DAX companies are under enormous pressure. Within a year, the largest listed companies lost around 30,000 jobs. This corresponds to a decrease of 0.9 percent. “The demand for employees is likely to continue to decline,” industry experts emphasize. Large severance programs are already underway, but these are not yet visible in the statistics. (faz: 15.08.25).
Export-dependent DAX companies under pressure
Many DAX companies are suffering from political tensions and high tariffs. This is not only causing a decline in sales and profits, but also in the number of jobs. According to an EY analysis, there will be a significant decline in the period from April to June 2025. The study is based on the financial figures of the 40 DAX members.
A total of 34 companies provided information on their number of employees. While 14 corporations reduced their workforce, 20 increased their number of employees. Nevertheless, the balance remains negative. Industrial corporations that are heavily dependent on global markets are particularly affected.
Winners in uncertain times
However, there are exceptions. Rheinmetall increased its workforce by almost 17 percent. The group is benefiting from the global arms boom, but also supplies civilian customers. MTU Aero Engines also saw strong growth. Its workforce increased by almost seven percent, mainly due to orders in the field of civil aircraft maintenance.
Companies such as Eon, Siemens Energy, Hannover Rück, and Deutsche Börse are also showing growth. These corporations are benefiting from stable markets and high demand for energy, financial services, and infrastructure projects.
New wave of severance payments
Nevertheless, these successes do not obscure the reality. According to EY, several large corporations are heading for drastic cuts. Many are offering severance payments in order to streamline their structures. “The decline in the number of employees will continue and even intensify,” explains Henrik Ahlers, managing director of EY. He emphasizes that industrial companies in particular need to downsize their administration and management.
The growing use of artificial intelligence is also changing the situation. Research and development are progressing faster, but the need for human labor is declining. Ahlers speaks of a test for Germany as a business location, as productivity and job losses are increasing at the same time.
The automotive industry in transition
The crisis is hitting the automotive industry particularly hard. With almost 636,000 employees worldwide, Volkswagen is one of the largest employers. However, in December 2024, the company announced a historic job-cutting program. The aim is a far-reaching reorganization that will also affect plants and suppliers.
Pressure is growing in the two key regions of the US and China. In the US, new car tariffs are slowing down business. In China, local manufacturers are overtaking because they are leaders in electric mobility, digital systems, and autonomous driving. As a result, the German automotive industry is losing its position in a market that was long considered secure.
Billion-dollar corporations at a crossroads
“We will see a reduction in production capacities, including plant closures and large-scale job cuts,” predicts Jan Brorhilker, Managing Partner at EY. For him, the current change marks a profound turning point.
It is not only well-known brands such as VW, BMW, Audi, Porsche, and Mercedes that are affected. Suppliers are also feeling the pinch. Continental, which is undergoing a corporate restructuring, has seen the sharpest decline in jobs on the EY list, with a drop of 7.6 percent. Bayer follows with a decline of 7.3 percent. At Volkswagen, the number of employees fell by 3.1 percent.
Conclusion: DAX companies facing profound change
The current analysis shows that DAX companies are cutting jobs on a massive scale. Individual winners such as Rheinmetall and MTU cannot compensate for the losses. Structural problems, global competition, and technological upheavals are putting pressure on employment. This is profoundly changing the core of German industry.