Traditional company Menrad reports bankruptcy: 100 employees affected!

Traditional company Menrad reports bankruptcy: 100 employees affected!

In a regrettable turn for the eyewear industry, the traditional family company Menrad, based in Schwäbisch Gmünd, has filed for bankruptcy. The message was submitted to the Aalen District Court on March 31, 2025, and the consequences are serious: the headquarters are closed, and all 100 people employed there will receive their layoffs. This reports Fr. .

The reasons for bankruptcy are complex. Liquidity problems, declining order and sales developments have supplied a company that was founded in 1896 and supplied world brands such as Joop, Ted Baker and Scotch & Soda, that let water rise to the neck. Insolvency administrator Florian Zistler tried to renovate the company, but without success. The search for an investor who wanted to take over the company was also unsuccessful.

bad news for employees

On May 28, 2025, the employees were finally informed about the closure of the location. Especially in the eyewear industry, which has been highly competitive in recent years, it can be seen how bitter can be reality. Of the 100 dismissed employees, only 10 sales representatives have the opportunity to switch to other positions. However, a social plan is intended to try to alleviate the devastating consequences of the dismissals. And while Menrad employs around 250 employees worldwide, the news of the loss of 115 jobs at the headquarters weighs heavily.

This case is not isolated. The German economy has to struggle with an increase in bankruptcies: In 2024, 21,812 companies had to register bankruptcy, which means an increase of over 4,000 cases compared to the previous year. As a result, the insolvency numbers per 1,000 existing companies increase to 7-a fact that indicates the ongoing economic crisis and the challenges that affect many companies, such as ifm-bonn.org documented.

A traditional company fights for survival

Although the decision to close the headquarters has already been made, discussions are underway to maintain the Menrad brand. The hope is that the traditional brand does not completely disappear from the market and may get a new chance. This shows the tireless spirit of many in the industry that are looking for solutions despite adverse circumstances. But the challenges should not be underestimated, especially at a time when over 270,000 commercial companies and around 90,000 freelance activities were hired.

Menrad is another example of how dramatically the economic framework can develop. The story shows that even the best ideas and traditions sometimes have to fight against insurmountable hurdles. The region, which suffers from Menrad's bankruptcy, hopes for bright spots for the future of their economy, while many employees now have to look into the coming weeks.