Towards a Sustainable and Structured Recovery

In 2025, the economic landscape shifted dramatically, with €2.3 billion allocated in compensation to cover back wages and severance pay for 212,000 employees, the majority—85%—working in companies with fewer than ten employees.

The year 2025 witnessed a significant contraction in economic activity, signaling a troubling trend characterized by a notable drop in housing starts and widespread job losses. These challenges particularly impacted very small businesses, fundamentally altering the business environment. The rise of political and regulatory instability further undermined the confidence of households and tradespeople alike, leading to a noticeable shift in behavior; many individuals and businesses opted to prioritize saving over investing. Consequently, the momentum in new housing construction, renovations, and even essential energy transition projects came to a standstill.

The data corroborates this decline further. In the third quarter of 2025, the revenue generated across the sector decreased by an alarming 6%. Moreover, new housing starts faced a staggering 16% decline year-on-year, reflecting the reduced willingness to take risks in such a tumultuous environment. Employment in salaried positions also saw a downward trend, declining by 4%, with very small businesses bearing the brunt of this loss. Additionally, apprenticeship contracts have become increasingly scarce; for the second consecutive year, numerous young individuals have been unable to secure positions needed for their training. This shortage is particularly alarming as it directly threatens the future viability of skilled trades within the region.

Compounding these challenges, the number of employing companies diminished by over 6%, despite an average wage increase of merely 1.6%. Small businesses continue to grapple with recruitment challenges, which together with their struggle to innovate, jeopardizes their growth potential. Notably, business failures—often silent and overlooked—predominantly impact organizations with fewer than ten employees, as well as self-employed individuals. Even long-established businesses have not escaped this wave of difficulties, highlighting the complexities involved in maintaining stable operations during these times.

Looking ahead to 2026, various measures are under consideration to stimulate recovery within the sector. Among the proposed strategies are energy-efficient renovations, improved access to public procurement processes, and an emphasis on training programs focused on business management and leadership. Additionally, fostering innovation within very small businesses has been identified as a priority, alongside the urgent need for an overhaul of waste management practices tailored to the specific needs of small enterprises in order to limit operational costs while promoting a sustainable recovery.

Despite the daunting challenges presented by this context, the sector remains a pivotal component of both the economy and social fabric. Craftspeople are widely regarded as key players in fostering territorial and economic stability, inherently capable of sustaining employment levels and enhancing local cohesion. The successful implementation of these upcoming measures could not only assist small construction businesses in navigating through the ongoing crisis but also pave the way for a stronger, more resilient future for young professionals and employees within the sector.

The Role of AI legalese decoder

In navigating this complex landscape, the AI legalese decoder stands out as a transformative tool aimed at simplifying the legal intricacies often associated with business operations and recovery strategies. For small businesses, leveraging such AI technology can prove invaluable. It aids in demystifying legal language, allowing entrepreneurs to understand their rights and responsibilities clearly during phases of restructuring or in seeking compensation.

Furthermore, as small businesses explore potential measures like training programs or energy-efficient renovations, the AI legalese decoder can facilitate comprehension of public procurement processes and regulations. By breaking down legal documents into accessible language, it empowers small business owners to make informed decisions without the burden of extensive legal knowledge. Thus, it not only enhances understanding but also encourages proactive engagement in recovery initiatives, enabling businesses to secure the support they need in their efforts to thrive.