Crisis in Germany

Almost every second company plans to cut jobs

The German economy is facing a challenging year: according to a recent survey by the German Economic Institute (IW), four out of ten companies are planning to cut jobs in the coming year. Industry is particularly affected.

In view of the weakening economy, numerous German companies are planning to cut staff, according to a survey.

According to the survey, four out of ten German companies are planning to cut jobs in the coming year, according to an analysis by the Institute of the German Economy (IW), which is close to employers, as reported by the Handelsblatt newspaper on Wednesday. Industry is particularly affected. "The sustained increase in employment in Germany since 2005 has come to an end."

No signs of a turnaround yet
The reason for the gloomy outlook is the poor economy. As a result, 40 percent of the more than 2,000 companies surveyed expect business prospects to deteriorate next year. Only a fifth were confident about 2025.

The economists summed up by saying that "no signals for an economic turnaround in Germany can be derived from the survey". Germany is facing "another year of economic immobility".