The German service sector union Verdi has strongly condemned plans by the Federal Ministry of Health to implement significant spending cuts across hospitals and statutory health insurance funds. Union leader Frank Werneke voiced grave concerns ahead of Wednesday’s cabinet meeting, warning that the proposed reduction of €1.8 billion will dramatically accelerate the ongoing closure of hospitals nationwide.
The situation is already precarious. Numerous departments and entire clinics are currently facing closure due to financial instability. Verdi argues that the Health Minister is actively pushing a brutal restructuring process, jeopardizing the overall security and accessibility of healthcare services. Critics suggest the cuts prioritize budgetary constraints over the essential provision of patient care, potentially leading to reduced access for vulnerable populations.
Beyond the hospital sector, the planned measures are also placing increased pressure on statutory health insurance funds. The government’s initiative to cap administrative expenses below 2024 levels is viewed as an unwarranted intervention in the operational autonomy of these funds. Verdi has labelled this as “effectively a savings program at the expense of employees” highlighting the significant proportion of administrative costs allocated to personnel expenditure and, crucially, legally mandated wage agreements. This limitation on operational budgets risks undermining the ability of health insurance funds to effectively administer benefits and maintain crucial services, prompting fears of compromised long-term sustainability and potential future increases in member contributions. The move underscores a growing debate regarding the government’s broader healthcare policy and its potential ramifications for both the workforce and the provision of public health services.