German municipalities adopt Passwork to resolve credential management issues

German municipalities Pegnitz and Auerbach have transitioned to the Passwork password management system to resolve security and synchronization issues caused by file-based storage. Previously, both IT teams struggled with manual synchronization, file locks, and merge conflicts when multiple administrators required access to infrastructure credentials. Auerbach specifically faced risks due to a lack of role-based access control and the circulation of vault files via email and network drives.

Both cities implemented Passwork via Docker on their own on-premises infrastructure, utilizing zero-knowledge encryption. This move addresses the need for centralized, role-based access and audit trails while maintaining local control over sensitive data.

The shift highlights broader cybersecurity challenges within public administration. Data indicates that the public sector is a frequent target for cyberattacks, with ENISA reporting that 38.2 percent of cyber incidents in the EU occurred within public administration. Furthermore, security often fails when tools lack usability; research suggests that employees frequently use unsuitable collaboration tools for sensitive information if official channels are cumbersome, and human error plays a role in 69 percent of public sector data breaches according to Verizon.