The burden of new laws is driving the economy. The latest project is the supply chain law. According to the metal and electrical industry, this is not the right time.
Stuttgart (dpa / lsw) - The head of the employers' association Südwestmetall, Joachim Schulz, has called for the supply chain law to be suspended for at least two years. "2023 will be difficult and we don't know what to expect in 2024," Schulz told the German Press Agency. Some detailed regulations would have to be fundamentally reconsidered. From January, the law will initially only affect larger companies, but indirectly all medium-sized companies will be affected because larger companies ask their suppliers about supply chains. The law aims to improve the protection of human rights in global supply chains.
Schulz said the regulation would lead to a great deal of additional work for companies. "This is in addition to the large number of existing editions." If you have to look at the entire supply chain at home and abroad, it becomes very difficult. "If you have to change suppliers because of possible violations, it's not that easy for many companies. Many small and medium-sized companies have no purchasing power."
At the same time, the Südwestmetall boss called for a consistent reduction in bureaucracy in Germany. "Just as companies are used to optimizing, the state must also do the same with its laws and regulations. Less is more." The industry would be happy if Baden-Württemberg became the driving force behind the reduction in bureaucracy. "Green-Black should initiate a nationwide discussion on the subject and lead the way themselves." Too few laws would be abolished in Germany. "The results achieved so far in reducing bureaucracy leave a lot to be desired."
