Speckknödel is one of the many German words that is made from two words: Speck and Knödel. The word Speck means “bacon” and Knödel means “dumpling“. The “ö” is kind of pronounced like the beginning syllable in the word “early”.
Bread dumplings are a common food accompaniment with other German meat and sauce dishes such as Rouladen, Gulash or Pork Knuckles. There are many variants of the bread dumpling, with the original being the Semmelknödel which means “rolls" and “dumpling“.
Place the breadcrumbs in a large bowl. Pour the milk over it, cover and let sit for 20-30 minutes or until softened.
Heat the butter in a frying pan and cook the bacon. Add onions after a couple mins and cook them just until transparent, do not brown them. Add the cooked onions and bacon to the bread mixture along with the eggs, parsley, salt, pepper and nutmeg. Knead the mixture together with your hands until very thoroughly combined, breaking up as many of the bread cubes as you can until it's a soft and chunky-smooth consistency. If the dough is too wet, add breadcrumbs (not flour).
Form knödel about the size of a tennis ball (they will expand slightly when cooked). Press the knödel between your palms to make sure they're nice and compact.
Bring a large, wide pot of lightly salted water to a very light simmer - not boiling - but just on the verge of boiling with tiny fizzy bubbles floating up. Carefully drop the knödel in the water and let them "steep" 15-20 minutes. Do not at any point let the water boil or you risk your knödel losing shape or falling apart. Carefully lift them out with a slotted spoon.
Serve them with a gravy or mushroom sauce, or serve them alongside a rouladen or pork knuckle to compliment the dish.
To freeze the knödel and use them later: let them cool completely, place them spread apart on a tray and freeze them, then transfer them to a freezer bag or container. To reheat, let them thaw and steam them or place in the microwave.