Zoomlion Defends YEA Contract

By Grace Zigah

The Waste management giant, Zoomlion Ghana Limited has issued a formal response to mounting public interest and media commentary surrounding its long-standing contract with the Youth Employment Authority (YEA), formerly the National Youth Employment Programme (NYEP).

The company, in a press statement released on Wednesday, sought to clarify the terms, history, and impact of the partnership, amid criticisms about payment structures and transparency.

The contract in question dates back to 2006, when Zoomlion signed an agreement with the then Ministry of Youth and Sports to implement the Youth in Sanitation Module under the NYEP.

The programme, now administered by the YEA, was designed to engage thousands of young Ghanaians in public sanitation tasks nationwide, with Zoomlion tasked with managing their day-to-day operations.

According to the company, the YEA remains responsible for the recruitment of beneficiaries, while Zoomlion oversees their training, deployment, and supervision, in addition to providing sanitation tools and personal protective equipment (PPE). Each beneficiary, Zoomlion stated, is allocated a total of GHS 850 per month—GHS 258 of which goes to the beneficiary as a monthly allowance, and the remaining GHS 592 to Zoomlion as a management fee.

This fee, the company explained, covers logistics, operational costs, administrative services, and the provision of equipment.

The firm noted that it has consistently advocated for increased beneficiary allowances over the years, arguing that the current rate is inadequate given the rising cost of living and inflation.

Crucially, Zoomlion revealed that under the terms of the agreement, it is required to pre-finance beneficiary payments and programme logistics each quarter, with the expectation of government reimbursement in the month following the quarter’s end.
However, significant delays in government reimbursements—sometimes spanning several months—have forced the company to operate without payment for over a year.

As a result, Zoomlion has requested interest payments to offset the financial losses it claims to have incurred from delayed reimbursements.

Since 2008, the company says it has consistently submitted quarterly and annual reports to the YEA, demonstrating its compliance with contractual obligations and providing transparency on operations.

Zoomlion also highlighted the broader national impact of its activities, citing the establishment of 36 waste treatment facilities, including 18 Material Recovery and Waste Treatment Plants, and the creation of more than 6,000 core jobs.

In addition, over 30,000 tricycle riders and more than 200,000 individuals along the waste management value chain are estimated to have gained employment opportunities through its operations.

The company emphasized its commitment to youth empowerment and environmental sustainability, noting that its partnerships have contributed significantly to skills development and job creation.

Despite challenges, Zoomlion stated it has continued to operate out of a sense of public duty and dedication to maintaining national sanitation standards.

In closing, Zoomlion expressed gratitude to President John Dramani Mahama and his administration for their focus on sanitation and youth employment.

The company also thanked the Ghanaian public for their support and reiterated its commitment to collaborating with government stakeholders to improve public health and environmental hygiene across the country.

Zoomlion’s statement appears aimed at managing public perception and defending its role in a programme that has periodically faced criticism over accountability, efficiency, and the use of public funds.

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