SPD threatens to block German cabinet decision on nursing care reform over benefit cuts

Tim Klüssendorf, SPD General Secretary Source: Kay Nietfeld/dpa

SPD General Secretary Tim Klüssendorf has announced that his party will not accept any cuts to nursing care benefits. Instead, he is calling for a cap on care costs.

The SPD is reportedly threatening to block the cabinet decision on nursing care reform scheduled for Wednesday. According to a report by the ARD Capital Studio on Friday, the party wants to renegotiate before giving its approval. "We will not accept any cuts to nursing care benefits," SPD General Secretary Tim Klüssendorf stated in a press release.

Klüssendorf added that the current proposals under discussion threaten "massive cuts" for caregivers, those in need of care, and their families. Instead, the SPD wants to limit the out-of-pocket costs for care recipients. "We want to prevent people and their families from being financially overwhelmed by care costs," he said, referring to the cap on care costs demanded by his party.

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Saarland's Minister President and SPD Deputy Chair Anke Rehlinger proposed in early September a monthly cap of €1,500 on care-related out-of-pocket costs in nursing homes. Klüssendorf also called for a system in which everyone contributes, or at least a "fair financial balance" between private and statutory long-term care insurance.

According to the ARD Capital Studio, further talks are planned for Monday. However, a quick agreement is not expected within the SPD. Federal Health Minister Carsten Linnemann (CDU) had announced his intention to have his draft law approved by the cabinet on Wednesday.

What Is the Nursing Care Reform About?

The nursing care reform currently under discussion aims to cover the expected billion-euro deficit in the long-term care insurance fund for 2027 and to avoid general contribution increases. "We spend around €74 billion a year on long-term care insurance, and we need to save €8 billion next year. That alone shows the scale of the challenge," Linnemann said.

Linnemann has only been in office since the end of July. His predecessor, Nina Warken (CDU), had submitted a draft that included spending brakes and additional revenue, which met with widespread criticism. Her goal was to avoid general contribution increases, but a slight increase in the care contribution for childless individuals to 4.3 percent was considered. The draft also proposed restrictions on the free co-insurance of spouses, and stricter requirements for classification into care levels.

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According to the draft, savings were to be made on the staggered subsidies for nursing home residents, which reduce their out-of-pocket costs. In the future, higher subsidies would only be paid after a longer stay in the home than before. Warken had also aimed to cut pension contribution payments for family caregivers. However, Linnemann had already announced that he would try to avoid this.

SPD health politician Pantazis acknowledged that the long-term care insurance system is under significant financial and structural pressure. "There is no question that we need to act," he said. "But people will only support changes in the long term if they can trust that the burdens are distributed fairly."

Beyond the current project, Linnemann is planning a more comprehensive nursing care reform and has announced the establishment of an expert commission. "Our care system, as it is currently organized, is not fit for the future," the CDU politician recently told the Frankfurter Allgemeine Zeitung. If it is not fundamentally restructured, it will collapse in the 2030s. He therefore intends to set up a "structural commission." "The goal is to have a structural nursing care reform next year based on their proposals."

Sources: AFP, dpa