In a bid to set the record straight on its contractual engagement with the Youth Employment Agency (YEA), Zoomlion Ghana Limited has provided clarity on the terms and challenges of the agreement.
In a statement issued on April 30, 2025, Zoomlion indicated that it has been working without payment for over a year, but remained committed to its mandate of keeping communities clean, green, and healthy.
According to the statement, the contract, signed in 2006, involves managing and supervising youth beneficiaries under the Youth in Sanitation Module.
“We have consistently advocated an increment in beneficiary allowances and remain committed to doing so,” the company stated.
The company highlighted the challenges it faces due to delayed payments, often extending for several months.
“Persistent delays in payments to Zoomlion have necessitated the call for interest payment, as provided under the contract, to cushion the company’s loss of value occasioned by the long delays.”
Despite the challenges, the statement said Zoomlion has made significant contributions to the sanitation sector, including the establishment of 36 waste treatment facilities and creation of over 6,000 core jobs.
The company expressed its commitment to job creation, improving lives and livelihoods, and environmental protection. “We wish to thank His Excellency, President John Dramani Mahama, and his government for their dedication to the issues of environmental sanitation,” the statement concluded.
Story By: Dennis Ato Keelson
Below is the full statement:
ZOOMLION GHANA LIMITED REGARDING ITS CONTRACTUAL ENGAGEMENT WITH THE YOUTH
EMPLOYMENT AGENCY
Accra, April 30, 2025. The attention of the management of Zoomlion Ghana Limited has been drawn to
media publications and discussions on various social media platforms about its contract with the Youth
Employment Agency.
Background
- In 2006, Zoomlion Ghana Limited, signed contracts with the then Ministry of Youth and Sports, through
the National Youth Employment Programme (NYEP) now Youth Employment Agency (YEA). This module
involved managing the youth [Beneficiaries] across the nation for public cleansing works from Monday
to Saturday for which they are to be paid allowances. Per the module, the Government through the YEA
and in collaboration with District Assemblies, engages the Beneficiaries, while Zoomlion manages the
Beneficiaries and supervises their cleaning activities.
Key Provisions and Clarifications
● Recruitment and Beneficiary Management
Clause 1.5 of the contract states that YEA is responsible for the recruitment of Beneficiaries whose
names shall be submitted to Zoomlion Ghana Limited, and by reason of such submission, Zoomlion shall
perform its obligations therein stated. The database of the Beneficiaries is managed by YEA, which
assigns a unique identification number to every Beneficiary, and the same is indicated on their
appointment letters. All additions or removals of beneficiaries are effected by the YEA through formal
correspondence and established administrative procedures. Accordingly, Zoomlion has no interference
in the recruitment of the Beneficiaries.
2 - Contractual Remuneration
The contract provides for a total sum of GHS 850 per beneficiary, of which GHS 258 is allocated to the
Beneficiary as an allowance, while the remaining GHS 592 constitutes a Management Fee to Zoomlion.
This Management Fee covers brooms, bristle brushes, shovels, wheelbarrows, pickers, reflective road
cones, hand gloves, uniforms, reflective jackets, wellington boots, and head pans and funds the
management duties stated above. - Advocacy for Allowance Increments
Though the monthly allowance of the Beneficiaries is determined by YEA, Zoomlion has consistently
advocated for its increment since 2006 and remains committed to doing so. The company proposed
increments in the past from GHS50 cedis in 2006-2014 to GHS100, then to GHS180 from 2019-2022 and
to the current GHS258 from 2022 to 2024. In 2024, Zoomlion submitted a request for the allowances to
be increased to GHS420, which is still under discussion, while the Agency has countered with a proposal
to set the allowance at only GHS300 for beneficiaries.
● Financial Obligations and Interest Provisions
Pursuant to the terms of the contract, where Zoomlion does not receive payment in accordance with
the agreed schedule due to delays in the release of funds to the District Assemblies Common Fund
(DACF) by the Ministry of Finance, Zoomlion shall be entitled to claim interest and financing charges at
the prevailing commercial bank rates, calculated from the date the payment became due until the date
of final settlement. Zoomlion reserves the right to negotiate such interest rates with the Ministry of
Finance and the Agency. This clause is intended to safeguard the value of pre-financed services and
mitigate financial losses resulting from delayed reimbursements. Under the contract, Zoomlion is
required to pre-finance payments to the Beneficiaries, for quarterly reimbursement from the
government by the next month after the quarter. However, persistent delays in payments to Zoomlion,
often extending for several months, have necessitated the call for interest payment, as provided under
the contract, to cushion the company’s loss of value occasioned by the long delays.
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● Operational Scope
The scope of the contract involves the management of the Beneficiaries engaged by YEA across the
country to undertake various public cleansing activities. These include street sweeping, collection of
street waste and disposal at authorised dumping sites, desilting and cleaning of open drains, litter
removal, and cleaning of public areas. As part of its obligations, Zoomlion provides training for
Beneficiaries on the operational and technical aspects of their job, undertakes deployment of
Beneficiaries in their respective district or operational areas, supervises and monitors of Beneficiaries
on the field (6 days a week). The company also supplies, stores, maintains and replaces sanitary tools,
equipment, PPE and waste haulage vehicles and provides fuel to run administrative and operational
vehicles. In addition to the above scope under the contract, Zoomlion pays GHC 600 for beneficiaries
who work extended hours [Double shifts] and bears the operational, administrative, and infrastructural
costs (Offices, pick-ups, motor bikes, bicycles, etc). The scope also includes the purchase and
maintenance of an electronic data management and payment system. Furthermore, Zoomlion assumes
the responsibility for Beneficiary welfare including accidents, injury, death, and other welfare-related
contingencies. - Reporting
Zoomlion has submitted and continues to submit quarterly and annual reports to the YEA since 2008.
These reports are collated from the MMDAs with their official endorsement as supervisors at the local
level.
IMPACT OF ZOOMLION OPERATIONS ON THE COUNTRY - Establishment of Advanced Technology Waste Treatment Facilities
Zoomlion Ghana Limited now proudly operates 36 waste treatment facilities, built within less than 20
years, an unmatched feat across the African continent and a living testament to what is possible with
vision, commitment, and collaboration. The Company has progressed from municipal solid waste
collection to value-added processing, through the establishment of Eighteen (18) Material Recovery and
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Waste Treatment Plants to recycle organic waste into compost for the agricultural sector. The 100-yearold Lavender Hill health menace has now been transformed into a state-of-the-art Liquid Waste
Treatment Plant with five more in five cities across the country. Five Waste Transfer Stations and seven
ultra-modern Medical Waste Treatments Facilities have been constructed and are fully operational
across the nation.
● Employment Creation
Zoomlion today, in partnership with other businesses under the Jospong Group, provides over 6,000
core jobs, 30,000 jobs for tricycle riders, and about 200,000 other employment opportunities along the
sanitation value chain. Thousands of green jobs have been created for young, educated Ghanaians who
now have a practical, hands-on appreciation of the environmental sanitation sector, as well as means
to provide for their families. - Youth Empowerment and Skills Development
Through innovations such as motorised tricycles for waste collection and partnerships with YEA,
thousands of young Ghanaians, especially those with limited formal education, have been trained and
empowered with critical skills in logistics, safety, customer service, and waste management. Many of
them have further been upgraded to tricycle operators and now own businesses, all with Zoomlion’s
ongoing support. This highlights Zoomlion’s impact on both the environment and the well-being of the
population through entrepreneurial initiatives
● Public Health Benefits
Zoomlion has, throughout the years, rid the country of the several mountains of waste that had virtually
engulfed the nation and posed serious public health risks. In doing so, the company has brought dignity
to the waste management sector, inspiring more Ghanaians to recognize the value in waste.
● Academic Support in the Waste Management Sector
Zoomlion supports academic excellence by providing opportunities to students from tertiary institutions
undertaking any course in environmental sanitation, enabling them to gain valuable, hands-on
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experience into sustainable waste management infrastructure. Over the past two years, 120 young
people, including staff, were awarded scholarships to further their studies in various disciplines at the
RUDN University in Russia. A number of YEA Beneficiaries and waste pickers at the landfill sites were
also sponsored on a study tour to Belarus, Russia, and Thailand.
● International Recognition and Carbon Market Impact
Approximately 19 African countries have reached out to Zoomlion, seeking to replicate our waste
management modules in their own nations. Furthermore, through the operations of Zoomlion Ghana
Limited, Ghana has obtained recognition on the carbon market and has attracted international partners
in this space.
Conclusion
● Zoomlion has continued to work without payment since the expiration of the contract with the YEA.
Driven by the understanding that the waste management business is fundamentally about the public
good and the health of the general population, this costly initiative is to move a step ahead of the
contractual mandate and reflect the group’s vision by improving the quality of life for every individual.
As a group, we consider this an investment in improving the lives of vulnerable communities across
Ghana.
● Zoomlion has always operated under a strict compliance framework, and as such, the company will
warmly welcome any exercise geared towards strengthening the efficiency and effectiveness of our
systems.
● The company is committed to job creation, improving the lives and livelihoods of people, as well as the
health of our environment and humanity.
● We wish to thank His Excellency, President John Dramani Mahama, and his government for their
dedication to the issues of environmental sanitation. We also wish to thank Ghanaians for your
continuous support to the company, and assure you of our commitment to partnering with the
government and others to deliver on our mandate of keeping our communities clean, green, and
healthy.
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For any further information or clarification on the subject matter, individuals or concerned stakeholders
can contact us at [email protected], and we will assist you accordingly. END.
The Corporate Communications Directorate
Zoomlion Ghana Limited