11 May 2018

New Caledonia employers oppose raising levy

5:19 pm on 11 May 2018

Employers in New Caledonia say they are opposed to raising contributions of salaried staff to help the public healthcare insurance scheme.

Centre Hospitalier Territorial Gaston-Bourret

Centre Hospitalier Territorial Gaston-Bourret Photo: Wikimedia Commons

The scheme, known as RUAMM, is struggling because it no longer collects enough money to cover the expenses, triggering a warning that by August it risks being insolvent.

Urgent measures are being called for amid claims that RUAMM's debt has ballooned to nearly $US250 million, which reportedly is preventing the main public hospital from settling all its debts with suppliers.

The Employers Federation said its members already paid 75 percent of the insurance costs of their staff and could not afford an increase.

Any increase would impinge on the profitability of the businesses, affect prices and employment, it said.