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Unions warn of mass protests against GEMS 9.5% hike

Siphesihle Buthelezi|Published

Unions Cosatu and Fedusa are gearing up for mass protests against a steep 9.5% increase in GEMS medical aid contributions

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The Congress of South African Trade Unions (Cosatu) and the Federation of Unions of South Africa (Fedusa) have declared war on the Government Employees Medical Scheme (GEMS), warning of mass protest action that could paralyse the public service.

The labour federations are demanding an immediate reversal of a 9.5% medical aid contribution hike, which they say is "devouring" the wages of civil servants already struggling under a punishing cost-of-living crisis.

In a joint statement issued this week, organized labour slammed GEMS for dismissing demands for transparency and affordability. The unions pointed out a glaring disparity in workers' finances: while public servants recently received a 4% salary adjustment, that gain has been effectively wiped out by the medical aid increase.

"Workers who had hoped for even the slightest relief are finding that what came in through one hand has been taken out through the other," the federations stated. "A 9.5% increase is not an ordinary administrative matter. It is a direct blow to workers’ income, their dignity, and their access to healthcare."

The fight against GEMS is reportedly becoming a litmus test for healthcare affordability across South Africa. Cosatu and Fedusa noted that the current trajectory is forcing families to either downgrade their coverage or drop out of private healthcare entirely as food, transport, and electricity costs continue to soar.

The unions have outlined several core demands to the scheme:

  • An immediate reversal of the 2026 hike.
  • Greater transparency regarding the basis for the increases.
  • Meaningful engagementwith organized labour.
  • An approach that acknowledges the crisis of affordability for households.

"Organised labour is consolidating its strength because public servants cannot be expected to carry a burden this severe in silence.While the federations expressed a preference for a "political, legal, and negotiated resolution," they were clear that their patience has run out. They warned that if GEMS refuses to "come to its senses," they are prepared to mobilise members for mass protest action."The current increase is excessive, unjust, and unsustainable," the statement read. "Workers cannot be pushed to the wall and then told to accept it as normal. Organized labour is ready to mobilize for mass protest action that will bring the public service to a standstill."

THE MERCURY