[The story is not new, but I found the math interesting]
Financial Times; Aug 17, 2002
LEX COLUMN: HIV/Aids
If a government balks at taking on a welfare programme, it is a brave company that steps into the breach. But in South Africa, where around 25 per cent of the workforce are infected with HIV/Aids, the subsequent absenteeism and deaths are an inescapable cost of business. Industry estimates suggest that the cost of the disease to mining companies - through absenteeism and retraining to replace lost staff - adds up to $10 to the $150-$200 overall cost of producing an ounce of gold. Preventative care can cut the bill to $4.
Anglo American and stablemate De Beers are taking the lead in offering employees anti-retroviral drugs, which prolong lives. De Beers calculates the cost of treatment at R25,000 per person per year, though there are also costs associated with administering the drug and monitoring sufferers. The move is likely to cost Anglo American around $20m a year.
That will more than double after three years, assuming existing sufferers fall into the suitable-for-treatment category, and more come on board. The final tally is open-ended, as employers are obliged to continue offering treatment they have begun. De Beers is also treating spouses, doubling its commitment. Sadly, there is no guarantee this effort will pay off. ART treatment is untested in the sub-optimal conditions of deep mines and the virus could become drug resistant if workers fail to continue the course of treatment during holidays. So far, no other companies have followed Anglo American. They still hope the government will take up the baton.