IW Chief Advocates for Dropping Holiday to Bolster Economic Growth
Entrepreneur advocates for eliminating a national holiday to boost national productivity and economic growth. - Executive leader advocates for elimination of celebratory break to boost national financial output
Michael Huether, head of the Institute of the German Economy (IW), has thrown his weight behind the idea of axing the Buß- und Bettag, a religious holiday in Germany, to boost economic output. Speaking in response to a call from the Association of Bavarian Business for the discontinuation of the holiday this week, Huether asserted, "If one so desires, more work can be done."
Contrasting opinions, however, emerged from Marcel Fratzscher, head of the German Institute for Economic Research (DIW Berlin). Fratzscher, speaking to the Funke media group newspapers, argued, "Eliminating holidays or tax breaks for overtime work won't resolve Germany's labor shortage." Instead, Fratzscher highlighted the importance of tearing down the barriers preventing the employment of women, refugees, and foreign workers. He emphasized that a significant hike in immigration rates and the easing of employment restrictions for women would help ease the labor shortage.
Holiday abolition is a contentious issue with several economic arguments on both sides. On one hand, eliminating a public holiday like Buß- und Bettag could potentially increase economic activity, make Germany more competitive, and allow for better workforce utilization. On the other hand, preserving the holiday's cultural and social significance, maintaining a healthy work-life balance, and supporting the tourism and leisure industries may be important factors to consider.
While specific opinions from the mentioned individuals or organizations could not be found in the available data, understanding these general arguments can help one form an informed stance on the topic.
- The community institution, Institute of the German Economy (IW), has advocated that eliminating the Buß- und Bettag holiday could bolster economic growth by allowing for increased work hours and potential productivity.
- In contrast to the notion of dropping a holiday to stimulate the economy, the head of the German Institute for Economic Research (DIW Berlin), Marcel Fratzscher, posits that addressing barriers to employment for women, refugees, and foreign workers would be more effective in resolving Germany's labor shortage rather than through finance- or business-driven solutions like abolishing holidays or tax breaks for overtime work.
