Siemens boss without reservation: 'Germans have to work harder'

Roland Busch, chief executive of Siemens AG, has publicly criticized current economic measures in Germany, stating that too many people are working part-time. His comments come amid ongoing discussions about reforms aimed at revitalizing a stagnant economy. The German government recently announced a package of reforms designed to stimulate growth, but Busch argues that while these initiatives address several key issues, they fall short of solving all challenges facing the country. The reforms, which were unveiled by the federal government, aim to boost productivity and competitiveness in a sector that has struggled with slow growth over recent years. Busch, a member of the economic initiative “Made for Germany,” which brings together 139 companies and investors, emphasized the need for faster and more visible implementation of policies. He noted that further reforms should be introduced alongside existing measures to ensure long-term success. A planned meeting with the federal government is set for late September, following an initial discussion earlier this year with Chancellor Friedrich Merz. Busch specifically highlighted concerns regarding flexible working hours, calling attention to the unique nature of Germany’s labor regulations. He pointed out that Germany is one of the few countries that regulates work time by the day rather than by the week, a system he believes contributes to inefficiencies. According to him, the number of employees working part-time is disproportionately high, and he stressed that “Germany must work more.” This sentiment aligns with broader debates within the business community about how to balance flexibility with productivity. Eurostat data released at the end of May revealed that the average weekly working hours in European countries varied significantly during the previous year. Notably, workers in the Netherlands logged the fewest hours—31.9 per week, while those in Denmark and Germany worked approximately 33.9 hours on average. These figures have fueled discussions about the impact of part-time employment on national productivity and economic performance. On the other hand, Christian Sewing, director of Deutsche Bank, expressed optimism about the government’s reform agenda. He stated that the proposed changes have strengthened international investor confidence and increased interest in Germany as a location for investment. Sewing added that foreign investors are planning to commit at least 100 billion euros to Germany, underscoring the potential benefits of the reforms. The “Made for Germany” initiative, which includes Busch, had previously forecast that more than 800 billion euros would be invested in the country by 2028, highlighting the ambitious goals of the economic strategy. The debate surrounding Germany’s labor practices reflects deeper tensions between maintaining worker welfare and enhancing economic efficiency. While some argue that flexible work arrangements support employee well-being and adaptability, others contend that they hinder overall productivity. As the government moves forward with its reform plans, the challenge will be to strike a delicate balance between these competing priorities. The coming months will likely see continued dialogue between industry leaders, policymakers, and labor representatives as they seek to shape a sustainable path forward.