DRK Braunschweig/Salzgitter: Insolvency registered - future uncertain!

DRK Braunschweig/Salzgitter: Insolvency registered - future uncertain!

The German Red Cross (DRK) in the Braunschweig/Salzgitter region has filed for bankruptcy, a step that was noted on Wednesday. Despite the serious situation, it was emphasized that the business operations continued without restrictions under the supervision of a lawyer. The district court ordered bankruptcy in self -administration after a renovation concept was developed. Nico Seefeldt Kazazi, the board of the district association, was optimistic and sees good chances for sustainable renovation of the DRK.

The reasons for bankruptcy are complex. Economic burdens from Corona pandemic and the enormously increased energy costs after the Russian attack on Ukraine have significantly tightened the situation. However, a planned sale of a former nursing home that should have brought additional income was delayed. In the past, the DRK generated around 20 million euros in sales and operates numerous institutions, including advice and youth centers, care facilities, daycare centers and two rescue guards. It is particularly important that the salaries of around 450 employees are secured by bankruptcy money from the employment agency.

The critical situation in the health sector

This bankruptcy is a concern of a worrying development within the German healthcare system. According to reports from the German hospital company, the monthly deficit for all clinics amounts to around 500 million euros. Despite a planned hospital reform by the federal government, the financial situation of many hospitals is dramatic. At a DRK hospital conference, DRK President Gerda Hasselfeldt expressed her concerns that attempts at reform are not sufficient to cope with the crisis, on the contrary: Nine DRK hospitals have had to register bankruptcy in the past few months. Hasselfeldt warns of neglecting the DRK hospitals that play a central role in disaster protection and crisis management.

In addition, according to Health Minister Karl Lauterbach, clinic death in Germany is an issue that will accompany us for many years. Several hundred hospital closings can be expected over the next ten years. The trend is already alarming: Already between 2020 and 2024, 88 hospitals reported bankruptcy, which is a drastic increase compared to the years 2018 and 2019 when only 10 insolvents were registered. The situation illustrates the enormous challenges in front of which the clinics are facing. Most of the time, these are driven by rising prices for energy, medication and staff.

demands for reforms

The transformation in the German health system must be accelerated, the DRK district association demands. A targeted reform of the hospital landscape is necessary to ensure long -term stability. The DRK President appeals to the federal government to provide more support so that the institutions can continue to meet the requirements of the common good in the future. Measures such as a partial refinancing of tariff increases and the faster payment of hospital requirements are necessary to ensure the survival of the clinics.

In a time when the health sector faces such drastic challenges, the whereabouts of the DRK facilities is more important than ever. We all have to work on securing medical care in our regions and offering the best possible help.

For more information about the development of the bankruptcy of the DRK in Braunschweig/Salzgitter you can read ndr. For more about the hospital reform and their effects on the DRK hospitals, click on DRK. You can read information about the current situation in the German healthcare system at German Wirtschafts Nachrichten.