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Fraser-Moleketi: Briefing on Governmental Employees Medical Scheme (23/10/2005)

23rd October 2005

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Date: 23/10/2005
Source: Department of Public Service and Administration
Title: Fraser-Moleketi: Briefing on Governmental Employees Medical Scheme


  Minister for Public Service and Administration: Press Briefing on GEMS preferred bidders

The Government Employees Medical Scheme (GEMS) was registered with effect from 1 January 2005. This momentous step has been informed by substantial bodies of research, sound data analyses and intense consideration by Cabinet. The progress that has been made during the implementation of GEMS is further evidence of government’s desire to apply unique and innovative measures to ensure that all our employees are awarded equitable access to their conditions of service in the public service.

As you are all aware, Cabinet has previously approved a process towards the restructuring of medical assistance for all public servants. The establishment of a restricted membership medical scheme forms part of this restructuring process. Through the establishment of GEMS the State, as employer, seeks to meet the specific objectives of:

* Equity;
* Efficiency;
* Accessibility;
* Quality; and
* Sound corporate governance.

The manner in which the employer has sought to meet these objectives has been one that is at all times sensitive to the public sector bargaining processes. The scheme’s management has used 2005 to establish the scheme’s operations so as to enable member enrolment from 1 January 2006. This work has taken place in accordance with the project plan approved by Cabinet in November 2004. The work has been directed by the interim Board of Trustees, consisting of officials from various departments and Chaired by Prof Levin, together with the scheme’s Principal Officer, Eugene Watson.

In considering the work performed this year, it is worth noting that substantial progress has been made in respect of establishing GEMS. Where many indicated that Government would not succeed, we have steadily proceeded on the desired course and achieved our key milestones. Some of the highlights in 2005 include Cabinet:

* Approving a preferred member enrolment strategy that sees the incremental enrolment of employees;
* Approving the cost and risk implications;
* Noting the implications of implementing GEMS in the developmental state.

Before introducing the matter you have all come to hear, it is worth reiterating some of the synergistic benefits which we have realised through the implementation of GEMS, namely:

* The fulfilment of government’s stated policy objectives regarding the restructuring of the medical assistance dispensation.
* The promotion of equitable access to comprehensive and affordable healthcare benefits by all public service employees and promotes greater access to this employee benefit by our lower income earners.
* The provision of a comprehensive HIV disease management programme for the benefit of employees and their families.
* Government setting an example to other employers by demonstrating that innovative medical benefits can be made available to all employees.

Finally, the procurement of services by GEMS represents a substantial part of the work that the team has had to perform in 2005 to prepare for the enrolment of members on 1 January 2006. The potential value of the contracts to be awarded to service providers and the high profile of the Scheme within the medical scheme environment clearly suggests that the procurement process will be subjected to intense scrutiny.

As the Minister responsible for, among other things, the policy on conditions of service in the public service, I have considered the progress reports and updates provided to me in respect of the procurement process that has been conducted by the Scheme. To those who have not been as successful, I ask that you lift your heads, learn from the experience and prepare for the further opportunities. To the successful bidders, I congratulate you! To public service employees, I trust you will enjoy the prospect of being a GEMS member in 2006!

Issued by: Department of Public Service and Administration
23 October 2005
 
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