Theater Plauen-Zwickau Faces Potential Bankruptcy, City Councils Divided on Savings Plan
Plauen & Zwickau, germany – The Theater Plauen-Zwickau is grappling with a severe financial crisis, facing projected deficits of €1.5 million for 2024, a further €1.6 million in 2025, and €1.2 million in 2026. While current financial reserves and emergency aid from the Free State of saxony,and also the cities of Plauen and Zwickau,can temporarily offset these losses,a long-term solution remains elusive,raising the specter of potential bankruptcy.
The financial strain stems from rising personnel, energy, and material costs, a situation city officials acknowledge was foreseeable. To address the crisis,both Plauen and Zwickau commissioned a savings plan from the Munich-based cultural consulting firm “Actori,” aiming to identify potential cuts while maintaining current funding levels.
However, the path forward is proving contentious. The Zwickau city council rejected the austerity package in October, opting to allow the theater management to independently determine savings measures - a decision welcomed by Theater Managing Director Sandra Kaiser. The Plauen city council, though, did approve a resolution based on the Actori plan, which proposes cutting 21 jobs, implementing an in-house collective bargaining agreement for staff, and generating revenue by renting out theater buildings during off-peak times.
“We now need to discuss how the two resolutions in Plauen and Zwickau will be implemented,” Kaiser stated to MDR KULTUR. “Both cities must now negotiate a solution.” She described the proposed job cuts as “severe,” noting they would impact employees already working overtime. “I don’t know how that can work,” she added, expressing concern about the theater’s future offerings. “It certainly won’t be affordable on that scale.”
Theater director Dirk Löschner echoed these concerns, explaining to MDR KULTUR that in-house collective bargaining agreements are typically temporary fixes. He also indicated that the 21 job cuts outlined in the Plauen resolution could be just the beginning, potentially rising to “45 to 55 jobs” in the future.
The diverging approaches of the two city councils highlight the challenges facing the Theater Plauen-Zwickau as it navigates a precarious financial situation. the future of the regional theater, a important cultural institution for both Plauen and zwickau, hinges on a unified solution and challenging decisions regarding its operational structure and workforce.