Auto industry warns of up to 225,000 job losses
Germany’s powerful auto lobby, the VDA, warned that the sector could shed as many as 225,000 jobs by 2035 — roughly 35,000 more than previous forecasts. VDA president Hildegard Müller said the biggest losses are already being felt by suppliers as the industry shifts from combustion engines to electric drivetrains. The final toll will depend heavily on EU and national policy: greater technology openness could save roughly 50,000 jobs, while planned restrictions on combustion engines could put another 50,000 positions at risk. Müller also cited higher taxes and levies, costly energy, rising labor costs and excessive bureaucracy as drivers of a “serious and persistent location crisis.”
Özdemir elected Baden-Württemberg premier
Cem Özdemir (Greens) has been elected minister-president of Baden-Württemberg, becoming the first state leader in Germany with Turkish heritage. He won the secret ballot in the Stuttgart parliament with 93 votes in favor, 26 against and four abstentions — above the 79 needed for a majority. Özdemir leads a coalition with the Christian Democrats (CDU); together the two parties hold 112 seats, though at least 19 coalition members did not back him. CDU leader Manuel Hagel, put forward as a rival by the AfD rather than his own party, received 34 votes. Coalition leaders downplayed the dissent, while opposition figures called it a weak start.
Coalition scraps €1,000 tax-free worker bonus plan
The federal coalition has abandoned plans for a one-off €1,000 tax-free bonus for workers after the measure failed in the Bundesrat. The proposal had been designed to ease pressure from rising prices linked to the war in Iran but faced opposition from employers and the states. Instead, Chancellor Friedrich Merz plans to convene labor and business representatives at the Chancellery in early June to work on broader reforms covering taxes, labor markets, pensions and cutting bureaucracy. The government also agreed to keep carbon pricing in a €55–€65 per ton corridor for next year and aims to finalize the 2027 budget without tapping reserves.
AfD leads poll ahead of Mecklenburg-Western Pomerania vote
A regional poll by Infratest dimap for NDR shows the far-right Alternative for Germany (AfD) leading in Mecklenburg-Western Pomerania with 36%, up one point since January. The Social Democrats (SPD) were at 27%, the Left Party 13%, and the CDU down to 10%. The Sahra Wagenknecht Alliance polled around 5%, near the parliamentary threshold, while the Greens and FDP trailed below the cutoff. Public satisfaction with the state government has declined: 38% said they were satisfied, 58% dissatisfied. The state election is scheduled for September 20.
Court rules Milka “shrinkflation” unlawful
A regional court in Bremen sided with consumer advocates and ruled that Mondelez’s decision to sell Milka bars reduced from 100 g to 90 g in largely unchanged packaging breaches competition law. Judges said packaging that conceals a product’s reduced size can mislead consumers; the ruling can still be appealed. A court spokesperson noted the decision has no immediate consequences for items already on sale but could influence future cases where consumers might be deceived by unchanged packaging for smaller quantities.
Zverev expected to play Hamburg despite recent illness
German tennis star Alexander Zverev is still expected to compete at the Hamburg Open (May 17–23) despite doubts after his last-16 exit in Rome. Organizers said no withdrawal had been submitted and that they were preparing for him to play in his hometown as a tune-up for Roland Garros. Zverev acknowledged he had been ill in Rome and said he wants to manage his schedule carefully this season to peak at the French Open. He also criticized the playing surface in Rome after losing a match in which he squandered match points.
Debate over Manuel Neuer’s possible World Cup return
Speculation about a return to the national team by goalkeeper Manuel Neuer has intensified internally, according to reports, even as Neuer and coach Julian Nagelsmann publicly downplay the idea. Neuer retired from international play after Euro 2024 but has enjoyed strong form with Bayern Munich, prompting debate about whether he might come back for the World Cup in the US, Canada and Mexico. A recall would complicate selection plans for other keepers such as Oliver Baumann and Marc-André ter Stegen, the latter of whom has been hampered by injuries.
What’s next
With automakers forecasting major structural job losses and political debates over reforms and worker support under way, Germany faces economic and political challenges ahead of regional elections. Coalitions at state and federal level will likely focus this spring on jobs, competitiveness and regulatory choices that could shape manufacturing and labor markets through the next decade.