The total number of companies in the northern town of Hamburg which are spending money on research is equivalent to the total spending of companies in Hungary, Bulgaria and Romania for the same purpose. German companies spent a total of 79.4 Billion Euro for Research and Development in 2012, compared to companies in France with a total of 46.6 Billion Euro spent. UK comes in 3rd place in Europe regarding R&D expenditures: UK companies spent in 2012 33.3 Billion Euro in this area. These figures alone spur us to have a closer look at the current German economy and its possibilities for HR.
Since the start in 2003 of the famous “Agenda 2010” of the socialist / the greens government under Chancellor Gerhard Schröder, many things have changed in Germany. Germany dropped its unemployment rate from 11% in 2003 with 4.5 Million of unemployed people to 7% in 2014 with under 3 Million of unemployed people. Thanks to its economic revival, Germany has more and more political influence on the international level when it comes to international meetings such as European Union summits, peace keeping missions; G8, G20 or WEF (World Economic Forum).
It seems that something which has at least not changed in the last 12 years is that Bayern München won the German Soccer championship in 2003 and if the sky doesn’t fall on Ribéry, Robben, Neuer and Co., it will become again the new German Soccer champion in 2015!
Germany is right now the most expanding and prosperous market in Europe, when countries such as Spain, Portugal and Italy are struggling with high unemployment rates and big debts, and France which got again more time, granted by the European Commission, regarding its reduction of its public deficit and debt equity ratio.
Let’s look at some figures about Germany at the beginning of 2015: with a population of 80.5 Million people, a number of 3.7 Million companies (99.6% of them are SMEs), Germany had in 2014 a per capita income of over 34.000 Euros and a GDP (Gross domestic product) of 1.9% in 2014 compared to 2013.
Germany has a notorious positive trade balance, e.g., alone in 2013 of almost 200 Billion Euro. The most interesting industries for HR activities are directly connected with this trade surplus: all sectors who are selling many and very often high tech products outside Germany – like the Automotive sector, the Machinery construction industry, the Electronic Industry, the Metal production, the Chemical industry and the Food production sector. These 6 sectors are responsible for more than two thirds of the exported goods. Especially these sectors, but also for instance the IT sector with nearly a Million employees in Germany, need highly qualified and trained people.
But it’s difficult to find and hire the right candidates in a country where the birthrate is declining. In fact, according to some statistics, France will have more inhabitants than Germany in 2050 if more immigration doesn’t take place in Germany. But still, Germany is rated one of the best business locations in the world according to Ernst & Young’s “European Attractiveness Survey 2014”. http://www.ey.com/GL/en/Issues/Business-environment/european-attractiveness-survey-2014-key-findings#.VPLq3_mG8Xs
So which impact for you? If you are a candidate wishing to work in an international and challenging surrounding inside a stable economy, do not hesitate to contact Alhambra International and send your CV in English. Alhambra is in contact with many High Tech and Manufacturing companies in Germany who are looking for Engineers, IT specialists, etc. Some positions required a fluent German level but it is not always mandatory.
If you are a foreign company, you could start thinking of investing at least time, probably money and people, so you can also participate from Germany’s expected steady economic growth in the next years. Alhambra International can help you in finding the right persons in Germany for the tasks of founding, developing or expanding a sales office or a subsidiary and for selling your products or services in the German speaking markets. As many successful entrepreneurs say: “When you have success in Germany, you will succeed in the rest of Europe, too.”
If you are a German company, thanks to the Alhambra European network of candidates, we could assist you to find the good profiles to strengthen your talent workforce and reinforce your leadership in your industry.
Our next event in Germany will be the Hannover CEBIT 2015 where we will meet our clients and business contacts. It’s also an opportunity to meet you!