Overview
- The VFA estimates the 2024 compliance burden at roughly 1.5% of economic output and says the figure is conservatively based mainly on labor time.
- About €51 billion stems from general rules such as labor, tax and commercial requirements, while around €16 billion relates to sector‑specific regulation.
- Financial services face the most sector‑specific rules, the industrial sector’s burden totals about €2.5 billion, and average compliance costs in industry are roughly €1,400 per employee annually.
- In pharmaceuticals, one in five working hours goes to documentation and reporting, with per‑employee costs more than twelve times the industrial average and total costs nearly doubling since 2012 to almost €2.5 billion.
- The study, presented in Berlin at the Day of Innovative Health Economy and shared with dpa, argues that heavy paperwork depresses productivity and diverts funds from R&D and production, while streamlined, internationally compatible rules could improve Germany’s attractiveness.