A small German manufacturer that once shifted production to Slovakia as part of its European expansion has exited the country, leaving more than 70 workers in Trenčín facing uncertainty.
LES Slovakia, the local arm of cable-harness producer LES Langen Electronic Systems, has entered bankruptcy after running into financial difficulties, according to Denník N. A Bratislava court began insolvency proceedings at the end of last year following a filing by the company itself.
The plant, opened around a decade ago, was meant to strengthen the group’s manufacturing base outside Germany. Instead, it has become the latest example of pressure on labour-intensive suppliers operating in central Europe.
People familiar with the sector say wiring-harness production has been steadily relocating from Europe to cheaper regions, squeezing margins for smaller producers. In Slovakia, rising labour and payroll costs have added to the strain, particularly for companies with limited scale.
Financial filings show that despite employing a stable workforce of just over 70 people, LES Slovakia saw its personnel costs rise sharply in its most recent reported year (from almost €1.4 million in 2023 to more than €1.5 million in 2024), while revenues remained below €2 million. The company ended the year in the red, continuing a pattern of weak profitability following losses during the pandemic.
LES Slovakia: profit and revenue (source: FinStat)
The full extent of the firm’s liabilities has not been made public, although state records indicate unpaid social security contributions. The court will now assess whether the company has enough assets to cover at least part of its obligations through liquidation.
The German parent group has not publicly explained why it decided to wind down its Slovak operation, nor how it plans to settle outstanding claims from employees and creditors, according to Denník N.
Founded in western Germany in the early 2000s, LES Langen Electronic Systems still operates production and sales facilities elsewhere in Germany.
