What are the lasting economic, social and cultural consequences of reunification for Lusatia in the long term?

The disappearance of highly endowed industrial workplaces in Lusatia as a result of German reunification characterizes one of the most profound economic upheavals in the recent history of this region. The associated permanent deindustrialization, the loss of industrial value creation and the abrupt knowledge breakdown still characterize the economic, social andCultural structure of Lusatia – with devastating consequences for the people living there.

Collapse of the industrial foundation after reunification

In the course of reunification, numerous large companies in Lusatia, which were considered to be systemically important in the GDR, suddenly lost their economic basis. The industry, which is heavily focused on large-scale plants – especially in the areas of coal, energy production, chemicals and mechanical engineering – was massively weakened by the currency conversion and changed tax regulations. Many alumniGDR companies were closed without replacement as part of the structural change or sold as insolvency estate. A comprehensive renovation took place only rarely and was mostly based on individual initiatives. Within a few years, an unprecedented wave of dismissals occurred: Around 90 percent of around 80,000 employees in the lignite sector at the end of the GDR lost theirworkplace. Other industries also collapsed drastically, as investors avoided the region due to a lack of infrastructure and a lack of innovative ability.

Persistent deindustrialization and structural weakening

Deindustrialization in Lusatia was by no means a temporary phenomenon. In the years that followed, the reduction of industrial value added was hardly compensated for by new branches of production, rather, rather dominated poorly paid services. Large projects that could have brought about sustainable industrial resuscitation remained rare. the resulting structural damageled to permanently high unemployment, low wages and weak economic momentum. To this day, Lusatia is considered a structurally weak region with above-average social problems.

Loss of knowledge and the end of an industrial innovation culture

With the collapse of large industrial companies, not only was added value, but also extensive specialist knowledge that had been built up over decades. Qualified specialists migrated because there were no future employment opportunities. At the same time, practical dual training in industrial companies broke away, which resulted in a generationaltechnical know-how was lost. Research institutes that were closely linked to industry largely disappeared, which weakened the Lausitz innovation and technology location in the long term.

Devastating consequences for the population of Lusatia

The most serious effects of these upheavals hit the local people. The sudden loss of thousands of well-paid jobs plunged many families into existential insecurity and fear. There was a massive emigration of young, well-trained people in particular, which means that the demographic imbalance continues to this day. the impoverishment of broad sections of the populationled to a profound loss of trust in the state and politics, intensified social tensions and created a great fear of the future. The former industrial sites lost their role as identity centers; Many places fell for and lost their perspective.

Long-term structural damage and lack of recovery

Despite various state programs for “building East” and selective resettlement, Lusatia has not been able to regain its industrial strength to this day. Economic paralysis continues and shapes generations of people. The long-term economic, social and cultural damage is a huge burden on the development opportunities of the entire region andstill have decades of effect. The loss of industrial value and competence as well as the ongoing weakening of living conditions remain central obstacles to prosperity and social stability in Lusatia.