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Deutsche Bahn CEO Warns of Service Cuts as Unions Call for His Dismissal

Without rail-charge reform or extra state funding Deutsche Bahn will have to reduce services due to looming financing shortfalls

Overview

  • Richard Lutz has warned that investment plans exceeding €100 billion through 2029 still leave funding gaps from 2027 that will force route reductions without rail-charge reform or additional subsidies.
  • The train drivers’ union GDL demanded Lutz’s dismissal, arguing he lacks the turnaround expertise needed to resolve Deutsche Bahn’s structural crisis.
  • Coalition partners in the CDU/CSUSPD government have pledged to overhaul Deutsche Bahn’s supervisory board and executive team to bolster specialist knowledge and streamline governance.
  • Lutz acknowledged he should have earlier highlighted the insufficiency of rail budget allocations even as he reports improved cost control and accelerated modernization of signal boxes in the first half of the year.
  • Despite better economic performance, Germany’s rail network continues to grapple with outdated infrastructure and punctuality rates stuck below 65 percent.