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German Industry Sheds 127,300 Jobs Amid Sales Rise
25 May
Summary
- German industrial employment declined by 127,300 jobs in Q1 2026.
- Industrial sales saw a 1.7% increase, the first rise in three years.
- The automotive sector is the hardest hit, losing 32,000 jobs recently.
German industrial companies reported a continued decrease in employment as of the first quarter of 2026. A total of 127,300 jobs were lost year-on-year, representing a 2.3% reduction. Since 2019, before the pandemic, the sector has seen a cumulative loss of 341,500 jobs, equating to one in seventeen industrial positions disappearing.
Despite these job losses, a recent study indicated a potential turning point for the industry. Industrial sales grew by 1.7% compared to the previous year, marking the first quarterly increase in approximately three years. This improvement was primarily driven by the metal industry.
However, most other sectors remain under pressure. The automotive industry has been particularly impacted, shedding around 125,800 jobs since 2019, with 32,000 of those losses occurring in the past year. Experts warn that overcapacity and weak domestic demand could lead to further job cuts and potential plant closures.
