-time roles and flexible hours, accommodating diverse workforce needs, including parents and caregivers.
Conclusion
The franchise industry is a cornerstone of employment in the UK, providing diverse opportunities across sectors, fostering skills development, and supporting stable career paths. Its ability to create jobs at scale, even during economic uncertainties, underscores its role as a vital component of the UK economy. As the sector continues to expand, franchising will remain a key contributor to employment and workforce development, shaping the future of work in the country.
For more insights into how franchising impacts the UK economy, explore additional resources and articles that highlight its significance and potential.