Job cuts hit Aids Levy purse

27 Mar, 2016 - 00:03 0 Views

The Sunday News

AIDS levy collections fell short by $3 million last year after more than 20 000 workers were axed following a Supreme Court ruling in July which saw a number of companies embarking on job cuts.

National Aids Council finance director Mr Albert Manenji said last year, his organisation collected $36,1 million against the budgeted $39 million because workers who were retrenched stopped contributing.

“We can no longer collect as much money as we were in the past,” he said.

Workers in Zimbabwe contribute three percent of their income towards the Aids Levy. Mr Manenji said a number of people were now in the informal sector hence the need to put mechanisms to ensure that NAC can collect the levy from the sector.

“We engaged them (informal sector) and the response was positive, they indicated that they are willing to assist so we are hoping further negotiations with them will see us getting money from this sector that is booming and we can plan our work and aid in treatment and care for those living with the HIV virus,” he said.

Asked on whether there were hopes of increasing taxing of the remaining workers, Mr Manenji said it was not ideal to increase Aids Levy as workers were already facing other challenges. NAC is supported by the Global Fund in its HIV and Aids programmes but the fund will soon stop and Zimbabwe has to support itself until another round of funds is availed.

NAC director of communications Ms Madeline Dube said the Global Fund will only assist existing programmes.

“Global Fund supports programmes that we are running, they do not start from the ground as such, they come in to fill in the gaps that we may have in funding and it is our hope that when they come for another round of funding we push through our projects,” she said.

According to Mr Manenji, NAC has some excess money that was surplus from previous programmes after there was a reduced cost of drugs which will be channelled towards the 2017 programmes. NAC spends approximately $8 million per month on first line treatment for those with HIV.

Health and Child Care Deputy Minister Aldrin Masiyiwa said last year his ministry applied for $750 million in the Treasury but was only given $330 million.

“We received $330 million and of that amount $280 million is for employment costs and we have just $50 million left for operating which is inadequate looking at the amount of work that we have,” he said.

 

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