Schwarz Group remains strong: 3.7 billion investment in Germany!

Schwarz Group remains strong: 3.7 billion investment in Germany!

In Germany, where the economic climate is currently anything but rosy, family businesses play a crucial role. Loud Mercury These companies employ an impressive 575,000 people and are essential for the stability of the country. But despite the downturn due to high taxes and rising production costs, it remains exciting to see how the economy will develop in the coming years.

The decisions of large companies such as the Schwarz Group, which is behind Lidl and Kaufland, are particularly noticeable. Despite the challenges, management is clearly committed to Germany as a location. Gerd Chrzanowski, the group's head, announced that around 3.7 billion euros will be invested in Germany in 2025 - an increase of 400 million euros compared to the previous year. Historically, the Schwarz Group has invested more than 30 billion euros in Germany since its founding in 1930, creating around 60,000 new jobs. This results in a total of 575,000 employees worldwide and annual sales of 167.2 billion euros for 2023/2024.

Growth despite challenges

The Schwarz Group will also show an economic upswing in 2024. In this financial year it achieved sales of 175.4 billion euros, which corresponds to growth of 4.9 percent compared to the previous year. In addition, around 20,000 new jobs were created, around 4,000 of which were filled in Germany. In comparison, Kaufland plans to lay off all employees at a German location in the near future, which is a blow to the German workforce. Black group therefore has a good knack for growing despite the adversities, while many other companies relocate their production steps abroad.

A study by EY also highlights the uncertainties in the economy. 45 percent of companies plan to open new locations abroad, while only a meager 13 percent want to set up new locations in Germany. And it's getting even more explosive: According to the study, 29 percent of companies are considering moving jobs from Germany abroad, which increases concerns about the domestic labor market. EY surveyed top managers, 63 percent of whom forecast job cuts in Germany.

Conclusion and outlook

In this area of ​​tension between traditional strength and necessary adjustments, family businesses in Germany must now set the course for the future. The belief in Germany as a location, as emphasized by Gerd Chrzanowski, is a positive sign, but the challenges should not be underestimated. It remains to be seen whether losses in other areas can be compensated for through investments and innovative approaches. One thing is certain: Germany's economic landscape will be subject to constant scrutiny in the coming years.