Cabinet compensates pgb holders for higher employer costs

People receiving a personal budget (pgb) from their health insurer can receive compensation for higher employer costs via the Social Insurance Bank (SVB) over the next two years. Those not yet registered with the government get extra time to arrange this. The cabinet will amend the proposal to adjust the Home Service Regulation, which applies to pgb caregivers with contracts up to three days. Pgb holders paid via municipalities or care offices were already compensated under the new law.

Judgment by the Central Appeals Tribunal

In 2023, the Central Appeals Tribunal (CRvB) ruled that the Home Service Regulation (Rdah) leads to indirect discrimination and is therefore unlawful. According to the court, caregivers paid from a pgb have the same rights as all other employees, even if they work a maximum of three days per week. This means they receive continued payment when sick, benefits in case of unemployment or disability, and employer contributions must be paid for them.

Home Service Regulation Bill

The cabinet follows up on this court ruling with the Home Service Regulation bill. The bill ensures that pgb holders are supported and relieved as much as possible by the Social Insurance Bank (SVB). The SVB will pay premiums and wage tax on behalf of the pgb holder. In case of illness, they take over wage costs so the pgb holder can hire a new caregiver. An occupational health physician is also available via the SVB to assist with reintegration.

Pgb via the health insurer

People receiving a pgb through their health insurer can have their payroll administration handled by the SVB. Some already do this. They will receive support from the SVB regarding employer obligations. A method has also been found to compensate them for extra employer costs via the SVB.

The cabinet takes the concerns of the interest group and Parliament very seriously and has sought a solution accordingly. For those not yet registered with the government, the same option will be available. They must also have their payroll administration handled by the SVB. The bill’s entry into force for this group is postponed to a later date, giving them time to arrange this.

January 1, 2026

The bill has been in the House of Representatives since May and is set to take effect on January 1, 2026. Because the bill leads to significant changes in the SVB’s procedures, implementation began last year. This is common for major ICT changes. Care offices, municipalities, and health insurers have also adjusted their procedures. If the bill does not take effect on January 1, 2026, there will be major consequences for budget holders, caregivers, and implementing agencies. At the same time, treatment in both chambers before January 1 is unlikely. Therefore, the cabinet grants retroactive effect to the bill from the moment both chambers approve it back to January 1, 2026. This means that if the law is adopted after January 1, it will still take effect retroactively from January 1.