Independent News reports that public servants are threatening to take legal action against the Government Employees Medical Scheme (Gems) for increasing its membership contributions by 4.25%.
The Public Servants Association (PSA) said it vigorously canvassed Gems and the Council for Medical Schemes not to effect any increases, taking into account the current economic situation, but its attempts were unsuccessful. Last month, Gems announced it would increase contributions for its flagship options, Tanzanite One and Emerald Value, following a decision by its board of directors and approval by the Council for Medical Schemes (CMS. ”The PSA is strongly considering legal action to force Gems/CMS to reconsider the increase in membership fees, especially during a pandemic and the fragile economic climate members are facing,” the union said. Earlier this month, the Federation of Unions of SA (Fedusa) expressed its disappointment with Gems’ decision to increase the annual membership contribution fees. The federation demanded that the members of its affiliates not be overburdened with more fee increases and called on Gems to follow other medical aid providers which had frozen increases. The PSA also wants public servants to be allowed to join other open schemes and for the government to pay the same subsidy as it does in respect of Gems members. Gems, which has over 1.9 million beneficiaries and 740,000 principal members, defended the contribution increases, saying they were to ensure its long-term financial sustainability and access to quality health care to weather any storm, including Covid-19, in the coming years.
- Read the full original of the report in the above regard by Loyiso Sidimba at Independent News
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