Diakonie president Rüdiger Schuch responded to the latest figures on the financial situation of the German free welfare sector with sharp criticism of the federal government.
“You have to pay for the social work you ask for” Schuch told the Redaktionsnetzwerk Deutschland, adding that wage increases and inflation cannot be “vanished” through higher efficiency. “In the end, the needy people pay the price when services are cut”.
A study by the Federal Association of Free Welfare Providers (BAGFW) shows that more than 80 % of facilities run by the AWO, the Paritätischer Wohlfahrtsverband, Diakonie and other providers expect to reduce or shut down their social services. Already one‑fifth of these institutions have had to stop offering services because of financial pressure.
Schuch called the BAGFW survey’s findings alarming. The affected organisations are now forced to tighten the pencil where it hurts most: “in helping people”. He warned again about the consequences of cutting social spending, arguing that “saving on social services is the most expensive form of fiscal consolidation, because the societal costs of a divided society are priceless”.
According to Schuch, the government has lost touch with reality. “With roughly 34 000 service offerings and ten million contacts per year, we Diakonie often detect problems earlier than any ministry” he said. In his view, economics in welfare care differs from industry: “Every euro the state invests does not flow into shareholder returns but goes directly to people in need, thereby supporting social cohesion and democracy”.