Depot Closes 66 More Stores in Germany: What It Means for You

Introduction

German home décor and decoration chain Depot has announced the closure of a further 66 stores across Germany, adding to a series of cutbacks since the company filed for insolvency in 2024. For expats who shop at Depot for affordable home accessories, or who work at one of the affected branches, this news has practical consequences. Affected cities include major expat hubs such as Berlin, Hamburg, and Stuttgart. Here is what you need to know.

Background: Why Is Depot in Insolvency?

Depot filed for what is known in Germany as 'Insolvenz in Eigenregie' — a self-administered insolvency procedure — in 2024. This is a process in which a company continues to operate under the supervision of a court-appointed administrator while attempting to restructure its debts and business model. It is broadly similar to Chapter 11 bankruptcy protection in the United States.

The retail sector in Germany has been under sustained pressure from rising costs, changing consumer habits, and increased competition from online retailers. Depot, which sells decorative items, furniture accessories, and seasonal goods, has struggled to remain profitable in this environment. The decision to close an additional 66 locations reflects the insolvency administrator's assessment that these branches are not viable.

Which Stores Are Closing and Who Is Affected?

The announced closures span stores in Berlin, Hamburg, Braunschweig, Stuttgart, Erfurt, and other cities across Germany. Employees at these branches face redundancy. In Germany, workers made redundant during insolvency proceedings are entitled to a period of wage protection through the Bundesagentur für Arbeit (Federal Employment Agency), known as 'Insolvenzgeld' — insolvency benefit — which covers up to three months of unpaid wages.

If you are a Depot employee affected by these closures, you should contact your local Jobcenter or the Bundesagentur für Arbeit immediately to understand your rights and file for Insolvenzgeld before the deadline, which is typically tied to the date insolvency proceedings formally open.

What Happens to Gift Cards and Pending Orders?

This is a common concern during retail insolvencies. In Germany, gift card holders and customers with outstanding orders become creditors in the insolvency process. In practice, this means recovery is not guaranteed and can be partial or zero depending on the company's remaining assets.

If you have a Depot gift card, the safest course of action is to attempt to use it as soon as possible at a store that is still open. For pending online orders that have been paid but not delivered, contact Depot's customer service and your bank or credit card provider to explore a chargeback option.

Frequently Asked Questions

I work at a Depot store that is closing. What are my rights?

Under German labour law, you are entitled to proper notice of redundancy according to your contract and the statutory notice periods. During insolvency, wages unpaid in the three months before the insolvency filing are covered by Insolvenzgeld from the Bundesagentur für Arbeit. Register as job-seeking (arbeitssuchend) at your local Jobcenter as soon as you receive notice, and do not wait until your last working day.

Can I still shop at Depot stores that remain open?

Yes, stores not included in the 66 closures continue to operate during the insolvency proceedings. However, given the ongoing uncertainty, exercise caution with large purchases or gift cards, as the company's future beyond the current restructuring is not guaranteed.

Conclusion and Next Steps

Depot's additional store closures are a reminder of the pressures facing German retail. If you are an employee at one of the closing branches, act immediately: contact the Bundesagentur für Arbeit, register as job-seeking, and get advice on your severance and Insolvenzgeld entitlements. If you are a shopper with gift cards, try to use them without delay. Keep an eye on official announcements from the insolvency administrator for updates on which stores remain open.

Source: Tagesschau