The perception that they have SME entrepreneurs about the economic reality is that The worst of the crisis is now behind us, although it does not imply that this is true. In fact, they are part of a society that still gives credit to Javier Milei’s policies even though, so far, they have only brought hardship to the majority.
A survey conducted by the Institute of Advanced Business Studies (IAE), the business school of the Austral University, points out that, For 58% of the companies surveyed, the worst of the economic crisis is over and, with it, the process of downsizing its staff.
“Expectations for improvement in the SME segment have increased considerably since the arrival of the new government, although Changes in macroeconomic policy have not yet translated into tangible results for their companies,” the report says.
The work details that “More than half of respondents (58%) said they expect a better outcome for their company in the next six months.”
“This is a record for the historical series of the survey, which began in 2022. On the other hand, Only 7% considered that a worse second half of the year was coming, “series low,” the report states.
The result is in line with other studies on public opinion in which, in general, Those surveyed maintain favorable expectations with the Government, despite the deterioration of important macro variables that are giving negative results, such as consumption.
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Inflation is not a problem
Like the general public, who perceive that The price race is slowing downbusinessmen believe that this point is no longer the most important.
“With the sustained decrease in inflation, tax pressure became the main concern for SMEs, with 28% of the surveyed firms stating that it is what affects them the most,” the report states
He also points out that “they persist Uncertainty surrounding the rules of the game (25% say it is their main concern) and exchange rate volatility (16%).
What will happen to employment?
SME entrepreneurs consulted They understand that the process of adjusting the squads that was carried out during the first half of 2024 is coming to an endalthough this does not imply an explosion of hiring for the second half of the year.
“Macroeconomic policies focused on reducing inflation led some companies to reduce their workforce during the first half of 2024,” says the IAE.
“However,” the study says, “ This trend is not expected to continue in the second half of the year.”
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“The The trend towards hiring staff improved, going from 54% to 64% of respondents saying they are likely to hire more employees in the second half.”
The report indicates that “a Decrease in intention to terminate employees in the coming months compared to the last half of 2023.”
In IAE it is noted that “Only 5% plan to reduce their workforce in the remainder of the year” He concludes that “this change in trend is a response to growing optimism about the future economic situation.”
In another aspect, he argues that work that “optimism about a more stable economy makes 59% of companies plan to make some significant investment in fixed assets in the next 12 months.”
“Several companies are reactivating projects that had been suspended. In this context, productivity and efficiency emerge as key factors in business management,” said economist and IAE professor Guillermo Fraile.
Source: Ambito
