With more than two million employees and a turnover of 497 billion euros, they are often referred to as the “backbone” of the local economy. There are 358,000 small and medium-sized enterprises (SMEs), i.e. companies with fewer than 250 employees, in Austria. Around 110,000 of them live in Upper Austria. Two studies published by Sparkasse Oberösterreich and Donau Versicherung show how the current economic situation is affecting Upper Austrian companies.
The various challenges and crises have left their mark on the companies. Around half of the Upper Austrian SMEs stated that the situation had deteriorated. Nevertheless, 71 percent of those surveyed are optimistic about their development over the next three years. “Companies have learned over the past two years how to deal with crises,” said Sparkasse Upper Austria director Herbert Walzhofer.
More than half are currently looking for employees, 34 percent even stated that they had reduced production or rejected orders due to a lack of staff. According to Donau boss Judit Havasi, this also has something to do with the “increased need for skilled workers” in Upper Austria. 93 percent of the companies are affected by the high energy prices, 75 percent are struggling with tight supply chains.
Fast into the loss zone
Because of the cost increases, companies often quickly find themselves in the red. “But the biggest problems at the moment are in the sectors that cannot simply pass the prices on to the customer,” says Thomas Oberholzner, director of the KMU Research Austria. Especially suppliers of large industrial companies are currently in a “difficulty”. Because of the international competition, they have “only very little leeway” in passing on the increased costs.
“At the moment everyone is still talking about increased energy costs and raw material prices,” says Oberholzner. But soon the rent and lease of commercial buildings would be adjusted to the consumer price index. Depending on the outcome of the collective bargaining negotiations, rising personnel costs could also become a problem for companies. (fep)
Source: Nachrichten
