Question 4 Discussion:

In the calculation of benefits due to reduced absenteeism/deaths, we have not taken into account

• the productivity loss due to premature retirement is included in the insurance estimate of R 200 000;
• the impact of debility on actual productivity at the workplace;

• the value of obviated side impacts (morale, labour disruption, etc).

In the calculation of the medical costs, we have not taken into account costs for AIDS patients when their medical aid cap is reached. Even though 50% falls on the patient, the 50% carried by employers is quite a lot given the high expenses demanded by AIDS treatment. This is therefore a gross underestimate.

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