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Call for action to corporate South Africa

06 July 2011 | Healthcare | General | Board of Healthcare Funders (BHF)

It is time for corporate South Africa to step up to the plate and get involved with solving the nation's healthcare problems. This was the message from speakers in the session hosted by Old Mutual Corporate entitled Roll Call - The Role of corporate SA in Healthcare Funding at the Board of Healthcare Funders (BHF) Southern African Conference, currently underway at Sun City.

The session was facilitated by Craig Aitchison, MD of OMAC Actuaries and Consultants, who pointed out that 84% of the South African public is dependent on the public sector for their healthcare needs. What is particularly worrying is that this figure has remained fairly constant since 1998.

Aitchison called for employers to play their part in three distinct ways: by continued funding; by supporting private medical schemes and by supporting the effective implementation of the proposed National Health Initiative. He was encouraged by corporate South Africa’s current contribution to healthcare initiatives, and urged businesses in South Africa to continue to build on these successes.

Thakane Setsabi, Enterprise Risk Actuary for Old Mutual Corporate, painted a trend among employers, who are moving the risk to the employees. Old Mutual Actuaries and consultant’s research has shown that 47% of employers do not provide Post Retirement Medical Aid (PRMA) subsidies and those that do, are very selective about which employees are eligible. The majority of PRMA subsidies do not provide wellness programmes. The issue of low subsidies is also a problem, with many pensioners being forced to resign from schemes they can no longer afford.

Dr Brian Chicksen, VP – Safety for Anglo Gold Ashanti, presented a case study focusing on AngloGold Ashanti’s Obuasi Malaria Control Programme in Ghana. This project had the initial aim of reducing the incidence of Malaria at its Obuasi operations and in the surrounding community by 50% in its first two years.

The programme encompasses the mine, the town and surrounding villages, with a start up cost of USD 1, 7 million (R12 million) and subsequent annual operating costs of USD 1,3 million (R9 million). The results have been inspiring, with a sustained reduction of malaria cases in excess of 70%, and recognised by several awards. More recently, it has formed the basis of a Global Fund initiative through the Ghana Country Coordinating Mechanism, rolling out the programme to 40 districts over the next 5 years.

The case study presents an example of how business can collaborate in partnership with society at large, contributing to a sustainable future.

Concluding the session was Len Deacon of Len Deacon and Associates, who focused his discussion on the implementation of NHI in South Africa.

He called on corporate South Africa to take an active role in participating in the government's 10 point plan. Deacon pointed out that NHI is number two on the plan, and that the other nine points should not be ignored.

For Deacon, the answer is for companies to take a systems approach and to clearly understand how the system works together. Each part of the plan is dependent on the other, and no single section can be taken in isolation.

Employers need to have a social compact with government, where strategic leadership and teamwork result in better health outcomes.

Corporate South Africa has a role to play in improved human resources planning, development and management of the healthcare system. They can, and should, work with government to revitalise infrastructure, accelerate the implementation of treatment plans for HIV Aids and TB. Corporate commitment will also strengthen research and development in the industry.

He concluded with a dire warning: To do nothing and not become actively involved, will result in a bleak future for the SA Corporate environment. We have no choice but to work together for a better healthcare system for us all.

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