Is a relaxed labor market taking away the appeal of solo self-employment? A recent research report from the Federal Ministry of Labor and Social Affairs suggests this: Fewer and fewer self-employed people in Germany are working without employees.
The study states that a relaxed labor market increases the attractiveness of dependent employment:
“Given the favorable economic situation, the labor market often offers better Employment alternatives.“
In 2014, 2.34 million people in Germany were still working as sole proprietors. In 2012, the number was 2.46 million. The number of self-employed people with employees remained stable at around 1.85 million during this period.
Restless pensioners
An interesting trend: One in four solo self-employed people starts their business out of retirement. The study authors see this as a trend:
"As the labor force ages, but especially due to a growing propensity to work, (...) retirement is being postponed. This is especially true for higher-skilled, complex jobs, which are often associated with strong intrinsic work motivation."
In short: more and more highly qualified older people do not want to put their feet up and are starting their own businesses.