The German economy is sliding into recession, the crisis in the car industry is intensifying, one in five is worried about his job. The new year is awaited with deep concern
Response from Berlin
83% of German respondents see the German economy as bad or worsening according to the new Deutschlandtrend poll on behalf of public broadcaster ARD.
47% of respondents say they are pessimistic about the image of the German economy in 2025, while 45% consider the economy to be the most basic problem that the government must face. 21% of German respondents fear for their job. This translates into simple words: 1 in 5 out of a total of 46 million workers.
Negative OECD forecasts
In the meantime, the new disastrous forecasts of the OECD for the German economy are also causing concern. The combined figures for 2024 and 2025 ring another bell for Germany: Growth is hovering around 0.1% for 2024 and 0.7% for 2025, while 1.1% was forecast.
This is the fifth reduction in a row of OECD forecasts for the German economy. Reasons among others according to the report of the international organization: the bad financial image of Germany, the international geopolitical situation, the threat of protectionism.
New strikes from Monday at VW
Meanwhile, on Thursday afternoon the powerful IG-Metall union announced a new strike at Volkswagen factories next Monday. According to German media, 100,000 VW workers are expected to strike again, ahead of a new round of negotiations with employers on December 9.
At the heart of the strikes and upcoming negotiations are the contracts and wages of some 120,0000 workers at VW factories. According to the planned structural changes, at least three of the German giant’s factories on German soil are at risk of closure, which could lead to the dismissal of tens of thousands of workers.
So far, the employer side appears adamant about concessions, with the main argument being to save production and increase competitiveness.
Source: Skai
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