Recouping costs of international recruitment: Refinancing Options for Healthcare Facilities

With the growing demand for nursing staff in Germany, many healthcare facilities are increasingly turning to recruiting nurses abroad. However, these efforts often come with substantial costs, including agency fees, language courses, and travel expenses. What many healthcare providers may not realize is that, under certain conditions, these expenses can be reimbursed. Through refinancing under Section 75 of the SGB XI, care facilities are able to reclaim a significant portion of these costs. In this blog, we explain who qualifies for reimbursement and outline the steps involved in the process.

Who is eligible?

Hospitals and care facilities licensed under the Fifth or Eleventh Social Code (SGB V or SGB XI) that recruit foreign nursing staff are eligible to refinance these costs through remuneration and payment agreements. This applies to both inpatient and outpatient care facilities that are required to provide medical or nursing services under their care contracts.

Why the Quality Seal is crucial for applying to refinancing options

The refinancing of recruitment costs under Section 75 SGB XI is only available to facilities that work with certified agencies that carry the “Faire Anwerbung Pflege Deutschland” quality seal (Gütesiegel). This seal guarantees that international nursing staff are recruited in accordance with clear, ethical guidelines. Institutions that take this route can ensure that their expenditure on recruiting specialist staff from abroad is not only reimbursed, but also recognized as a sustainable investment in the long term.

At CWC Recruitment, we are proud to be a quality seal holder and thereby committing to transparent, fair and ethical recruitment processes. By adhering to these high standards, healthcare employers can not only ensure that they attract top-notch professionals, but also maximize their chances of recovering certain recruitment costs. This approach makes it easier to overcome financial challenges while speeding up the process of integrating qualified nurses from abroad into the German labor market. The result is more efficient and stronger nursing teams that sustainably improve patient care.

What costs can be reimbursed?

Reimbursable costs include in particular

  • Language courses abroad and in Germany
  • Travel costs for nursing staff
  • Professional qualification measures in Germany
  • Costs for integration and mentoring
  • Recruitment management and recruitment costs

These costs must be documented by the care facility and included in the negotiations with the cost bearers (care insurance funds, social welfare agencies). It is particularly important that an employment contract is concluded before the healthcare worker arrives and that the costs for the necessary measures are covered.

How does the refinancing process work?

Refinancing takes place via remuneration agreements with the cost bearers. Facilities must provide evidence of the costs incurred in connection with the recruitment and integration of foreign nursing staff. This also includes prospective costs, i.e. expenses that will be incurred in the future. Retroactive reimbursements are generally not possible.

The refinancing process differs depending on the federal state. While in some federal states, such as Lower Saxony and Brandenburg, the recruitment costs are already taken into account in the negotiations, in other regions, such as Schleswig-Holstein, this is not yet the subject of discussion. Preparing actual cost documentation and referencing the previous “Faire Anwerbung Pflege Deutschland” quality seal can strengthen the case for reimbursement.

If no agreement is reached with the cost bearers, arbitration can be pursued under Section 76 SGB XI. In this case, the arbitration board sets the care rates, and the refinancing of recruitment costs can also be included in the negotiations.

Summary about refinancing recruitment costs:
  • Recruitment costs can be refinanced with proper quality evidence, such as by referencing the quality seal.
  • Remember that when entering negotiations involving care insurers, social providers, and directors, or managers, the issue of cost coverage should always be included on the agenda
  • Record the costs of recruiting and integrating foreign nursing staff at an early stage to be able to claim them in the remuneration negotiations
  • Negotiations can lead to varying outcomes depending on the specific circumstances, and in some cases, may require legal action that could ultimately result in a favorable outcome for the claimant seeking reimbursement.

Should you have any questions, please feel free to contact us at service@cwc-recruitment.com. We’ll be happy to provide you with accurate advice tailored to your specific situation.

Disclaimer: Please note that while we strive to provide accurate information based on official documentation and our team’s research, we are not responsible for any outdated or misleading information due to recent legislative changes. We recommend consulting official administrative authorities for the most up-to-date details on available refinancing options.

You can also refer to the latest letter from the German Health Ministry (Bundesministerium für Gesundheit) for more detailed information on the refinancing process and regulations.

 

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