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SADTU Statement On The Outcomes of the interim report of Section 59 inquiry investigating racism allegations against medical aid schemes

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SADTU Statement On The Outcomes of the interim report of Section 59 inquiry investigating racism allegations against medical aid schemes

SADTU Statement On The Outcomes of the interim report of Section 59 inquiry investigating racism allegations against medical aid schemes

21st January 2021

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The Joint Mandating Committee (JMC) of the public sector trade unions (DENOSA, POPCRU, NEHAWU, PAWUSA, SADTU, SAEPU, and SAMATU) organised under COSATU, representing the vast majority of workers in the public service note with great dismay the findings of an investigation into the racial discriminatory conduct of medical aid schemes against black health care providers in South Africa. 

It is very disheartening to understand that among those medical schemes who were investigated is the Government Employee Medical Scheme (GEMS) and the adverse findings revealed that there were massive scales of racial discriminatory practices engaged by Medscheme with 330%, followed by GEMS at 80% and Discovery at 35% to identify black providers as guilty of Fraud, Waste, and Abuse (FWA).

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We note that there was a systematic modus operandi to blatantly discriminate against black people while at the same time the majority of users are black. GEMS as a government initiative whose mandate is to ‘provide all members with equitable access to affordable and comprehensive healthcare’ has massively failed its constituencies and its custodianship. Through an act of racial discrimination against black health providers it has betrayed the principle of equitable access in that the majority of funders are blacks.

Furthermore, captured in the founding objectives of GEMS is the principle of ‘driving transformation in the healthcare industry, and GEMS has purposely abandoned its transformation mandate by deliberately and knowingly engaging in these atrocious practices of racial profiling. By South African standards, this is an unforgivable practice especially given the punitive realities of apartheid discrimination.

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As trade unions that are in the frontline of fighting against any form of discrimination, we view this horrendous act against black health practitioners as an economic sabotage against the working class as they were deprived services that could have been rendered by these discriminated black professionals. The irony is that even to this end GEMS has increased its subscriptions while the government has not paid their contributions as agreed since 2015 that the employer shall pay according to the medical price index on an annual basis. This is unacceptable and will not be left unchallenged. We demand that the government pay the employer contributions within fourteen days and failure to honour the contract obligation will be met with the might of the workers who will shut all government services until the contributions are paid. The JMC doesn’t need a meeting with the employer, it need contracts agreed upon to be honoured. It is irresponsible of the employer to undermine the collective agreements and yet expect workers to honour their portion of the contributions. How will the workers pay their annual contributions when the salary increase due to them weren’t paid by the 1st April 2020?

We strongly feel that it is outrageous and criminal that public servants continue to pay those who were privileged by apartheid in this day and era. It is of course not surprising that racism is alive and getting emboldened in our country because the government is at the mercy of the rich and powerful. The economy will never be transformed if the government is allowing the laws of this country to be undermined and be selectively applied. It is not surprising to see the Curros of this world defy the National Coronavirus Command Council (NCCC) because the politicians and top officials of our government have no faith in the public services and continue to favour private sector.  The story of GEMS and the other medical aid schemes is an indictment to the government.

We reject racism and we will fight against it with everything we have. We are committed to fight for the transformation in the medical aid schemes and will wait for the final report which will give us the guidance on appropriate steps to take moving forward.   

We want to commend the bravery shown by those black healthcare providers who came forward. We assure them our unwavering support.  Furthermore, we call on the board and the management of GEMS to account for these unforgivable acts given the history of this country.

 

Issued by SADTU

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