President calls for help from the federal government
Dittrich: Because of the construction collapse, the trades are threatened with a wave of layoffs
September 10, 2023, 11:20 a.m
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Roofers, tilers, electricians – all are needed when building a house. But they are at risk of running out of work if the construction industry continues to do so poorly, warns President Dittrich. Before the upcoming housing summit, he is putting pressure on and calling on more ministers to take part.
Crafts president Jörg Dittrich has warned of a collapse in the construction industry. “We are driving towards a wall at high speed during construction and the federal government simply cannot manage to put the brakes on,” Dittrich told “Bild am Sonntag”. Orders in the construction industry, especially in residential construction, have plummeted significantly in Germany.
The construction industry, with its 2.33 million employees, is a key industry for the skilled trades. “And this sector is currently in danger of collapsing completely,” said Dittrich. Projects that were decided and financed several years ago are still being processed. However, construction financing for future projects has collapsed massively. “If politicians don’t take countermeasures, this will be reflected in the reduction of capacities.”
Chancellor Olaf Scholz and Construction Minister Klara Geywitz have invited people to a housing summit on September 25th. Dittrich called for the participation of other ministers, especially Economics Minister Robert Habeck and Finance Minister Christian Lindner, so that “the right decisions can be made immediately.”
The funding programs decided so far are a “drop in the ocean”. “If the state were serious about supporting the construction industry, it would, for example, support house builders through KfW loans with a guaranteed interest rate,” the craft president told the newspaper.