SME barometer

Business situation gloomy, Salzburg eager to invest

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(Bild: stock.adobe.com)

According to auditors EY, 30 percent of domestic SMEs have a negative assessment of their business situation. The majority of companies expect the economic situation to deteriorate further. While the shortage of skilled workers is causing concern, the willingness of Salzburg companies to invest is at the top of the list. 

The weak economy is weighing on domestic companies - and will continue to do so for some time to come in their opinion. According to a recent survey by auditors EY, 30 percent of SMEs rate their business situation as negative, especially in Lower Austria. Only a fifth of those surveyed expect the economic situation to improve in the near future. The companies surveyed also stated that they wanted to cut back on investments and new jobs.

Trade is struggling, healthcare sector is satisfied
The retail sector was the least satisfied, with 24% of the entrepreneurs surveyed reporting a poor business situation. In the healthcare sector, on the other hand, more than half of the companies were satisfied with their current economic situation. As far as future expectations are concerned, optimism is growing in the social sector, where around 20% of companies expect an economic improvement, compared to only 9% in the previous year.

Skills shortage "currently the biggest threat for companies"
Only 13% of the companies surveyed plan to increase their overall investments. "Such a low willingness to invest was last seen during the global financial and economic crisis in 2008/2009," according to an EY statement. 67 percent of those surveyed stated that the lack of qualified personnel is currently the greatest threat to the development of their own business.

Vienna and Salzburg have the most positive outlook
In a comparison of the federal states, Tyrolean companies (63%) were predominantly positive about their business situation, while companies in Lower Austria were largely negative. Companies in Vienna and Salzburg (around 15 percent each) are most likely to invest in the next six months. EY expects a decline in investment in Tyrol, Upper Austria and Burgenland.

Around 500 managers of domestic SMEs with between 30 and 20,000 employees were interviewed for the survey. The interviews took place in August and September 2024.