Growth package for the north: investments create perspectives!

Growth package for the north: investments create perspectives!

Laura Pooth, chairwoman of the German Trade Union Confederation (DGB) North, welcomed the growth package recently passed by the federal government as a decisive step. This package aims to strengthen Germany as a business location and promote the necessary investments. Pooth emphasizes that the economy urgently needs tailwind in order to invest in both a sustainable economy and the energy transition. The funds from the growth package must be used quickly, especially in the north, where the focus must be on infrastructure, renewable energies and public services nord.dgb.de reported.

A particularly important point that Pooth raises is the need for companies to invest in modernization rather than putting pressure on their workforces. Sustainable change requires not only good jobs, but also well-trained specialists and active participation.

Challenges of the business location

The growth package comes against the backdrop of complex challenges that are discussed in the federal government's 2024 annual economic report. These include the shortage of skilled workers, demographic change, as well as high energy prices and delayed digitalization. The report highlights the need to reduce bureaucracy and improve financing conditions for companies, something that is also reflected in the growth initiative. On July 17, the Federal Cabinet decided on a total of 49 economic policy measures to strengthen economic dynamism and competitiveness, such as bmwk.de reported.

A central goal of these measures is to address declining potential growth and demographic change. This creates incentives to take up work and extends the employment phase. In addition, measures to reduce energy costs, such as lowering electricity taxes, should be prioritized. Another aspect is the promotion of sectors such as housing construction and electromobility.

Importance of municipalities and collective agreements

Pooth emphasizes that municipalities must not be placed under any additional burden in this context. They are crucial for the quality of life of local people. This includes affordable housing as well as reliable public transport, intact schools and outdoor swimming pools. The DGB Nord also demands that the growth package must be tied to securing locations and the application of collective agreements.

There is criticism of the idea of ​​distributing funding programs as tax gifts. Pooth emphasizes that these should rather be linked to securing good jobs. Reports of real wage increases due to a decline in inflation also offer a positive outlook for the economic situation, although joint efforts are necessary to overcome the challenges together.