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Germany – BAP is cautiously optimistic about 2013

02 January 2013

Despite recent news of an economic slowdown, the German staffing industry remains optimistic for 2013. "The German economy will not fall into a deep recession in 2013," says Volker Enkerts the president of the Federal Employers' Association of Personnel Service (BAP).

The days of double-digit growth in the industry are indeed over, "but we will maintain at the current level," argues Enkerts. For the year 2013, he expects the temporary workforce to reach 800,000, that is 100,000 less than in 2012.

"We have noticed since the summer that the momentum has gone," Enkerts said. But as the industry figures are holding on relatively well, Enkerts wants to remains optimistic: "with the previous dip, we knew immediately that the economy had slipped into recession," he added.

Following the new industry surcharges that came into force in November 2012, increasing the cost of temporary employment, the much anticipated slump in activity has yet to happen: "people are not being sent back home en masse," said Enkerts.

The temporary employment agencies have apparently managed to pass on the increases to their customers. "The companies complain about rising prices, but they pay."

Following the recent announcement towards the introduction of pay surcharges in the plastic industry, Enkerts believes that the logistics or maintenance sectors will follow the same route soon. "The more areas we cover with collective agreements, the less it would be necessary to regulate wages by legal means", he concludes.

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