German market slump cuts workforce at Moda factory — 78 jobs lost, €192,000 loss
Moda reported a drop from 308 to 230 employees and a revenue decline after orders from its German partner fell to about 2,500 pieces per day.
The German market slowdown has directly hit a long-standing garment plant in Sveti Nikole: Moda reported a reduction of 78 employees during the first nine months of 2026 and a net loss of about €192,000.
According to the financial statement filed on the Macedonian Stock Exchange, the workforce fell from 308 in January to 230 in September — a drop of more than 25 percent. For workers who accepted voluntary redundancy, the company paid roughly €170,000 in severance.
Dependence on a single German partner
In its explanation of the results, the company said: "In 2026 the decline in demand from the main partner in Germany continued and it stands at around 2,500 pieces per day. In line with reduced orders, the number of workers was also reduced, so the total number of employees in September is 230 workers and is 78 workers fewer than in January 2026."
Financial indicators underline the difficulty: the loss increased by more than 54 percent compared with the same period last year, while sales revenue fell by about €850,000 — from €3.33 million to €2.48 million.
Out of a total 399,195 garments exported, 394,538 were destined for the German Casa Moda, meaning nearly 99 percent of the factory's shipments by piece-count depend on a single partner. Rising labour costs add pressure: the company reported that net wages rose 274 percent between 2014 and 2025, while service prices charged to foreign partners increased by roughly 50 percent.
Moda — a company with roots back to 1955, renamed in 1979 and sold in 1996 to CASA MODA Heinrich Katt — said that despite reducing operating costs by 15 percent it continues to run at a loss and warned of an uncertain future. The financial statement is signed by Angel Dimitrov, the company's executive director and the president of the Assembly of the Organization of Employers of Macedonia.
Production at the plant focuses on men's shirts, women's blouses and protective clothing; management says continued weak demand from Germany, rising wages and lost competitiveness relative to Far East producers jeopardize the company's survival.
Photo: press material from the event
