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German Economist Advocates Cutting Public Holiday to Boost GDP

IW Director Michael Hüther's proposal to eliminate a holiday for economic gains faces strong opposition from political leaders, unions, and rival economists.

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Overview

  • Michael Hüther, head of the IW Köln, suggests abolishing a public holiday, estimating it could raise Germany's GDP by up to €8.6 billion annually.
  • Hüther cites the 1995 elimination of Buß- und Bettag as evidence that reducing holidays is feasible for economic benefits.
  • Marcel Fratzscher of DIW Berlin counters that addressing labor shortages requires increased migration and greater workforce participation by women, not fewer holidays.
  • Political figures, including SPD's Armand Zorn and Die Linke's Jörg Cezanne, reject the proposal, emphasizing the importance of holidays for worker well-being and productivity.
  • The debate highlights broader tensions between economic growth strategies and preserving cultural and labor traditions in Germany.