More and more companies are turning their backs on Germany. A heat pump manufacturer from Denmark is following the trend. The closure affects 530 jobs.
Wahlstedt – Grundfos, a pump manufacturer from Denmark, wants to withdraw from Germany. According to media reports, the Danes specifically want to close the location in Wahlstedt in Schleswig-Holstein. Within the next three years, at least that's the plan, production will gradually move to Denmark, Hungary and Serbia and be concentrated there. The stated goal: to ensure the long-term competitiveness of Grundfos' products and solutions.
Grundfos plans to withdraw from Germany – over 500 jobs affected
In total, this closure affects around 530 jobs. Apparently the heat pump manufacturer can no longer operate profitably in Germany due to high energy prices. According to
T-online,
there is no confirmation of this information; Grundfos had
not yet responded to
Ippen.Media
's request by publication. “We are completely surprised by the irresponsible decision of the Danish management,” the
Lübecker Nachrichten
quoted Stephanie Schmoliner, managing director of the IG Metall Kiel-Neumünster union, as saying about the news.
Ulrich Lüthje, CDU, deputy mayor of Wahlstedt, was equally surprised. “I am shocked – also because of the high number of employees who will be affected by this,” the
NDR
quoted the politician as saying. The city of Wahlstedt as a whole would also be affected; 25 percent of industrial jobs would be lost - and Grundfos is also an important trade tax payer. “This will and must then be taken into account in the city’s budget.”
What does Grundfos do?
Grundfos has existed since 1945. The Danish company specializes in making water more accessible to all segments of the population and increasing energy efficiency. Grundfos operates in four areas: commercial buildings, residential buildings, industry and water use. The Danes offer a whole range of solutions especially for one- and two-family households. This starts with domestic hot water circulation, from groundwater extraction to heating and pressure increase to rainwater use and wastewater.
The “Residential Building Services” division is intended to offer home residents the “most attractive” options for a sustainable home and a comfortable life. According to its own statement, Grundfos provides the “world’s most energy-efficient pumps and solutions” for residential buildings.
The affected employees should receive support from Grundfos, said managing director Bent Jensen. “We are aware that the plan means a significant cut for our colleagues, the city of Wahlstedt and the entire region.” The company will “do everything” to help the employees and support them in the best possible way.
Companies are withdrawing – is that “de-industrialization”?
Grundfos is by no means alone in making this decision. Over the last few months, a number of companies have withdrawn from Germany. This had reached such proportions that leading figures within the economy were already talking about de-industrialization. “It is no longer a question of
whether
, but only of
how
and
how quickly
,” said Harald Müller, managing director of the Bonn Business Academy (BWA), in the specialist magazine
produktion.de
.
In the automotive industry, for example, Continental, Michelin, ZF Friedrichshafen and VW had cut jobs, revealed plans to cut costs or closed entire locations. In other sectors, traditional companies such as Miele and Stihl have announced that they want to relocate at least some of their production abroad.