Business initiative "Made for Germany" announces talks with federal government on further reforms

Siemens chief Roland Busch said: "Now the measures must be implemented quickly and noticeably, and further reforms must be tackled." The recently adopted package addresses "many important problems, but by no means all of them." Busch specifically cited the flexibilization of working hours as an area where further action is needed. Germany is "the only country that regulates working hours by the day rather than by the week."

Busch calls for reforms on working hours and part-time ratio

Siemens' CEO also sees a need for reform regarding the overall breadth of working hours. "In total, we need to work more in Germany," said Busch, while also pointing to what he considers an excessively high part-time rate. From the initiative's perspective, the flexibilization of daily and weekly working hours is a central lever for strengthening the location's competitiveness.

Deutsche Bank chief Christian Sewing believes the investment climate has already been strengthened by recent political decisions. The recently announced reform package has "significantly strengthened the confidence of international investors and further increased interest in this location." Sewing also pointed to concrete commitments from abroad: investors intend to deploy funds "in substantial three-digit billions" in Germany.

Sewing sees significantly increased investor interest

The "Made for Germany" initiative was launched roughly one year ago on the occasion of the first summit with Chancellor Merz and has since grown significantly. The alliance now counts, according to its own figures, 139 companies and investors from various sectors. The members have committed to investing a total of more than 800 billion euros at the Germany location by 2028.

How large the share of these commitments is that goes beyond already planned investments remains unclear, however. Observers point out that part of the announced sums could come from ongoing programs and previously communicated plans of the participating corporations. The initiative itself still speaks of a clear commitment to the location.

Open questions on the scale of the investment commitments

The planned summit in September follows a political reform package that the federal government had set in motion at the beginning of July. It targets, among other things, tax relief, faster approval procedures, and the activation of capital for infrastructure investments. From the business community, there are voices saying these points are right but are not enough on their own.

The initiative therefore wants to bring its own proposals for the next reform stage. In addition to working hours, the companies also have on their wish list the reduction of bureaucracy, faster digitalization of administration, and stronger support for key technologies. The autumn meeting is intended to negotiate these with the federal government.

Outlook on the summit in September

The reason for the increased pressure for reform is not least the weak growth forecasts for the German economy. According to the initiative's assessment, international investors are looking at Germany more strongly again, but are deciding essentially based on whether announced reforms are actually implemented. The September meeting is therefore considered an important litmus test.

The initiative has announced that it will continue to prepare the talks with the federal government in the coming weeks. An official agenda for the September meeting is not yet available. According to circles close to the initiative, a specific venue in Berlin has also not yet been set.