By Felix Cofie
Zoomlion Ghana Limited has responded to growing public criticism over its long-standing contract with the Youth Employment Agency (YEA), particularly in relation to the Youth in Sanitation Module and recent media reports alleging inadequate payments to beneficiaries.
In a press release dated April 30, the company addressed concerns circulating in the media and on social platforms, clarifying the terms of its partnership with the government and defending its role in managing sanitation workers across the country.
Background to the Contract
Zoomlion signed its first agreement under the Youth in Sanitation Module in 2006, then under the Ministry of Youth and Sports and the National Youth Employment Programme (now YEA). The module was designed to engage youth in nationwide public sanitation duties, with Zoomlion responsible for managing, training, and supervising the beneficiaries.
Clarifying the GHS 850 Payment Structure
One of the central issues raised by critics is the GHS 850 monthly allocation per beneficiary under the program. Zoomlion clarified that this amount is divided into two components:
• GHS 258 is paid directly to the youth as their monthly allowance.
• GHS 592 serves as a management fee covering logistics, Personal Protective Equipment (PPE), administrative services, training, and supervision.
The company emphasized that it has consistently advocated for an increase in the GHS 258 allowance, describing it as insufficient and not reflective of current economic realities.
Delayed Government Reimbursements
Zoomlion revealed that it is contractually required to pre-finance beneficiary payments, with the government expected to reimburse the funds quarterly. However, the company reports reimbursement delays spanning several months, significantly impacting its finances. These delays, it says, have prompted it to request interest payments to mitigate the loss in value due to inflation and other costs.
Zoomlion’s Broader Impact
According to the release, the sanitation module has contributed significantly to job creation and infrastructure development in the waste management sector. Highlights include:
• Establishment of 36 waste treatment facilities, including 18 material recovery plants.
• 6,000 core jobs, 30,000 jobs for tricycle riders, and over 200,000 indirect jobs along the sanitation value chain.
• Enhanced youth capacity through technical training and partnerships.
Commitment Despite Setbacks
Zoomlion stated that it has continued operations for more than a year without receiving government payments, driven by its commitment to environmental health and youth employment. It expressed willingness to support efforts to restructure or improve program efficiency, while reaffirming its partnership with the government.
In conclusion, Zoomlion thanked President John Dramani Mahama and the general public for their continued support, and reiterated its commitment to building a cleaner and greener Ghana.
