Entrepreneur
Dulger: New government has a chance of changing the mood
The employer president believes that a new federal government could bring about an economic turnaround. But only if she addresses certain changes.
Employer President Rainer Dulger sees opportunities for an economic turnaround in Germany this year. To achieve this, the new federal government must act quickly, Dulger told the German Press Agency. “Germany has innovative companies and hard-working and creative employees. The foundation is good – but it finally needs a realistic location policy.”
Stagnation in economic performance is expected for 2024 and only mini-growth for 2025. Business associations and experts see many structural problems – such as high energy costs and a high tax burden compared to international standards, too much bureaucracy or long planning and approval procedures.
Germany needs a policy change in economic and social policy, said Dulger. “A new government initially has the chance to change the mood of the population and companies. The psychological component should not be underestimated. However, the potential magic of a change must be quickly followed by action.”
Employers’ wish list
Employers have several concrete suggestions for this. The President of the Confederation of German Employers’ Associations said that the new federal government must take up the ball of the recently confirmed EU Commission so that the announcements about reducing bureaucracy and deregulation are followed by action. The new government must set the course for growth in an ambitious program. Germany needs fundamental reforms in order not to lose touch internationally.
“The additional wage costs must be capped at 40 percent,” said Dulger. “Then the employees will have more net of the gross. This requires changes in the social security systems.” Unnecessary bureaucracy should be suspended and then finally abolished. “That would trigger significant economic growth for free. The necessary bureaucracy must be organized digitally and efficiently.” Citizens’ money must be replaced by a system that brings demands and support back into a realistic balance. “Getting people into employment must be the core task of the employment administration.” Dulger also mentioned more flexibility in working hours, which employees in particular wanted.
dpa
Source: Stern
