Roughly one in three German companies is considering cutting jobs in 2027 amid fears of a new economic downturn.
According to an October survey by the German Economic Institute (IW), 32% of companies are considering layoffs, while only one in six plans to expand its workforce.
Experts link the worsening economic outlook to the conflict over Iran, which has driven up energy prices, accelerated inflation and made borrowing more expensive.
Michael Grömling, head of economic research at the IW, warns that the recovery currently under way will be short-lived, and that German businesses have not shown this level of pessimism since 2005.
According to an October survey by the German Economic Institute (IW), 32% of companies are considering layoffs, while only one in six plans to expand its workforce.
Experts link the worsening economic outlook to the conflict over Iran, which has driven up energy prices, accelerated inflation and made borrowing more expensive.
Michael Grömling, head of economic research at the IW, warns that the recovery currently under way will be short-lived, and that German businesses have not shown this level of pessimism since 2005.