Saxony’s skilled trades face crisis as optimism plummets to 37%

From 49% optimism last fall to just 37% today—Saxony’s trades are in freefall. Can ‘New Work’ reforms and digital tools turn the tide before half the sector expects worse?

, and ASMedia

2025 November 6 . 1:13 PM

1 min read

In this image there are few people on the road in which some of them are standing at the bicycles,... — In this image there are few people on the road in which some of them are standing at the bicycles, a shop where there are few objects placed on the table, trees, tents, few banners attached to the shed, vehicles and the grass.

Saxony's Crafts in a Slump - 'dying quietly' - Saxony’s skilled trades face crisis as optimism plummets to 37%

A recent survey paints a bleak picture for Saxony's skilled trades sector. Only 37 percent of businesses consider their current situation favorable, a significant decline from last autumn when nearly half (49 percent) expressed optimism. Dwindling orders, stagnating investment, and high costs are putting immense pressure on the sector.

The Saxon Crafts Association attributes the downturn to dwindling orders, stagnating investment, and high levies. Private customers are holding back, further exacerbating the situation. The association calls for urgent action to alleviate the strain on businesses and break the current 'downward spiral'.

To address the skilled labor shortages and adapt to market changes, the association urges the Saxony government to implement measures based on modern work culture principles, or 'New Work'. This includes promoting cooperative leadership, increasing flexibility in working hours and locations, and enhancing agility. Additionally, they suggest increasing transparency and evidence-based management of contribution structures in craft chambers through digital tools to balance economic burdens and enable better planning.

Looking ahead, nearly half (44 percent) of businesses anticipate their situation to worsen in the coming months. While the association welcomes the 'construction turbo' initiative, it emphasizes the need for swift implementation of new rules to provide much-needed relief and boost confidence in the sector.