GEMS defends medical aid contribution hike as unions set for nationwide protests
GEMS said it remains committed to engaging in constructive dialogue with unions who have planned mass protests over the medical scheme's contribution hike for this year.
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The Government Employees Medical Scheme (GEMS) says it is open to constructive engagement with labour unions, who have embarked on protest action over the scheme's medical aid contribution hike for 2026.
GEMS had initially proposed a 9.8% contribution hike for 2026 but later revised this to 9.5% after an outcry from unions.
Unions, however, have also rejected the 9.5% hike as being unjustifiable and have embarked on protest action. COSATU-affiliated unions argue that the sharp rise in medical aid contributions comes at a time when public servants are receiving far smaller salary adjustments.
GEMS said in a statement on Saturday that the increases are necessary to protect the scheme’s financial sustainability for the benefit of its members.
It added that the scheme’s Executive Management and other senior scheme officers are present to receive the memorandum and reaffirm our commitment to structured dialogue across all regions.
“As a scheme, we call for continued engagement and consultation with Organised Labour to find and implement solutions. We remain open and fully committed to constructive dialogue and will share information transparently so that we both work towards practical and sustainable solutions. We firmly believe that meaningful engagement is the most effective way to resolve concerns and strengthen trust,” said Dr Stan Moloabi, Principal Officer of GEMS.
We reiterate that “GEMS remains firmly committed to transparency, affordability and the long-term sustainability of the Scheme for the benefit of all its members. We value the continued partnership with our stakeholders and will continue to engage in good faith to ensure that decisions taken are responsible, balanced and in the best interests of members”, concluded Dr Moloabi.
Public sector unions have announced a two-pronged protest plan.
“Since all the engagements with GEMS failed to yield positive results, we have decided to act by mobilising members across the public service,” they said.
Lunch-hour demonstrations are scheduled for February 24 at GEMS offices across provinces, followed by a National Day of Action at the scheme’s head office in Pretoria on February 26.
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