Extensive guidelines, many documentation requirements: the German economy moans about too much bureaucracy – and sees it as a fundamental evil.
The German economy has called on the federal government to make significantly more efforts to reduce bureaucracy. “The bureaucracy – nationally and increasingly stronger on the European side – is restricting the economy’s ability to breathe,” said the President of the German Chamber of Commerce and Industry (DIHK), Peter Adrian, to the German Press Agency.
Despite major goals, the federal government is not making real progress in reducing bureaucracy. Employer President Rainer Dulger said: “Medium-sized companies are overwhelmed with bureaucracy, which they sometimes cannot afford.”
Business associations have long been calling for less bureaucracy. Within the federal government, voting began before Christmas on a bill that is intended to lighten the bureaucratic burden on citizens and entrepreneurs. This goal is to be achieved, among other things, through shorter retention requirements for certain documents, more digital processes and the deletion of some regulations.
Economy sees a fundamental evil
The President of the Federation of German Industries, Siegfried Russwurm, said: “The basic evil is a profound mistrust of entrepreneurship. Companies have to constantly prove that they are not breaking any laws. They have to document that they adhere to laws and regulations. That is Just like if you, as a private individual, had to send a report to Flensburg every time you parked in accordance with the rules, instead of relying on controls. Anyone who is caught parking illegally gets a ticket and has to pay.”
According to Russwurm, something similar would also be possible in industry. “Anyone who breaks the rules will be sanctioned. But comprehensive documentation of everything and everyone with a triple copy to the state authorities is completely excessive.”
The time required is becoming ever greater
Adrian gave the example of a building permit for a simple commercial hall. “That used to be two pages, today at least 30 pages have to be filled out with the most extensive additional provisions. That’s grotesque. With detailed control and contradictory regulations, the state not only overwhelms the economy. It also ultimately overwhelms itself. There are rules, obligations, requirements created, which in the end also have to be controlled.” As an entrepreneur, the amount of time you have to spend on reports and formalities is increasing.
Dulger, President of the Confederation of German Employers’ Associations, called for as much bureaucracy as possible to be averted from companies. “The guidelines for checking social standards in our companies with 1,000 or more employees are as thick as the Berlin telephone book. Many entrepreneurs are rightly asking themselves: What’s the point of that?” Germany is suffocating itself with rules.
Source: Stern
