The German Red Cross (DRK) is issuing a stark warning about its financial stability, demanding a more reliable system of cost compensation from the state. In an interview with the “Neue Osnabrücker Zeitung”, DRK Secretary General Christian Reuter highlighted a growing crisis point, asserting that escalating expenses – particularly concerning energy and personnel – have not been offset by corresponding increases in performance-based payments.
Reuter emphasized that alternative funding streams are becoming increasingly inadequate to bridge the gap, creating a critical imperative for state aid to accurately reflect rising costs and prioritize streamlined reimbursement processes, mirroring those in place within the care sector. He specifically called for a shift towards multi-year funding frameworks, citing the unpredictability of short-term commitments, particularly within programs like migration counselling, which severely hampers long-term planning and recruitment efforts.
The DRK’s concerns extend beyond immediate funding shortfalls. Reuter stressed the need to significantly reduce administrative burdens associated with delivering numerous services. As a non-profit organization with limited reserves, the DRK relies heavily on government support and donations to sustain its vital programs. He underscored the core principle of non-profit status – that any surpluses generated must be reinvested into services, structures and operational readiness – a principle jeopardized by the current precarious financial situation.
The organization has already taken drastic measures to cope with the mounting financial pressures, resulting in significant capacity reductions and facility mergers. While services often remain available, Reuter acknowledged a concerning decline in the number of people being reached, effectively diminishing the impact of DRK’s outreach.
Furthermore, Reuter advocates for a greater emphasis on the value of non-profit organizations in procurement processes and funding allocations. He expressed apprehension that the current competition-driven system risks driving down standards and compromising the ability of services to adequately address the needs of the population. Failing to prioritize non-profit expertise and social impact risks undermining the very foundation of vital humanitarian support within Germany. The DRK’s plea serves as a critical indicator of the broader challenges facing civil society organizations and the increasing strain on the social safety net.