/ 23 August 2006

Solidarity accuses Unisa of gender discrimination

Women working for the University of South Africa (Unisa) will receive about 20% less in medical-benefit payouts on retirement than their male colleagues, trade union Solidarity said on Wednesday.

Jaco Kleynhans, spokesperson for Solidarity, accused Unisa of blatant gender discrimination.

”Unisa’s decision is apparently based on the assumption that women have fewer dependants and that they can therefore manage on less money,” Kleynhans said.

Unisa spokesperson Doreen Gough, however, said it was unlikely that all women will receive less.

”Single people with no dependants would probably receive a smaller payout, but it was unlikely that it would be based on gender,” she said.

Unisa members of Solidarity and its coalition partner, APSA, are angry about proposed changes that will include the scrapping of post-retirement medical benefits in exchange for a once-off cash payment to every member of the fund. According to the union, no consultation took place about the new option.

”On August 2 employees were formally informed of the offer by e-mail and were given until Wednesday August 23 to decide whether they would accept it,” Kleynhans said.

Gough said the employees were informed about the move at the beginning of the year and that up to 60% of employees had accepted the offer.

Unisa’s move was recommended by the auditing firm KPMG.

Gough said employees were given the option to take the cash payment, but when some unions complained Unisa offered to keep the payment aside until the matter could be resolved.

Kleynhans said the offer was phrased to create the impression that employees could ”accept the offer, or reject it and lose everything”.

”This caused panic and employees feel compelled to accept the offer out of fear that they may lose all medical benefits,” he said.

Gough said Unisa was following the example of most organisations that are phasing out post-retirement medical-aid funding.

”We offered the lump sump in the hope that members would invest it and use the gains once they reach retirement,” she said. — Sapa