Fund debt has doctors turning clients away

More than half of doctors surveyed turn away injured South Africans dependent on the Compensation Fund because the fund owes them so much money.

Now the DA has called for the administration of the fund to be privatised, because the government, specifically the Department of Labour, is incapable of managing it.

DA MP Ian Ollis said yesterday a survey by the South African Medical Association (Gauteng), Qualicare in the Western Cape, the National Employers’ Association of South Africa and the Independent Practitioners’ Association Foundation found that 65% of doctors now turn away patients whose payment depends on the Compensation Fund.

The reason is because the Compensation Fund owes them on average R864000 each, with some amounts outstanding for a decade.

Ollis said the problem was too many of the fund’s staff were incompetent, and its computer systems do not work – issues a private service provider could easily solve.

DA MP Michael Bagraim, one of the country’s foremost labour lawyers, said families were torn apart by the fact that a breadwinner was, in practice, not compensated for losing his or her ability to earn a livelihood, despite the law.

A survey of people dependent on the fund showed 14% of claimants were turned away by state hospitals as it was impossible to get money they were owed by the fund.

Ollis pointed out the fund had billions at its disposal. The problem was the payout system, which depended on seven different processes, some of which were still done manually, meaning details of many cases got lost.

Ollis said he would now approach Labour Minister Mildred Oliphant to look at privatisation options in the interests of the vulnerable.

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