The many crises of recent years, the recession, the pressure of bureaucracy and the difficulty of even finding employees: Salzburg’s economy is struggling under difficult conditions. Chamber President Peter Buchmüller now presented a list of tasks for the next government.
The domestic economy is in shambles after two years of recession. The willingness to consume reached its lowest point when inflation increased. Investments are increasingly flowing abroad. Bankruptcies such as the bankruptcy of Salzburg Chocolate are also weakening the location in Salzburg this year. Increasing bureaucracy is becoming an increasing burden. The number one problem children are retail, industry and the construction sector.
The president wants to reduce indirect labor costs
The boss of the Salzburg Chamber of Commerce, Peter Buchmüller, sees an urgent need for action and has now presented a catalog of tasks for the new federal government. He again calls for a reduction in indirect labor costs from the current 43.5 to 40 percent. The increased labor costs in recent years (more than 48.9 percent since 2009) are putting increasing pressure on companies.
Less ’employer money’ for social and pension systems could, according to business arguments, be compensated by a recovery of the economy. Buchmüller: “We are creating new jobs.”
Chamber boss calls for reforms in the labor market
For Chamber President Buchmüller, the part-time rate in Austria is too high, with an average of 29.2 hours per week per employee. He believes a further reduction is the wrong approach: “That would be poison for the location.”
Should the retirement age be increased?
The backlog in reforms also has consequences for the pension system, according to Buchmüller. And he thinks out loud about possible measures. As a first step, labor participation among 60 to 64 year olds (currently 30 percent) must be increased. Buchmüller: “You have to consider whether everyone who starts working at the age of 15 can retire earlier than those who study for a long time.”
He hopes for one thing above all from the future federal government: speed. “The companies need help!”
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
