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More economic pain, job losses to come: minister

The German economy will need at least two more years to regain the strength it had before the global financial crisis struck, Economy Minister Rainer Brüderle said on Sunday.

More economic pain, job losses to come: minister
Photo: DPA

Data released on Friday showed that Germany, one of the world’s top exporters, was on its way to recovery after its worst recession in six decades, but Brüderle pulled no punches when describing the pain still ahead.

“2010 will not be an easy year. I fear that the number of unemployed people will rise significantly,” he told the Bild am Sonntag paper in an interview.

“To get back to the level of 2008, we will need at least two more years,” he said.

Buoyed by some €80 billion of cash injections from the state, the German economy expanded by 0.7 percent in the third quarter of this year, official statistics showed on Friday.

Berlin expects the economy to grow by 1.2 percent in 2010, following a historic contraction of five percent in 2009 as demand for goods made in Germany dried up around the crisis-hit world.

A report drawn up by influential economic advisors to the government on Friday was even more bullish, predicting growth of 1.6 percent in 2010.

On the vexed topic of car-maker Opel, Brüderle reiterated his position that parent company General Motors must pay for any restructuring after it refused to sell the troubled unit to Berlin’s favoured takeover bidder.

“It is the task of the parent company GM to overcome the problems at its Opel subsidiary. Parents must always deal fairly with their children,” he said.

It was his understanding “that GM would cough up the necessary funds for Opel itself,” he said, adding that if Germany’s regional governments wanted to contribute aid, “that is their free decision.”

GM believes it will need around €3 billion to turn Opel around, but a powerful German union boss said on Saturday it could cost more than twice that amount.

“I think that a restructuring involving a progressive strategy will cost more than €6 billion, or nearer €7 billion,” Armin Schild, an official at the IG Metall union told Wirtschaftswoche, a weekly magazine.

Berlin had provided a €1.5 billion bridging loan to keep Opel, and its 25,000 workers in Germany, in business, but Chancellor Angela Merkel has already made it clear that she wants her money back.

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WORKING IN GERMANY

Which Bavaria-based companies regularly hire English speakers?

Bavaria is no doubt a beautiful state with a strong economy, but can be a hard place for non-German speakers to integrate. The Local takes a look at job opportunities in Germany’s southeastern 'Free State.'

Which Bavaria-based companies regularly hire English speakers?

Munich ranks third in German cities with the highest total GDP, behind Berlin and Hamburg, but in terms of GDP per capita, it’s higher than both of them.

It also consistently ranks high, often highest, in terms of average household income.

As of 2023, nine of the 40 companies listed on DAX, Germany’s stock index, were based in Bavaria. Seven of those are based specifically in Munich.

While Frankfurt is commonly known to be Germany’s business capital, Munich can claim the title of Germany’s insurance capital, which is saying something, as Germany is home to some of the largest insurance firms in the world, like Allianz.

Beyond the state’s capital city, a number of international companies are based elsewhere in Bavaria, particularly in the Franken region, near Nuremberg.

Which companies actively hire English speakers?

Bavaria, and Munich in particular, is home to a number of companies at the forefront of international business. But the state is known for its traditional, sometimes conservative, culture, which affects its business culture as well.

Whereas companies embracing English as their primary business language are easy to find in Berlin, the practice is less common in the south. That said, there are some notable exceptions. 

Sportswear giants, Adidas and Puma, both have their headquarters near Nuremberg in Herzogenaurach, and regularly recruit English speaking international talent.

“As an international company, our teams reflect the rich diversity of our consumers and communities,” Jon Greenhalgh, Senior Manager Media Relations for Adidas told The Local. “Fostering a culture of inclusion where we value and leverage differences, ensures that we can authentically engage with our employees and truly connect with our consumers.”

He added that around 40 per cent of Adidas’ Germany-based employees are foreign nationals, from over 100 different countries.

Siemens and BMW rank among Bavaria’s top employers, and are also known to hire their fair share of foreigners.

“In Germany, we recently had around 2,000 open positions,” Konstanze Somborn told The Local on behalf of Siemens AG.

He added that Siemens operates in 190 countries. “That is why we value international teams very much…English as a common language is very usual.”

READ ALSO: ‘Which German companies want to hire foreigners?’

Similarly, BMW hires workers from a variety of backgrounds. 

“Every year, we hire lots of internationals and welcome them to the BMW Group,” Dr. Hans-Peter Ketterl, a press spokesman for BMW Group told The Local. 

But not all of these positions are available to non-German speakers.

Ketterl added that BMW’s working language is German in the country, even though, “English is an indispensable entry requirement as the second corporate language in many areas of the company.”

Check job boards and follow best practices

If it’s your first time applying for jobs in Germany, make sure to change your resume to the German format, even for English positions.

While Germany is home to its own job boards, like Xing, LinkedIn is probably the best place to start. In addition to searching for positions based in your preferred location, you can check relevant groups, like Munich Startups, to broaden your horizons.

The English Jobs in Germany website is also a good resource to start with. 

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