At the beginning of the year, the announcement by the German company Draexlmaier that it would close its plant in Zrenjanin by 2026 came as a shock to many in Central Banat, signaling the loss of over 2,000 jobs. This decision presents a major challenge for both the local government and the National Employment Service.
After 17 years of operations in Zrenjanin, Draexlmaier explained that the closure was a result of a downturn in the European automotive industry and the company’s inability to secure new contracts. Despite extensive negotiations, the company was unable to secure follow-up orders. In late February, Draexlmaier’s regional director, Ralf Kapelle, confirmed the decision, stating that after thoroughly evaluating all available options, the company would close its Zrenjanin facility. The company also emphasized its commitment to its employees, stating that it would offer a social package in cooperation with unions. However, unions are still working to find ways to keep part of the workforce employed, but no concrete plans have yet been reached.
For many of the workers, particularly those from rural areas, the closure is a significant blow. Some households rely on Draexlmaier as both spouses work at the plant, and there are also single parents employed there. As the unions continue their negotiations, workers are anxiously waiting for official information. One anonymous employee shared that although rumors had circulated for some time about the potential closure, the official announcement has now brought clarity, but there is still uncertainty about the exact timing of layoffs.
The loss of Draexlmaier is a major setback for the city of Zrenjanin. The local government had worked hard to create favorable conditions for investors, but the global decline in the automotive industry is beyond their control. At its peak, Draexlmaier was one of the largest employers in the city, employing thousands of workers. City leaders have pledged to work closely with the company to ensure the closure process has as little negative impact on employees as possible. Additionally, the local government is focusing on attracting new investments and creating new job opportunities.
The National Employment Service in Zrenjanin has assured that it will provide various forms of support to the workers who will lose their jobs. These include mediation services, active labor market programs, and retraining opportunities to help workers find new employment or start their own businesses. The service is hopeful that many workers will find jobs in other local automotive companies, which operate in nearby industrial zones. However, unions have raised concerns about the difficulty of finding new employment, especially for older workers or those with limited qualifications.
The closure of Draexlmaier will also have a significant impact on the local economy. Ranka Savić, president of the Association of Free and Independent Trade Unions, noted that the loss of jobs will strain the local budget, reduce purchasing power, and put additional pressure on unemployment benefits. Additionally, Draexlmaier’s charitable contributions to the local community, such as donations, will cease with the company’s departure.
The union’s primary focus in the event of layoffs will be to ensure fair severance packages for employees and advocate for better compensation than initially planned. Furthermore, the union has called for the establishment of special social programs to support workers during the transition period. Many of the affected workers are dealing with personal debts and financial challenges, and the union has stepped in to offer assistance during this difficult time.
One Draexlmaier employee mentioned that while she and her colleagues are already considering new job opportunities, they are still waiting to see how the situation unfolds. There are also rumors that another employer might take over Draexlmaier’s plant, which has provided some hope for the workers.
The Zrenjanin city administration has clarified that the building where Draexlmaier operates is privately owned, meaning the city has no control over decisions regarding its future use. However, the local government remains committed to working with the National Employment Service to help the affected workers find new employment opportunities.
