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Home » He disclosed the reasons why GEMS is not paying
Business

He disclosed the reasons why GEMS is not paying

By staffApril 10, 20262 Mins Read
He disclosed the reasons why GEMS is not paying
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About 500 people a day are admitted to private hospitals in the country that are paid by the Government Employees Medical Scheme (GEMS). This was revealed by the Minister of Public Works and Administration, King Mzamo Buthelezi, answering questions from an EFF member in Parliament.

Buthelezi said that on the day GEMS welcomed 112 new members. He said it pays about R182 million every day and medical professionals are paid R27 million a day.

“During the day, GEMS pays private hospitals for 60 babies, born a day. They are born to people who have been circumcised, others have given birth themselves. There are 593 who are admitted to hospitals every day,” said Buthelezi.

He was explaining the challenges facing GEMS which has raised money due to rising costs. GEMS’ move to raise fees at the start of the year caused a stir, prompting trade unions to call for a reduction in fees. Negotiations are currently ongoing to try to reach an agreement as GEMS has complained about the increase in costs which is the reason for the increase in the fees paid by members.

Another thing that GEMS has complained about is the rampant corruption, as some members sleep with their relatives who are not part of GEMS, and then this fund has to pay.

Unions complain that GEMS is not willing to pay. Buthelezi in the answer, said that GEMS pays if it is in line with the health policy.

“If GEMS refuses to pay, it includes various things including using hospitals that are not part of the facilities paid by this fund. In some cases, permission was not obtained before the patient was admitted to the hospital.”

He said that in some cases there are incomplete details or other things that need to be paid that are not covered by this fund.

He also revealed that last year, GEMS paid R67 billion in expenses, while members paid R65 billion. He also mentioned that the owners of this fund are using R10 billion, to cover expenses so that the amount paid by the members will not be increased significantly. Buthelezi said that negotiations between the unions under the Cosatu and Fedusa coalition, regarding the increase in money, are ongoing.

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