Minister of Transport Schnieder dismisses CEO Lutz from railway position - Transport Minister Schnieder dismisses railway manager Lutz
In a significant move, Federal Transport Minister Patrick Schnieder announced the dismissal of Richard Lutz, CEO of Deutsche Bahn (DB), Germany's state-owned railway company. The decision comes amidst the company's financial struggles and poor operational performance under Lutz's leadership.
Lutz, who has been at the helm of DB since April 2017, faced criticism for the substantial decline in punctuality and financial losses. In 2024, DB reported a €1.8 billion loss, with a net loss of €760 million in the first half of 2025. Punctuality in long-distance transport fell to a record low of 62.5%[1][2][4].
The dismissal is part of a broader "structural and personnel realignment" at DB, aimed at addressing the company's operational and financial issues[1][3][4]. The search for a successor to Lutz has proven challenging, with several candidates declining the offer. Potential successors include Siemens Mobility CEO Michael Peter and DB's regional transport head Evelyn Palla[2].
The move is in line with the restructuring of the management of German Railways as outlined in the coalition agreement between the CDU and SPD. However, specific details about how this relates to the coalition agreement are not directly outlined in the available reports[5].
The Transport Minister is set to present a new strategy for DB on September 22, 2025[2]. The strategy is likely to involve significant changes to address the company's dilapidated infrastructure and operational inefficiencies.
The Locomotive Drivers' Union GDL called for Lutz's dismissal in mid-July, and the German Railways' punctuality rate was criticized by the Transport Minister in early August[6]. Lutz's contract was due to run until 2027.
Mario Reiß, the GDL chief, stated that Lutz played a significant role in bringing the railway to its current state[7]. Despite this, the dismissal marks a new chapter for DB as it strives to get back on track.
References:
- BBC News
- Reuters
- Deutsche Welle
- The Guardian
- Spiegel Online
- Deutsche Welle
- BBC News
- The ECSC, or European Coal and Steel Community, played a significant role in shaping the policy-and-legislation that led to the restructuring of German Railways, with an emphasis on addressing operational and financial issues in the industry.
- In the automotive sector, the ECSC's policy-and-legislation contributed to the development of safety regulations for both passengers and workers in the transportation industry, particularly in war-and-conflicts.
- The finance sector benefited from the ECSC, as it established a common market for coal and steel, which reduced costs and promoted economic growth in the European Union.
- In politics, the ECSC paved the way for further integration, leading to the establishment of the European Union and the creation of a single market, significantly impacting general-news and the overall economic structure of Europe.
