Calls for German Auto Transformation Fund
Economy / Finance

Calls for German Auto Transformation Fund

The announcement by automotive supplier Bosch regarding the planned reduction of 13,000 positions has prompted calls for increased support for the German automotive sector. Ines Schwerdtner, leader of the Left Party (Die Linke), voiced her concerns, stating the job cuts represent a significant blow to the industry and a source of anxiety for affected employees. She suggested that company leadership appears to have missed critical opportunities to manage the ongoing transformation within the sector.

Schwerdtner emphasized the responsibility of both the federal and state governments (specifically Baden-Württemberg) to protect employees facing uncertainty. She advocated for collaborative efforts, working alongside trade unions, to preserve existing jobs.

A key proposal put forward by Schwerdtner is the establishment of a transformation fund specifically for the automotive industry. However, she stipulated that any government funding provided should be contingent upon companies offering job guarantees and securing their production sites. This approach aims to ensure that financial assistance is directly linked to measures that safeguard employment and maintain industrial presence.