About global supply chains, sweet idleness and stagnation
Interview by Fritz Floimayr in the REGAL industry magazine; Issue 01-2025
Thanks to its sophisticated value chain, Gourmetfein is considered one of the leading companies in meat processing. Nevertheless, the outlook for the industry is gloomy overall. The economic mood is characterized by uncertainty. Owner KR Fritz Floimayr with an assessment.
REGAL: Mr. Floimayr, you are known for always showing a positive attitude and not shying away from critical topics. What makes you optimistic about the future?
Floimayr: Above all, I try to have a realistic view of things. In recent decades, globalization and free trade have been promoted, which has temporarily ensured growing prosperity, but is now taking its toll. The European economy is often dependent on global supply chains and threatens to be crushed in trade wars. In addition, there are streams of refugees that we seem to be unable to cope with either economically or socially. And then there are the home-made problems: loss of education on the one hand, loss of motivation on the other. There are many people in the country who could go to work but simply do not want to. The contrast with other nations, in Eastern Europe as well as in Asia, where great progress is being made through education and diligence, is becoming more and more apparent.
That sounds like a rather pessimistic assessment. Is it really so bad for our country?
What is needed now is a sober and honest assessment: There are hundreds of thousands of jobs in the country that remain unfilled for months – and at the same time hundreds of thousands of people who cannot find work. The truth is that some simply have no interest in pursuing employment because it is now more convenient and lucrative to be maintained by the community.
What do you think the possible solutions look like?
Politicians are responsible for the framework conditions, they could and they should provide incentives. Those who want to build something on their own initiative, on the other hand, are downright punished. So the joy of small and medium-sized entrepreneurship is also lost, and that is clearly a failure of politics.
As an entrepreneur, how do you deal with the challenges of the labor shortage?
In our country, there is a high level of bond between companies and employees, which is generally more pronounced in rural areas and medium-sized companies than in the city and in anonymous large companies. This is also due to the attitude to work, people are grateful for the opportunity to develop and prove themselves professionally, they don’t want to lie in a hammock. We entrepreneurs, on the other hand, feel responsible for those people in our country who make an effort, there is a mutual trust and promise from which both sides benefit. But I’m afraid it’s only a matter of time before this attitude is lost in the countryside as well.
What do you think can be done to counteract this trend?
Let’s remember the values that have made this country great: discipline, performance and a certain pride in achieving something. This applies to school, but also to work. Prosperity is only achievable through good education and hard work. Today, “doing nothing” is celebrated as an achievement and state aid is given on a large scale without expecting anything in return. This is just as fatal as believing that electricity comes from the socket and is free. Only when we understand again that we can only make progress through effort and knowledge will things go up again for the economy. At the moment, I see hard years ahead of us, especially in competition with the Asian markets, until we are even close to being competitive again.
And what can we do to bring back companies that have left Austria partially or completely?
I would like to clear up a false image: Most companies migrate abroad, not because they want to, but because they have to. You only have the choice of finding another location or closing it. Because the production costs are too high, because we have far too many bureaucratic requirements and because they are therefore no longer competitive on the world market. If we want to stop their emigration or even motivate them to return, then this must change. I am convinced that the emigration is reversible.
Do you also repeatedly criticize the power of the large corporations?
That’s the other side of the coin: the greed that some people display. I have nothing against corporations in principle, but if their greed runs counter to the interests of the general population, then the state must intervene. We need regulation that steers the free market in the right direction. I plead for a form of ordoliberalism that sees the state as a guarantor of fair framework conditions – in contrast to unbridled neoliberalism.
What do you think is another failure of EU policy?
As mentioned in the introduction, we in Europe have become fatally dependent on global supply chains, even including essential goods such as medicines. Why didn’t we introduce tariffs and other import barriers earlier to strengthen our own production capacities and make us less dependent on imports? In times of crisis, it becomes clear how important it is not to be dependent on other countries that could deny us resources. In addition, small and medium-sized companies feel
often overlooked in the EU. Bureaucracy, the multitude of laws and regulations harm them – and it is hardly surprising that smaller companies give up, while large companies not only get out of hand, but are also showered with subsidies.
Final question: Do you think that the next government will tackle the pressing challenges and set the right course for the good of the country?
I am skeptical and optimistic, if you can put it that way. I hope that the key figures have now recognised the seriousness of the situation and come up with a programme that will strengthen the economy and motivate people to perform. We should judge them by their actions, not by their promises. But there must also be consequences if they again fail to set the right framework conditions. We can no longer afford to stand still.
Thank you very much for the interview.
SOURCE: REGAL Verlagsgesellschaft m.b.H., INTERVIEW: HERBERT SCHNEEWElß
