Gusswerke Leipzig: 7.5 million euros paid out for former employees!

Gusswerke Leipzig: 7.5 million euros paid out for former employees!

On October 31, 2025, the insolvency administrator Rüdiger Bauch reported on the distribution of around 7.5 million euros to former employees and creditors of Gusswerke Leipzig GmbH. The existence of these financial resources goes back to the exploitation of the property on Merseburger Straße in the Böhlitz-Ehrenweg district of Leipzig. A new business and industrial park was created here, which will help create new jobs.

Of the total amount, around 5 million euros relate to differential wage claims and claims from a social plan for around 400 employees who were affected during the 2019/2020 insolvency proceedings. Payments to employees were made both directly and via the Federal Employment Agency for transferred claims.

Context of bankruptcy

Gusswerke Leipzig's business operations were maintained for around a year after filing for insolvency in October 2019. Ultimately, however, the employees had to be laid off when business operations ceased. Rüdiger Bauch said that it was regrettable that the Leipzig Gusswerke and the associated jobs could not be maintained. A major obstacle was that potential Chinese interested parties were unable to travel to Germany in 2020 due to the corona pandemic.

For unsecured creditors, around 2.5 million euros are initially available as an advance payment. Insolvency administrator Bauch emphasized that all creditors must be treated equally, in accordance with legal regulations. The first distribution was approved by the bankruptcy court and the creditors' committee.

In summary, it can be seen that the insolvency of Gusswerke Leipzig not only put the employees in an uncertain situation, but also had far-reaching consequences for the creditors. Efforts to create new jobs on the former foundry site are at least a glimmer of hope for the region's future.