YEA, Zoomlion Lock Horn Over ‘Juicy’ Contract 

…Management Runs To YEA Board, Finance Ministry For Intervention

The Youth Employment Agency (YEA), headed by journalist turned politician, Kofi Baah Agyapong, has locked horn with Zoomlion Ghana Limited, following a proposal by YEA, to suspend its Management Services contract with the waste management company, a subsidiary of the Jospong Group of Companies.

A letter from the Chief Executive Officer (CEO) of YEA, sighted by The Anchor, addressed to the board chairperson, Mrs Anita Kusi Boateng, proposed the Agency pay the cleaners directly.

The letter said, the YEA, arrived at this decision after Zoomlion, failed to pay beneficiaries’ allowances for over one year, forcing some of these beneficiaries to agitate, amidst engaging in strike actions and picketing around regional and districts offices to demand payment of their outstanding allowances.

Interestingly, the Zoomlion Ltd, is said to have vehemently opposed the proposal to suspend the contract, upon expiration to allow YEA, take over payment of the allowances for the beneficiaries.

The issue, The Anchor, gathered has created a serious turf war between management of YEA and Zoonlion, with the latter fiercely pushing to have it way.

Insiders say, this issue has been one of the headaches of the young CEO at the Agency, since his appointment and at some point, considering to resign.

Agreement

The contract, signed in 2006, states that Zoomlion, manages cleaners and sweepers of all the Metropolitan, Municipal and District Assemblies (MMDAs) in the country.

YEA and the MMDAs, are required to employ these persons then hand them to Zoomlion to manage, but according to investigative journalist, Manasseh Awuni Azure, the two bodies, do not even know the total number of the people engaged.

Zoomlion, for years, has been making claims of 45, 000 individuals, which the government pays GH₵850, to the company for each, but the cleaners are entitled to a meagre GH₵250, while the company keeps GH₵600, as management fee.

It is unclear, why Zoomlion, is objecting to YEA paying the cleaners directly.

At a time both the MMDAs and YEA, cannot tell the actual number of cleaners in the books of the company, there is suspicion that Zoomlion, may have inflated the 45,000 number of the cleaners and hence does not want it to come to light.

It follows a proposed amendment of its Management Services Agreement with Zoomlion at a meeting under the auspices of the Board of the Agency on Wednesday May 29, 2024.

Following that meeting, YEA, two days later on May 31, sent a proposal to amend the agreement to Zoomlion, to either ascent to or reject it.

The proposed amended agreement, also served notice that after the expiration of the current contract, which was in six months, YEA, was going to take over the payment of the sweepers.

Rejection

But the company vehemently opposed to the suggestion by YEA at a meeting held on July 8, and 26, 2024.

“At the meeting held on 8th July, 2024 (in person) and 26th July, 2024 (virtual), Messers. Zoomlion Ghana Ltd, vehemently opposed the proposal for “the Agency to take over the payment of beneficiaries’ allowances upon the expiration of the six (6) months extension period” and strongly insisted that “the Agency renews the contract to enable them secure credit facilities from financial institutions before beneficiaries of the module will be paid their outstanding allowances”, part of a letter addressed to the board chair said.

For over a year, YEA disclosed Zoomlion, has not paid these workers who sweep the various streets.

This is what is said to have triggered some of the affected elderly men and women to come out to express disquiet about the situation.

They had among others, stormed media houses, strike actions and picketing at various offices of YEA at the district level. The letter to the board, therefore asked the MMDAs, to take over the cleaning of the streets until such further notice.

“Respectfully, it must be highlighted that Zoomlion has failed to pay beneficiaries’ allowances for over one (1) year resulting in some beneficiaries engaging in strike actions and picketing around some regional and district offices of the Agency to demand for their outstanding monthly allowances.

Pursuant to the above, Management humbly proposes that the module should be suspended forthwith for the various Metropolitan, Municipal and District Assemblies (MMDAs) to take over the cleaning of the streets till a clear direction on the module is sought”.

In conclusion, Management further proposed a meeting with the Ministry of Finance to find solutions on the way forward to resolve the outstanding beneficiaries’ allowances. Adding the board’s urgent attention is sought on the matter.

Meanwhile, Manasseh Azure Awuni, who has a longstanding issue with Zoomlion, over the mode of this contract, yesterday wrote an article about the issue, following the leaked letter.

Below Is Published, His Article:

THE WORST PART OF THIS SCANDAL

1. Zoomlion’s obscene Contract with the Youth Employment Agency (YEA) to manage street and market cleaners has ended.
2. The YEA is prepared to keep the arrangement that gives Zoomlion 600 cedis out of the 850 cedis allocated to each sweeper per month. This means Zoomlion will receive 600 and the sweepers will continue to receive 250.
3. According to this letter, Zoomlion has not paid the sweepers for OVER ONE YEAR, although the company is paid for interest on loans it claims to take to pre-finance the contract.
4. The YEA, per the new arrangement, is proposing to pay the cleaners’ 250 cedis to them directly and pay 600 cedis per cleaner to Zoomlion for managing them.
5. Zoomlion says it will not agree to this arrangement. It wants to take its 600 cedis from the YEA and also take the sweepers’ 250 from the YEA. It wants to continue to control the payment to the cleaners, which it has defaulted for over one year.
6. Why does Zoomlion not want the YEA to pay the cleaners directly?
7. This letter does not state it, but for many years now, the YEA has said Zoomlion’s claim of 45,000 cleaners on the payroll is not accurate. When the YEA asked Zoomlion to produce a payroll for verification, Zoomlion failed to do it.
8. If YEA takes over the payment of the cleaners, the truth will be revealed. So, it’s understandable that Zoomlion wants to control everything.
9. Note that the YEA CEO has been fighting since 2022 to stop the Zoomlion arrangement so that the sweepers can be managed by the YEA and the district assemblies. He did not get the support of the board, which is chaired by Anita Kusi Boateng, the wife of Rev. Victor Kusi Boateng of the National Cathedral saga.
10. It is unclear whether the board will allow the management of the YEA and the assemblies to take over the contract or whether the board will still allow Zoomlion to keep this fraudulent contract and owe the sweepers for this long.
11. It is worth noting that the YEA pays its beneficiaries at least 500 cedis a month. The only exception is in this cleaners’ arrangement that gives a chunk of the money to Zoomlion while the cleaners go home only 250 cedis, which is less than half of the minimum wage.
12. President Akufo-Addo knows about this deal, but he has failed to support the YEA CEO who wants it terminated.

Here is the list of the YEA board members who are supposed to decide on this letter. Let’s hope their conscience guides them to terminate this obscene arrangement.

1. Mrs. Anita Kusi Boateng —Board Chair2. Pius Enam Hadzide—Member
2. Kofi Baah Agyepong— CEO & Member
3. Dr. Eric Yeboah —Member
4. Vincent Ekow Assafuah—member
5. Bright Wireko Brobbey—Member
6. Lawrencia Ahema Adams—Member
7. Alexander Awotwi—member

Source: Anchorghana.com