Chef from IW Presses for Scrapping Holiday for Economic Gain
Public Holiday Abolition Called for By IW-Chief for Enhanced Economic Growth - Business leader advocates for eliminating a national holiday in pursuit of increased economic growth.
In a nod to the removal of the Buß- and Bettag as a public holiday back in 1995, Michael Huether of the IW (Institute of the German Economy) posits that tossing more work hours into the mix could be a reality if so desired. His comments come after the Association of Bavarian Businesses advocated this week for the elimination of religious holidays.
On the flip side, Marcel Fratzscher, head of the German Institute for Economic Research (DIW Berlin), expresses a contrasting stance. "Scrapping holidays or tax incentives for overtime work won't be the panacea for Germany's labor shortage," Fratzscher told the media group owned by Funke. Fratzscher's view is that resolving the labor shortage hinges on dismantling the multifaceted barriers to employment for women, immigrants, and others residing abroad. "Increasing immigration rates and removing employment restrictions for women are essential to curbing the labor shortage," Fratzscher insisted.
Relevant Aspects:
- Buß- and Bettag: A religious holiday abolished as a public holiday in 1995.
- Michael Huether (IW): Economist from the Institute of the German Economy.
- Economic performance: Performance of the economy, including productivity and competitiveness.
- Germany: The primary geographical focus of the article.
- Cologne: A city with rich culture and tourist attractions in Germany.
- Institute of the German Economy: An independent economic think tank.
- Head: The leadership position of an organization.
- Marcel Fratzscher (DIW Berlin): President of the German Institute for Economic Research.
- Funke media group: German media company.
- Labor shortage: The difficulty in finding enough workers to meet the demands of the economy.
Impact of Public Holidays on Economic Performance:
While specifics aren't given for the case at hand, it's important to note that public holidays can have varying effects on economic performance. Holidays can spark increased tourism, consumers' spending, and cultural engagement, enriching the local economy. On the flip side, businesses might struggle with reduced productivity, higher costs, and disrupted operations during holidays that aren't widely observed.
Perspective Differences:
Though specific statements from Michael Huether (IW) and Marcel Fratzscher (DIW Berlin) are not available, it's reasonable to infer that they'd advocate argued positions:
- Michael Huether (IW): As an economist, he may contend that eliminating Buß- and Bettag could boost productivity and economic efficiency, potentially benefiting competitiveness and growth in regions like Cologne.
- Marcel Fratzscher (DIW Berlin): As a leading economist, he might stress the cultural and social value of maintaining public holidays, underscoring their ability to enhance work-life balance, preserve cultural heritage, and foster engagement, which can indirectly spur economic growth via tourism and community involvement.
In the context of the ongoing debates about labor shortage in Germany, Michael Huether, head of the Institute of the German Economy (IW), might advocate for the elimination of religious holidays like the Buß- and Bettag, proposing that this could increase productivity and bolster economic efficiency, potentially benefiting the competitiveness and growth of regions such as Cologne. On the other hand, Marcel Fratzscher, president of the German Institute for Economic Research (DIW Berlin), might express a contrasting view, maintaining that resolving the labor shortage necessitates dismantling barriers to employment for women, immigrants, and others residing abroad, rather than scrapping holidays or implementing tax incentives for overtime work. This perspective might emphasize the cultural and social value of preserving public holidays, highlighting their role in fostering work-life balance, preserving cultural heritage, and promoting community engagement, which can contribute indirectly to economic growth via tourism and other means.
