VDMA survey
Many mechanical engineering companies are on vacation during the lockdown
Many German mechanical engineering companies want to close their operations over the Christmas vacations in the coronavirus year. In a survey conducted by the industry association VDMA, 77% of the 809 participating companies stated that they had plans to do so.
On average, this is 15 days. For 35 percent of mechanical engineering companies, the shutdown is longer than usual.
"Overall, we are seeing a noticeable shift towards longer company vacations this year," VDMA President Karl Haeusgen told the German Press Agency. "Companies also want to make a contribution to flattening the infection curve. They are taking responsibility."
In the survey, 67% of mechanical engineering companies planning longer company vacations explicitly cited a reduction in the risk of infection as the reason. This was followed in second place by a lack of orders or lower utilization of production capacities (63%). Other reasons included supply chain disruptions, short-time working, reduction of remaining vacation or employee bonuses.
Multiple answers were possible.
However, some of the mechanical engineering companies (46%) excluded certain areas of work from the business interruption, for example controlling, accounting, service and sales as well as emergency services. The vast majority of companies (80 percent) have expanded the options for mobile working(Editor's tip!) or have plans to do so.
According to VDMA Chief Economist Ralph Wiechers, the economic consequences of the hard shutdown, which will initially apply from Wednesday until January 10, are "manageable" for mechanical engineering companies. This does not change the association's forecast, as slightly longer company vacations have been taken into account with a discount.
"It is important that industrial production in other European countries is maintained and that mechanical engineering companies in Germany can obtain the parts they need for their production," said Haeusgen. "So far, there are no signs that this could lead to major problems, as was the case in the spring."
Export-oriented German mechanical engineering companies recently forecast production growth of 4 percent for 2021. A decline of 14 percent is expected this year.










