Germany's oldest shoe company seeks revival amid bankruptcy
Carl Semler Schuhfabrik, the oldest German shoe factory, has declared bankruptcy. The company has been in operation since 1863 and currently manufactures in Germany and Hungary. Despite securing salaries, a reduction in employment is inevitable, reports Radio ZET.
Carl Semler Schuhfabrik, the oldest German shoe factory, has declared bankruptcy. The factory, which has been in operation since 1863, produces shoes in Germany and Hungary.
The oldest shoe factory in Germany is failing
As reported by Radio ZET, the factory currently employs 250 people at its facilities in Pirmasens and Pécs, Hungary. In recent years, the footwear industry has faced significant challenges, leading to the collapse of many companies. Carl Semler Schuhfabrik was one of the last still operating in the market.
Despite declaring bankruptcy, the company plans to continue its operations. Radio ZET, citing the portal polskiobserwator.de, reports that work will continue as usual and that the company is on a positive path to repay its debts. The reduction in employment is intended to help cut costs and stabilize finances.
Problems in the industry
WP Finanse reported that the company Sanita, known for shoe manufacturing, has declared bankruptcy. The application in this matter has already gone to court. The facility in Piła, belonging to the Danish group Sanita Footwear A/S, employed about 150 workers who lost their jobs overnight.
A day before Christmas Eve, approximately 150 employees of the Polish branch of the Danish clog producer were informed about the closure of the plant, although there had been no prior indications.
An email from the plant's management indicated that the Danish bank financing the parent company, Sanita Footwear A/S, decided to cease further support for the Sanita Footwear group in Denmark and Poland.
Sanita Footwear had been struggling financially for several years. In 2023, the company reported a sales loss of over $1.71 million CAD and a net loss exceeding $1.37 million CAD. To reduce costs, the company closed its flagship store and reduced employment in 2022.
