In a current press release, the BTE would like to put the proportionality of the current Corona aid paid to stationary textile, shoe and leather goods retailers in the right light: According to the Federal Ministry of Economics, stationary textile, shoe and leather goods retailers have so far had around 2, Received 42 billion euros in Corona aid (excluding short-time work benefits). The vast majority of this was paid out as part of the so-called bridging aid III. “At first glance, that’s a lot, but it actually only covers a fraction of the losses incurred,” reports BTE General Manager Rolf Pangels.
According to BTE calculations, the entire stationary outfit trade has lost around 15 billion euros in sales since March 2020 as a result of the prescribed business closures and other access restrictions (e.g. due to the 2G regulation). The state support payments compensated for only 16 percent of the loss of sales, 84 percent of the losses are borne by the companies, according to the BTE. Pangels: “An overcompensation for the damage caused, which is assumed by individual politicians and economists, is therefore absolutely unfounded!”
In fact, the opposite is the case. The state aid for the stationary fashion trade would not be enough. This was also due to the specific design of the bridging aid, which did not even take many costs into account. “It is therefore no wonder that according to a BTE survey last year, around half of all fashion, shoe and leather goods retailers ended up in the red,” says Pangels. “Thousands of stationary companies only survived because the owners liquidated their reserves and pension plans.”
According to BTE, the prescribed sales restrictions with the subsequent loss of sales could by no means be viewed by politicians as a normal business risk, because to date there has been no evidence of an increased risk of infection in the non-food trade that would have justified all the measures. Pangels is therefore calling for, among other things, a reduction in the 30 percent limit for applications for bridging aid. Pangels: “It is therefore only fair and just to adequately compensate the affected traders for their losses and not to fob them off with handouts.”