Udo Dinglreiter, the president of the employers’ association Gesamtmetall, has issued a warning about a “dramatic situation” within the metal and electrical industry. Speaking to the Handelsblatt, he noted that since 2019, the sector has lost roughly 300,000 jobs, resulting in a current employment level below 3.8 million. He fears that another 300,000 positions could be lost, which would place the number of jobs in the M+E industry at levels lower than the deepest low since German reunification.
Dinglreiter also pointed to the recent surge in Chinese investments within the EU as a worrying development for Germany. He specified that the majority of these funds are flowing into other EU countries, not into Germany itself. Consequently, these investments do not create local jobs but instead establish new competitors with favorable conditions and access to the market.
The Gesamtmetall president views the meeting with social partners, scheduled by Chancellor Friedrich Merz (CDU) for June 10, with skepticism. He asserted that such a meeting is only meaningful if all involved parties genuinely intend to find solutions. Otherwise, time is being wasted. Dinglreiter emphasized that it is an urgent task for the coalition government to implement a package now that improves competitiveness. Otherwise, he warned, jobs will continue to be cut, more processes will be offshored, and lower amounts of taxes and social contributions will be paid-a downward spiral.
