LÜDENSCHEID (AFP) – Auto industry jobs have long been the lifeblood of the German town of Luedenscheid but now, a trade union official said, the sector’s woes have sparked fears it will turn into an “open-air industrial museum”.
Insolvencies and layoffs have cast doubt on the town’s future prosperity, echoing wider anxieties in Europe’s biggest economy as it heads toward February 23 elections.
Politicians are scrambling for answers on how to turn around the export-led economy, long the envy of the world, which has shrunk for the past two years and faces strong headwinds from China and the United States (US).
In Luedenscheid, a town of 70,000 in Germany’s Ruhr industrial heartland, the mood is glum after autoparts-maker Gerhardi filed for bankruptcy in November, threatening its 1,500 employees with redundancy.
Another supplier, Kostal, which makes electronic components, has already relocated hundreds of jobs to eastern Europe, and the future is uncertain for those who remain.
