Engineering companies lost 11% of their turnover in 2020 as a result of the crisis

According to a study of the profession carried out with the social partners, the recovery will be slow and the return to normal will not take place before 2022. The engineers, who have made massive use of support measures to preserve employment, recall that their resources are key to economic recovery. Through Syntec-Ingénierie, their professional federation, they ask the public authorities for more flexibility and support in accessing training.

Activity down 11% for engineers

Engineering brings together 73.000 companies in France that provide high added value intellectual services to their public and private clients: design of buildings and structures, optimization of industrial chains, contribution to R&D, digital innovation, advice on adaptation to climate change… Present in all sectors of activity, they have been severely affected by the health crisis and have recorded losses of 11% in turnover. According to the study, this drop is primarily explained by the shutdown of projects during containment and the drop in order intake. This is particularly true for companies in the industrial sectors, particularly automotive and aeronautics. One year after the start of the crisis, 41% of them still report a drop in their order intake, according to a Syntec-Engineering barometer. Unsurprisingly, the Occitania region is among the most affected.

At the same time, 40% of engineers have suffered since September 2020 from longer payment terms, which range up to +60 days for 5% of them. A deteriorated situation which causes cash flow difficulties for more than 1/4 of the companies questioned.

Among the other difficulties encountered, companies point to the lack of visibility and the problems of work organization.

“With 17% of our employees working on the company site - ie less than one day per week per employee - our companies scrupulously respect the health protocol in force. We are fully mobilized to contain the pandemic. Our efforts are nevertheless not without consequences on the activity of our companies, the essence of which is to work as a team on collaborative and innovative projects. Distancing measures slow down the progress of the projects we are leading, not to mention that we also sometimes suffer from disorganization among our customers ”.

Pierre Verzat, president of Syntec-Ingénierie

Preserving jobs: an absolute priority for the economic recovery

The study underlines that despite the sharp declines in activity, companies are mobilizing to preserve their resources and be ready to restart. “The wealth of our companies lies in our employees. It is for our ideas, our gray matter that our customers call on us. The primary concern of engineers is therefore to preserve jobs. " explains Pierre Verzat.

Unsurprisingly, junior profiles appear to be the most at risk. The study indicates that young graduates enter the labor market in a much more competitive environment. On the other side of the board, seniors are weakened because they are perceived as less agile and less comfortable with new technologies. ICT engineer (that is to say technology consultancy, intervening a lot in the automotive and aeronautic industrial sectors) and project manager are identified among the professions most at risk.

To preserve employment, 45% of engineers have resorted to partial activity, 31% have applied for loans guaranteed by the State, and 23% are turning to aid for recruiting work-study students. On the training side, 1/4 of them have or will set up specific courses for their employees. With the objectives: to gain expertise in the trades and increase versatility at the same time as the base of skills.

If the support mechanisms have largely helped maintain employment so far, the study warns against the delayed effect of job losses. According to APEC Barometer data ^[1], job offers have already fallen by 32% during 2020. To this can be added the 15 jobs that were created each year before the crisis by engineering companies.

Engineers call for more flexibility and support in accessing training

Through their professional federation Syntec-Ingénierie, engineering companies nonetheless warn of the existence of rigidities in access to training, which could endanger the maintenance of employment in the long term. They call on the public authorities for more support, in particular for heavy training, but also for more flexibility. This particularly concerns the use of FNE-training: companies that have entered into negotiations on PES are no longer entitled to use it, despite the fact that they may be separate working entities. Syntec-Ingénierie recalls that each business situation is specific and that all situations should be taken into account.

“Beyond our profession, it is urgent to understand that the preservation of skills in engineering is a global economic issue. Engineering is upstream of all projects. It is our professionals who invent the works, buildings, infrastructures and industries of tomorrow. They support major climatic, energy or industrial transitions by designing new technological solutions. Losing our skills is putting the restart of our entire economy on the line. It is imperative to preserve the rebound capacities of companies, wherever possible. "

Pierre Verzat, president of Syntec-Ingénierie

^[1] Apec barometer of executive recruitment and mobility intentions - 1st quarter 2021