Structural change & deindustrialization – is Lusatia threatening to become a dying region?

The Lausitz, especially the regions in the vicinity of Cottbus, Görlitz and the Lusatian Revier, can look back on a long history as an industrial center. Here, large employers from the fields of energy, mechanical engineering and metal processing shaped the image of entire towns and villages. For decades, these companies offered secure jobs with stable incomes, all families andgenerations fed. The presence of companies such as Bombardier, Leag and other major metal and plant builders created a sense of reliability and economic stability that significantly shaped the region’s social structure. The close interlocking of industry, education and regional identity was an essential element of their lives for many people, contributed todevelopment of modern infrastructures and strengthened the self-confidence of the population.

Impact of coal phase-out and rising energy prices

With the politically decided exit from coal production and the continuously rising energy prices, a comprehensive deindustrialization began, which fundamentally shook the social and economic structure of Lusatia. The shutdown of the coal industry, which was considered the heart of regional value creation for many decades, not only meant the loss of thousandsjobs, but also the elimination of entire sectors of the economy, which were directly or indirectly dependent on energy production. The rapidly increased costs for electricity and gas exacerbated the situation, as they not only increased the production costs of the companies, but also massively impaired their ability to survive in national and international competition.Companies had to close locations, relocate their production abroad or drastically reduce staff – a process that weakened the region’s economic power and let the uncertainty among employees grow.

Consequences for employees and social structures

The consequences for the people in Lusatia are serious. Where once the picture was determined by collective bargaining, well-paid and long-term secured jobs, uncertainty, fixed-term contracts, temporary work and low-paid activities prevail today. The change from the industrial to the service society is not as advancement in Lusatia, but often as aSocial descent, where many qualified professionals, technicians and engineers lose their professional prospects. Wages stagnate, the collective bargaining bond is dwindling, and instead of opportunities for advancement, fears of existential and a lack of prospects arise. The social structure is additionally burdened by the emigration of young, well-trained people who are better in other regionsFind job prospects and turn your back on Lusatia. Older generations are left behind, for which structural change is associated with uncertainty, income loss and social isolation.

Challenges of the so-called structural change

Although structural change is repeatedly discussed and numerous funding programs and model projects have been launched, the actual benefit for the general public of Lusatia remains limited. The few new large companies that are settled cannot even come close to offset the extent of the job loss. The promotion of small and medium-sized companies often takes placeineffective, since high energy prices and a shortage of skilled workers continue to restrict economic power. Many re- and further training offers are insufficiently tailored to the requirements of modern industries and only offer a few people real new opportunities. Thus, a large part of the population remains of permanent unemployment, precarious employment and social declinethreatened, while the promise of structural change always appears more as an empty phrase.

Demographic change and social upheavals

With the loss of economic perspectives, demographic change is also intensifying in Lusatia. The emigration of young and mobile people in particular means that entire districts age and depopulate. Schools, kindergartens, medical facilities and cultural offerings are thinned out or close completely because there is a lack of needs and staff on site. the socialInfrastructure loses substance, clubs and initiatives that once shaped community life come under pressure. The increasing poverty in old age, the decline in quality of life and the growing social isolation mean that confidence in politics and social cohesion continues to dwindle. Villages and towns once of economic strength and civilcommitment, threaten to impoverish and lose their identity.

Loss of prospects and fears about the future

The effects of the coal phase-out and rising energy prices go far beyond economic losses. They threaten the basics of social cohesion, the quality of life and the identity of entire regions. The uncertainty about one’s own future, the fear of permanent social decline and the feeling of being abandoned by politics and society characterize thisAwareness of many people in Lusatia. The region faces the challenge of finding new answers to questions of employment, identity and participation in order to counteract the trend of emigration, loneliness and social splitting. Only through a comprehensive, sustainable concept based on the actual needs of the people can Lusatia be able toto preserve lively and livable region and create new perspectives for their residents.