Sentiment at rock bottom

Carinthian businesses are facing hard times

Young skilled workers are still in short supply. This is one of the many problems plaguing Carinthia's economy.

(Bild: stock.adobe.com)

The ongoing recession is leaving ever deeper scars on Carinthia's economy. The mood is as bad as it was during the great euro financial crisis, and there are fears of lasting damage to the location.

"We're not talking about the next two to three years, we have to restore competitiveness now!" says Jürgen Mandl, WK President, painting a gloomy picture. This is confirmed by Herwig Draxler, Head of Economic Policy: "This is the longest recession since 1941 and investment is below pre-crisis levels." Mandl makes it clear that investments are being made, but not in Carinthia or Austria.

This is reflected in the mood of the companies. In the current economic survey, the economic climate and business activity reached lows that are below the records set during the euro financial crisis. The measures demanded by companies are actually well known: lower non-wage labor costs and bureaucracy, more performance incentives for employees. "When demographics bottom out in 2029, we will need enough skilled workers and the right conditions in order to recover," says Mandl.

Sebastian Schuschnig, Provincial Councillor for Economic Affairs, Peter Kaiser, Governor of the Province of Lower Austria, Jürgen Mandl, President of the Chamber of Commerce, and Herwig Draxler, Head of Economic Policy, presented the gloomy figures and discussed possible solutions.

(Bild: WKK/Peter Just)

Technology openness and infrastructure investments
The government wants to shorten procedures and make investments. "We need clear statements and measures now. By closing ranks across party lines, we will succeed," emphasized Governor Peter Kaiser, who is clearly in favour of a balanced energy mix and against total bans. "The discussion about wind power is shameful, it's about site security," clarifies Provincial Councillor Sebastian Schuschnig. "We simply cannot afford the luxury of doing without a technology."

The Provincial Councillor for Economic Affairs is generally calling for more speed in the expansion of infrastructure: "It's not just about making the right decisions, but also doing it quickly. To do this, we also need competent contacts in the federal government." Schuschnig specifically mentions broadband internet, freight transport, logistics centers, Kühnsdorf and the safety expansion of the S37.

A lot of action needed on bureaucracy
Governor Peter Kaiser wants to take concrete measures in the area of bureaucracy. "We now have to sift through the jungle of laws. And we will deploy more clerks to speed up procedures," says Kaiser. "Politicians are responsible for creating a positive mood in the country, we will look to the future."

Different reactions from the opposition
Team Kärnten also sees a need for action when it comes to bureaucracy. "The long duration of procedures is often a stumbling block that urgently needs to be eliminated," emphasizes party leader Gerhard Köfer. "The shrinking of the Carinthian economy is a threat to the location and prosperity in general. Brakes on growth must be removed." He also refers to the education system so that there will be enough qualified specialists in the future.

The FPÖ, on the other hand, focuses exclusively on political responsibility. "What we are currently experiencing is the responsibility of the governments at both federal and state level with their misguided economic policies of recent years and no one else!" says Klubobobmann Erwin Angerer.