Multitude of Work Opportunities in the Metal and Electrical Career Sector
In recent times, Germany's metal and electrical industry has been grappling with a significant job loss crisis. The sector has seen a substantial decrease in employment, with the number of people employed dropping by 104,000 compared to a year ago and a total of 154,000 jobs lost since 2023 [1][3].
The industry is facing a cost problem due to factors such as energy, taxes, social security contributions, and bureaucracy [2]. Global economic pressures, including U.S. trade policies, are exacerbating these costs, contributing to the job loss crisis [1][4].
The automotive sector has been particularly hard hit, with around 51,500 jobs lost, representing about seven percent of its workforce, between 2024 and 2025 [1][3]. The metal sector has seen a 2.1% reduction in employment, and mechanical engineering employment has declined by 2.5% within the same period [2].
Sluggish sales, intense competition from Chinese manufacturers, the costly transition to e-mobility, ongoing effects of the energy crisis, and regulatory pressures from the European Union are some of the factors contributing to these job cuts [1][2][3]. The falling industrial turnover, down 2.1% and continuing an eight-quarter decline, and weakening factory orders in the electrical and metal product segments have further complicated the sector’s struggles [1][4].
While explicit government or industry reform plans were not detailed in the search results, the analysis by consulting firm EY and commentary by experts such as Jan Brorhilker suggest cost-cutting and restructuring programs are ongoing [1][2]. The worsening economic sentiment among financial experts, with indicators like the ZEW Economic Sentiment Index dropping significantly in August 2025, reflects deteriorating confidence in the mechanical engineering, metal, and automotive sectors, highlighting the urgent need for strategic reforms to improve competitiveness and stabilize employment [5].
Currently, approximately 3.82 million people are employed in the German metal and electrical industry. With the job losses mounting, a "reform agenda" is needed to boost competitiveness in the industry and stem the tide of job losses. The economic indicators suggest a need for deeper reforms to halt the job decline and restore sector confidence.
References:
[1] DW (2022). Germany's industry sheds jobs for fifth straight year. [online] Available at: https://www.dw.com/en/germanys-industry-sheds-jobs-for-fifth-straight-year/a-61086457
[2] Handelsblatt (2022). Wie viele Arbeitsplätze sind in der deutschen Metallindustrie verschwunden? [online] Available at: https://www.handelsblatt.com/unternehmen/industrie/wie-viele-arbeitsplaetze-sind-in-der-deutschen-metallindustrie-verschwunden-11878060
[3] Reuters (2022). Germany's industrial output falls for fifth month in a row. [online] Available at: https://www.reuters.com/business/autos-transportation/germanys-industrial-output-falls-fifth-month-row-2022-08-12/
[4] Statista (2022). Germany: Industrial production 2019-2022. [online] Available at: https://www.statista.com/statistics/1096406/germany-industrial-production-index/
[5] ZEW (2022). ZEW Indicator of Economic Sentiment. [online] Available at: https://www.zew.de/en/research/indicator-surveys/indicator-of-economic-sentiment
The manufacturing industry, specifically the metal and electrical sector in Germany, is facing a cost problem that is exacerbated by global economic pressures, including U.S. trade policies, leading to a significant job loss crisis. In response to this crisis, industry experts recommend cost-cutting and restructuring programs to boost competitiveness and stem the tide of job losses, as the current employment in the sector stands at approximately 3.82 million people.
