An analysis of the yellow pages in 2002 revealed, that most hairdressing and barbers businesses (84%) are proprietor owned micro-businesses. The average salon size in the industry is 5 persons, with typically the owner, who continues to work behind the chair plus 4 employees. The most common beauty therapy salon size is the owner plus two staff.

African Caribbean hairdressing and barbering form specialist sub-sectors within hairdressing in terms of services. African Caribbean specialist hairdressing:

• just over 10% offer hair relaxation (straightening) services
• 3% thermal styling
• 7% braiding and weaving
• around 3% of establishments plan to offer these services in the near future

Barbers:

• between 66% and 75% offer moustache/beard trimming, cutting/ clipper sculpture, colouring and perming
• 46% of barbers also offer hair and scalp analysis services
• face massage and wet shaving is now offered by relatively few, although around 3% of barbers indicated they intended to do so in the future

Source: HABIA 2000

Whilst the demand for basic hair cutting services tends to be constant, demand for additional services such as colouring and perming seems to be more influenced by the economic climate. Consumers tend to regard beauty therapy services as a luxury item and as such are particularly influenced by economic factors.

The low wages reputation is an issue for the industry. The introduction of the national minimum wage has not reversed the low wage image of hairdressing. There is no evidence that the minimum wage has resulted in any change in the composition of the workforce.

The analysis of the Labour Force Survey (LFS) 2001 stated that there were 47,938 unemployed hairdressers and barbers. However, HABIA believes the high figures resulted from a change in the LFS questionnaire.

Sources: Druker, et al. 2003, HABIA 2002 and HABIA 2000

The majority of businesses in both sectors reported growth in the number of clients for the 12 months to March 2000. Further growth is anticipated in the next year with associated increases in the number of staff employed. Based on HABIA (2000) survey data, about 27,500 vacancies (in hairdressing) and 2,000 vacancies (in beauty therapy) across the UK are expected in any given point in time, mainly in hairdressing. This does not include the potential for successful self-employment as a freelance or mobile hairdresser/beauty therapist or seasonally adjusted factors. This situation has not changed by the time of the 2003 survey, with an estimated 40,000 vacancies in the hair and beauty industries.

Between 1992 and spring 2000, 29,680 hairdressers and barbers who were previously practising became ‘inactive’ (LFS Spring 2000). This figure represents 35.6% of those who were employed at the last census in 1991. Reasons for ‘inactivity’ include permanent retirement, career breaks for domestic reasons and moves back into full-time education. There are some indications that the hairdressing industry has reached a plateau.

Source: HABIA 2002

In 2004, many salon owners reported difficulties in recruitment of technical staff. Skill shortages were noted for:

• 30% beauty therapist
• 11% senior beauty therapist
• 10% nail technician
• 25% stylist/barber
• 25% senior stylist/senior barber
• 20% hairdressing apprentice/trainee

Source: HABIA 2004

The HABIA skills foresight report (HABIA 2002) also noted skill gaps within potential and actual new entrants to the industries. These skill gaps include poor basic literacy and numeracy skills, poor verbal communication skills and ‘attitudinal’ gaps.

A high proportion of the workforce holds some kind of qualification. The matching of capabilities and potential of the new entrant with the correct training programme as well as offering support is, therefore, a key feature of guidance. See Education and training for more information on training and qualifications in the sector.

All industries are dependent on regular repeat business from satisfied clients. This means that besides technical skills, interpersonal skills are very important, especially the ability to meet individual needs. The quality of the service is immediately felt or visible to the client. This level or responsibility is reflected in the importance attached to the training and education of new entrants. According to the HABIA 2000 survey, employers view good verbal communication and social skills plus basic literacy and numeracy skills to be the most highly valued recruitment requirements for trainees.

Source: HABIA 2002

See Occupations for further information on occupational specific skill shortages.