Cosmos Old Age Home state of affairs discussed at AGM
Staff members had to adopt and act swiftly to some of the measures put in place to ensure a healthy cash flow
Due to lockdown, Cosmos Old Age Home suffered financial hardship due to the empty beds that couldn’t be filled during that period.
This was revealed during the Boksburg Society for the Aged 2019/20 AGM on September 30.
According to chairperson Hennie Els, who took over the ropes from John Jerling in November 2019, they were forced to make extraordinary payments which they had not budgeted for.
“Management had to adopt and act swiftly to some of the measures put in place to ensure a healthy cash flow. We also closed the building bank account that was opened and funds were transferred to the operational account,” Els said.
In his report, Els stated the ban of cigarettes during lockdown caused problems because they have residents who are heavy smokers.
He indicated an amount of R330 000 excluding VAT was outstanding for accommodation, which built up over a period.
“It was recommended that we write this off as bad debt for the financial records and then we will make efforts to recover. Recover would mean we write letters of demand and then take legal action against the defaulters, the estate or responsible relative,” he said.
According to the audited financial statement, the loss for the year is R1 329 512, compared to the previous financial year’s loss of R3 134 051.
Els said this was made possible by the business rescue plan put in place by investigating where their losses were and working on a solution.
Although the final loss decreased compared to the previous financial loses, Els mentioned these outcomes indicated a material uncertainty existed of which discipline needed to be enforced to maintain the standard of savings.
Coronavirus testing and residents who died due to Covid-19
Els said when lockdown was implemented, they had to write letters to residents and relatives to outline the seriousness of the virus.
“We implemented a strict protocol on staff, our way of trying to curb the spread of the virus. Staff were not allowed on site if they did not have a certificate that stated they have not been tested and are negative.”
A total of 159 residents tested positive for Covid-19, while 15 residents died due to the virus. Fifty-eight staff members from the Cosmos Old Age Home tested positive and one staff member died due to the virus.
Els added they were in need of a proper CCTV system and cameras.
The current board of the Boksburg Society for the Aged was re-elected – Els as chairperson, Charles Saville as vice-chairperson and Past Estelle Cothill as treasurer.
To donate or to assist towards the sustainability of the society contact them on 011 915 5416.
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