Another application for insolvency at Galeria: 1,500 jobs in Baden-Württemberg at risk

After the Galeria department store chain filed for bankruptcy again, around 1,500 employees in Baden-Württemberg are worried about their jobs. Verdi regional director Maike Schollenberger said in Stuttgart: “The constant uncertainty is an unreasonable expectation for everyone. We expect serious information from Galeria instead of smoke and mirrors. And real involvement of employees and works councils.” The approximately 1,500 men and women in the remaining twelve branches in the country now have to fear for their future in insolvency proceedings for the fourth time.

The company announced in the morning that it had applied to the Düsseldorf District Court to open insolvency proceedings. Business operations in the 83 branches nationwide will continue for the time being. For Galeria, this is the fourth bankruptcy filing within six years, following 2020, 2022 and 2024. According to a spokesman, Schollenberger further said that hair-raising management errors were the reason for Galeria's repeated difficulties. “While the employees put in all their work every day despite the ongoing crisis, Galeria has delayed necessary investments.”

State Economics Minister Nicole Hoffmeister-Kraut (CDU) said that the department stores are important anchors for many inner cities. “We now need quick clarity and a viable perspective for the employees and the affected locations.” It is crucial that business operations continue to run and that everyone involved works constructively on solutions.

In July it was announced that five branches in the country were on a list of 33 locations nationwide that were to be examined for their profitability. Galeria wanted to negotiate conditions and space adjustments with the landlords. If no viable solutions are developed, the continuation of the respective branch would be at risk. According to information from the summer, the following branches in Baden-Württemberg are affected: Freiburg (Europaplatz), Heilbronn, Mannheim, Offenburg and Singen.

The crisis of the group, which emerged from the merger of Galeria Kaufhof and Karstadt, has not left its mark on the southwest in recent years. The closures included department stores in Esslingen, Göppingen, Heidelberg (Bismarckplatz), Leonberg, Mannheim (N7), Pforzheim, Reutlingen and in Stuttgart (Eberhardstrasse and Bad Cannstatt). Hundreds of jobs were lost as a result.