The Minister of Labour has announced a relief package through the UIF benefits for businesses in distress. This relief is only applicable to UIF registered employers. Herewith the updated information on the UIF Relief Guide for employers, including processing of the UIF relief claims.

• UIF Easy-Aid Guide for Employers.
• UI-2.1 Application for Unemployment Benefits in Terms of Section 17(1)
• UI-2.2 Application for Illness Benefits in Terms of Section 22(1)
• UI-2.7 Remuneration Received by the Employee Whilst Still in Employment
• UIF Employer Declaration
• UIF Employee Declaration
• UI-19 Employer’s Declaration of Employees for the Month
• UI-2.8 UIF Authorisation to Pay Benefits into Banking Account

The guideline allows for employers and employees to apply for UIF benefits during a period of shut down or reduced hours due to the impact of COVID-19.

As we safeguard the health of our employees let’s also consider providing employees annual leave during this period.

Contact

For more information on the details of the benefits and the application process please contact the Gauteng departmental rapid response team contact person, Dingaan Basimane on 011 853 0303.

More information

UIF website

TERS is a relief scheme implemented by government to supplement employees income that has been affected as a direct result of COVID-19.

The Minister of Employment and Labour recently issued amendments for the COVID-19 Temporary Employer / Employee Scheme (“TERS“).

Annual leave taken during the lockdown

If an employer has required an employee to take annual leave during the lockdown, they may set off any amount received from the UIF under the TERS scheme against the amount paid to the employee in respect of annual leave.  The employee must then be credited with the proportionate entitlement to annual leave in the future.

A full accounting of the leave used, the leave credited, the value of the leave and the value of the set-off must be maintained to demonstrate to the UIF that lawful set-off has taken place.

Employer’s obligation to apply for the TERS benefit

Should an employer close all or part of its operations as a result of the COVID-19 pandemic for 3 (three) months or less, the employer must apply for the TERS COVID-19 benefits on behalf of its affected employees.

The “must apply” wording does not mean that an employer has no choice. If the COVID-19 benefit is applicable to its employees, the employees cannot apply in their individual capacity and the employer must do so on their behalf.

The obligation to apply for the TERS COVID-19 benefit would only arise where the employees are not being paid their full salary (either in whole or in part) or have been placed on annual leave.

Advances on the TERS COVID-19 benefit

The directives now provide that employers are urged to pay employees their TERS COVID-19 benefit in advance, and then to offset the advance payment against the payments from UIF.

How to account for advances on the TERS COVID-19 benefit

UIF have advised that if it is an advance payment, there only needs to be an agreement between the employer and the employee.

The UIF also advised that the employer should rather not include the advance payments in the prescribed template under ‘remuneration during shutdown’ as this would be deemed a salary payment. Rather, the employer should merely keep all necessary records that would indicate that the payment made was an advance payment and the TERS COVID-19 benefit was used to settle the payment. The employer must be able to provide these records if the UIF audits them.

If the payment is a gratuitous payment, the UIF indicated that this must be disclosed in the ‘remuneration during shutdown’ column in the prescribed template.

Referenced from Werksmans Attorneys

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

The Unemployment Insurance Fund (UIF) will start to process new claims for the COVID-19 Temporal Employee Relief Scheme (TERS) from Monday, 17 August 2020.

The TERS scheme, which is meant to help pay salaries during the pandemic, had been due to end in June, but was recently extended.

The new benefits will cover claims for the period for 1 July to 15 August, but will only cover employees whose employers are:

• not permitted to commence operations under lockdown regulations
• unable to make alternative arrangements for vulnerable workers (those above the age of 60 years, or with co-morbidities), such as working from home
• unable to make use of their services because of the coronavirus restrictions, for example on how many employees can be in the workplace at the same time.

➔ All claims must be lodged via the TERS online portal.

Employment and Labour deputy minister Boitumelo Moloi announced that the COVID-19 Temporary Employers/ Employee Relief Fund, set up to help those who found themselves out of work due to lockdown, will be extended to mid-August. Details are still awaited and we will keep you updated when more information is made available.

➔ Minister’s address

The UIF  system now enables employers to retrieve submitted applications for April, make necessary corrections on those rejected applications, and re-submit for payments.

The system will make is easier to resubmit because in cases where the information has not changed, the claim will be processed immediately on confirmation by the employer. But if information has changed, employers will be required to capture employees’ details directly on the system or attach the CSV file.

The following documents must be attached for the May submissions to be successful:

• Proof of TERS payment to employees for April such as electronic bank statement or a letter of acknowledgement of payment between employer and employee (Mandatory)
• Re-upload employer bank confirmation letter or latest bank statement
• Signed approval or acceptance letter received from the UIF for April payments between employer and employee

➔ Register for UIF-COVID19TERS (see step-by-step how to apply)

➔ Already registered? Log in to UIF-COVID19TERS

The National Economic Development and Labour Council (NEDLAC) partners have given UIF the green light to pay directly into the employees’ accounts for May claims. In order for these payments to be successful, it is critical for employers to provide clear and accurate banking details of employees.

The option for the UIF to pay money to employers, Bargaining Councils or Industry Associations is still available. However, UIF advises employers to select paying directly into employees’ accounts to fast track payments to employees.

The UIF is working to finalise outstanding claims for April 2020.

The new features in the system will enable applicants to make corrections on the previous submissions and that will assist in fast tracking the finalisation of outstanding applications for April.

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems
Video: UIF claims during Coronavirus shutdown

Claiming UIF for period 27 March to 30 April – called Lockdown period 

1. Go to Department of Labour’s UIF-COVID19TERS Register page
   Ensure you are browsing using either Chrome or Firefox.
2. Have your UIF number ready
   If you do not have a number, you need to register for UIF first. Once registered for UIF, you will receive a reference number. You then return to the UIF-COVID19TERS Register page and complete your information with that number as your reference or username. You can pay the fees after lockdown with no penalties.
3. Complete your information and submit
4. You will receive confirmation of your submission
5. Complete the required information for each employee and submit
   Identity number, employment start date, monthly salary (not less than R 3500 – the minimum) and banking details.
6. Upon receiving a response, log in to the UIF-COVID19TERS website
7. Click on the green block
   Green blocks indicate that money has been allocated.
8. Download the documents (two Excel spreadsheets and one Word document)
   The Excel spreadsheets indicate which employees have been allocated money (green).
   Print, sign and email the Word document to the email address indicated on the document.
9. Receive payment
10. Email the proof of payment for each employee together with the Word document (sent in step 8)

Background

The Department of Labour has introduced a new e-mail address for the Temporary Employer / Employee Relief Scheme (TERS) to help companies fund their employees’ wages amid the COVID-19 pandemic.

Employer/s that have to enforce lock down as regulated and who might require financial assistance from the UIF should access information regarding available funding through a dedicated mailbox covid19ters@labour.gov.za.

On receipt of a request, an automated response will be sent outlining the procedure and documents/information required by the Fund to process your application.

➔ COVID-19 TERS Easy Aid guide

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

Contributors, i.e. employers and employees who contribute to the UIF. This includes both National and Legal Foreign Nationals.

Commission earners are also able to claim, and are required to submit 6 months bank statements so that an average monthly amount can be calculated for their claim.

The employer must have closed its operations, or part of its operations, as a direct result of the COVID-19 pandemic, for a period of three months or less.

The size of the employer’s workforce does not matter. Special provisions of the Memorandum of Agreement apply to employers with fewer than 10 employees.

The employee must have been in the employer’s employ on 27 March 2020, and must have suffered, or will suffer, a loss of income as a result of the closure.

The benefit may only cover the cost of salaries during the closure – it may not be used for other purposes.

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

The benefit is determined with reference to a sliding scale.

Employees may get a percentage of their salary (between 38% and 60%).

For purposes of this calculation, the relevant salary amount is the maximum of R 17 712 per month, per employee. Therefore:

• If an employee’s salary is more than the maximum threshold amount of R 17 712 – for example, R 20 000 – the employee would not receive a percentage of R 20 000, but would receive 38% of the threshold amount of R 17 712. The maximum amount of the COVID-19 TERS monthly payment will therefore be the amount of R 6 730.
• If an employee’s salary is less than the threshold amount – for example R 15 000 – the employee would receive a percentage of her/ his salary of R 15 000. The exact percentage that s/he would receive, will be determined in accordance with the UIF calculator (which will soon to be found on the UIF website).

The minimum amount of the benefit is R 3 500 regardless of the minimum wage as prescribed by the applicable sectoral determination/ collective agreement.

Employers may supplement these benefits, but employees may not get their full salary PLUS the benefit. The maximum that an employee may accordingly receive (from the UIF and their employer) is 100% of her/ his salary.

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

Yes. The employer may claim the benefit and may retain the value of the benefit already paid to the employee.

In order to avoid disputes, it is recommended that the employee’s payslip reflects ‘TERS Benefit’ (in the event that the employee is paid the value of the benefit) or ‘Includes TERS Benefit’ (if the employee is paid an amount higher than the TERS benefit).

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

May 2020

The National Economic Development and Labour Council (NEDLAC) partners have given UIF the green light to pay directly into the employees’ accounts for May claims. In order for these payments to be successful, it is critical for employers to provide clear and accurate banking details of employees.

The option for the UIF to pay money to employers, Bargaining Councils or Industry Associations is still available. However, UIF advises employers to select paying directly into employees’ accounts to fast track payments to employees.

The UIF is working to finalise outstanding claims for April 2020.

The new features in the system will enable applicants to make corrections on the previous submissions and that will assist in fast tracking the finalisation of outstanding applications for April.

Referenced from www.gov.za

April 2020

If the employer has concluded a Memorandum of Agreement with the UIF, or if the employer has accepted the UIF’s standard terms and conditions, the value of the benefit in respect of the employer’s employees will be paid to the employer. The employer must then pay over the benefit to the employees concerned (except where they have already been paid) within two days (see below).

If the employer is a member of a bargaining council that has concluded a Memorandum of Agreement with the UIF, the UIF will pay the amount to the bargaining council, and the bargaining council will administer the payments to the employees.

Employees will therefore not be paid by the UIF directly, but by their employer or the applicable bargaining council. The only exception to this is where an employer employs fewer than 10 employees.

The UIF will first verify the supporting documents submitted by the employer and, within 10 business days of the employer submitting all of the required documents and information, will deposit the funds into the employer’s business account.

Employers must pay their employees the benefit within two days of receiving payment from the UIF. If the employer has already paid their employees part or all of the benefit amount, the employer can recover those amounts from the funds deposited by the UIF and pay the balance – if applicable – to the employees within two days. Employers must submit proof of payment to the UIF within five days of the payment by the UIF and return any funds not used (including interest) to the UIF within 10 days of its business operations recommencing.

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

The UIF will pay benefit funds in relation to three separate time periods: first for the period of temporary closure for 30 days from the date of lockdown; second for any period of temporary closure during the following 30 days; and third, for any period of temporary closure during the balance of the Memorandum of Agreement. The Agreement is in force for three months from the date of confirmation by the UIF that it accepts the employer’s COVID-19 TERS application.

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

Employers with FEWER than 10 employees must submit the individual bank account details of each of the employees to the UIF. The UIF will pay these employees directly.

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

Employers must keep all their accounting records relating to the Memorandum of Agreement and the COVID-19 benefit for five years, and keep them separate from accounting records relating to its business. This will enable them to be identified on a standalone basis from the business-related accounting records.

Employers must keep a proper audit trail of the UIF funds received and benefits paid to employees.

Employers may not withdraw the funds paid by the UIF, or draw any cheques from the funds.

The UIF may appoint an auditor or investigator to audit the employer’s implementation of the Memorandum of Agreement.

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

Yes, the information submitted by the employer and employees must be kept confidential, unless it needs to be disclosed to a third party in order for the Memorandum of Agreement to be implemented.

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

The first step is for senior officials of the UIF and the employer to meet to to resolve the dispute amicably.

If that does not resolve the dispute, either of the parties may refer the dispute to the Arbitration Foundation of South Africa, which arbitration will include the right of appeal.

Referenced from Bowmans

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

It is suggested that businesses ensure that the unions are kept well informed with all UIF, TERS and other payment related items pertaining to their employees. This can be done by email, in order to retain historical communications data should the need arise to call on it later in an unfair dispute.

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website
Steps to resolve common TERS claim problems

The Department of Employment and Labour has addressed the most common problems experienced with the application process.

Despite this, a number of issues still persist.

➔ Update regarding UIF COVID-19 TERS – troubleshooting claim issues (14 May 2020)

➔ See steps to resolve common TERS claim problems

Contact

For more information contact Makhosonke Buthelezi on 082359 5584 or 071 491 7236.

More information

TERS COVID-19 website

The COVID-19 pandemic has placed immense strain on businesses, as government lockdown and movement control make it cumbersome to secure new business or continue with ongoing projects. Many businesses in South Africa are facing financial difficulties, which have been exacerbated as the pandemic continues, and a natural consideration is whether cost-cutting measures, such as retrenchments or lay-offs may be legally undertaken.

➔ Retrenchment of employees due to COVID-19

Contact

For more information contact SIG Labour Specialists on 012 362 1427 or 081 504 4557 or email louise@siglabour.co.za.

Tourism businesses have experienced a lot of challenges with the UIF claim system for their staff and we therefore respectfully request TBCSA to raise the following concerns with the UIF Commissioner on behalf of our members:

➔ Letter to TBCSA – 24 April 2020 [Member access required]

➔ Letter to TBCSA – 9 May 2020 [Member access required]

After submitting your application you need to log back into your profile after a couple of days to check the status of your application. Please note that if you have captured your employees manually (rather than uploading a CSV) your application will be updated faster.

➔ UIF COVID-19 TERS Benefits: What happens after application

The Department of Small Business Development (DSBD) has introduced debt finance relief for SMMEs which are negatively affected, directly or indirectly, due to the Coronavirus pandemic. This facility is a soft-loan facility aimed at assisting existing SMMEs in order to keep them afloat during the COVID-19 pandemic for a period of 6 months from April 2020.

➔ Guidelines for application
➔ Application form

Contact

For enquiries, call 0860 663 7867 or email info@dsbd.gov.za.

More information

DSBD website

Businesses geared to take advantage of supply opportunities resulting from the Coronavirus pandemic or shortage of goods in the local market can apply for the Department of Small Business Development (DSBD) SMME Business Growth / Resilience Facility.

➔ Guidelines for application
➔ Application form

Contact

For enquiries, call 0860 663 7867 or email info@dsbd.gov.za.

More information

DSBD website

The South African Futures Trust (SAFT) will transfer funds directly to employees of participating SMMEs, via interest-free loans where employees themselves carry no liability.

Our aim is to enable SMMEs to significantly reduce their cash outgoings and continue operations during this time of crisis, while retaining their employees – affording these companies much-needed breathing room to make long-term decisions.

➔ How SAFT support works

Please contact your bank to apply for the scheme.

The scheme is currently available to clients of ABSA, FNB, Investec, Mercantile Bank, Nedbank and Standard Bank whose businesses were financially sustainable prior to the COVID-19 crisis. SAFT are working hard to extend this partnership to other banking institutions and invite their participation.

SMMEs should register their interest directly via one of the banks. The partner banks have waived their normal fees in relation to managing the SAFT scheme during this period of national disaster, to maximise the funds available to recipients.

Contact

For enquiries, please email info@saft.africa.

More information

SAFT website

Tax compliant businesses can apply to the South African Revenue Service for the tax relief measures. The tax adjustments are made in light of the National State of
Disaster and due to the significant and potentially lasting negative impacts on the economy from the spreading of the COVID-19 virus. There is a critical need for
government interventions to assist with job retention and assist businesses that may be experiencing significant distress.

These tax relief measures include:

• The introduction of a tax subsidy to employers of up to R500 per month for the next four months for those private sector employees earning below R6,500 under the Employment Tax Incentive. This will help over 4 million workers.
• The South African Revenue Service will accelerate the payment of employment tax incentive reimbursements from twice a year to monthly, in order to get cash into the hands of tax compliant employers as soon as possible.
• Tax compliant businesses with a turnover of R50 million or less will be allowed to delay 20% of their employees’ tax liabilities over the next four months, as well as
  a portion of their provisional corporate income tax payments without penalties or interest over the next six months. This intervention is expected to assist 75 000
  small and medium term enterprises.

The measures will take effect from 1 April 2020.

Together with the Commissioner of SARS, National Treasury will also be considering additional exceptional adjustments to assist with COVID-19 relief efforts and to the tax treatment of newly formed funds in this regard.

The above measures will be given legal effect in terms of two bills to be tabled when Parliament re-convenes later this year for retrospective enactment. These
bills are the Disaster Management Tax Relief Bill and the Disaster Management Tax Relief Administration Bill.

19 May 2020 – Disaster Management Tax Relief Bill and explanatory memorandum
1 May 2020 – Disaster Management Tax Relief Administration Bill

Comments on the draft explanatory notes can be made to 2020AnnexCProp@treasury.gov.za.

Contact

For enquiries, please email csd@treasury.gov.za

More information

National Treasury website
Brochure: Economic Measures for COVID-19
National Treasury documents for public comment

What is the COVID-19 VAT Refund Relief for Vendors?

During April 2020 Government announced measures to assist VAT Vendors who are experiencing negative cash flow effects due to the COVID-19 lockdown. Accordingly, VAT vendors who are currently registered to file VAT returns on a bi-monthly basis will be allowed to file VAT returns on a monthly basis, thereby allowing the earlier unlocking of any VAT refunds due to them. The relief is enabled by the proposed amendment in the Draft Disaster Management Tax Relief Administration Bill 2020 and will operate for a maximum period of four months as follows:

• VAT vendors, currently registered under Category A, will be permitted to file monthly VAT returns for the April 2020 to May 2020 tax periods and June 2020 to July 2020 tax periods, should such VAT vendor choose to do so;
• VAT vendors, currently registered under Category B, will be permitted to file monthly VAT returns for the May 2020 to June 2020 tax periods and July 2020 to August 2020 tax period, should such VAT vendor choose to do so;
• Should a VAT vendor, currently registered under Category B, choose to file a monthly VAT return for July 2020 (as it will result in a VAT refund), a monthly VAT return for August 2020 (whether it results in a VAT refund or not) will be required to close off the normal bi-monthly filing cycle.

Hence, there is no requirement by the VAT vendor to make application to the Commissioner to have the category changed to Category C (the monthly filing category), i.e. the VAT vendor is deemed to fall within Category C, if that VAT vendor elects to file a monthly return.

Any output tax attributable to supplies made during the month must be declared in line with time of supply rules in the month for which the VAT return is filed.

​Which taxpayers qualify for the COVID-19 Refund Relief for VAT?

To qualify for the COVID-19 VAT Refund Relief VAT vendors must:

• Currently be registered under either Category A or B
• Be fully compliant, meaning:
  Is registered for all required taxes;
  Have no outstanding returns for any taxes for which they are registered;
  Have no outstanding tax debt or including a tax debt for which there is an agreement for an installment payment arrangement or compromise or suspended tax debt pending objection or appeal or tax debt of R100 or less.

How can I check if I am compliant?

To determine if you are compliant, you can:

• View your compliance status via eFiling on the “My Compliance Profile” page;
• Request the latest Statement of Account for the taxes you are registered for;
• Call the SARS Contact Centre to request your compliance status.

For which periods can I claim the COVID-19 VAT Refund Relief for Vendors?

The COVID Refund Relief for VAT Vendors is available as follows:

• VAT vendors, currently registered under Category A, will be permitted to file monthly VAT returns for the April 2020 to May 2020 tax periods and June 2020 to July 2020 tax periods, should such VAT vendor choose to do so;
• VAT vendors, currently registered under Category B, will be permitted to file monthly VAT returns for the May 2020 to June 2020 tax periods and July 2020 to August 2020 tax period, should such VAT vendor choose to do so.

Should a VAT vendor, currently registered under Category B, choose to file a monthly VAT return for July 2020 (as it will result in a VAT refund), a monthly VAT return for August 2020 (whether it results in a VAT refund or not) will be required to close-off the normal bi-monthly filing cycle. The same principle will apply to a VAT vendor currently registered under Category A.

How do I submit my VAT return?

Vendors can submit the VAT return via eFiling on or before the last business day of the month, and via any SARS branch by the 25th (or the last business day before) after the end of the tax period.

Note: VAT charged on supplies made (output tax) less VAT paid to your suppliers (input tax) and other permissible deductions = the amount of VAT payable/refundable.

When am I entitled to a refund?

If a vendor is entitled to a VAT refund, SARS is required to pay that VAT refund within 21 business days of receiving the correctly completed VAT return in respect of that VAT refund, without incurring any interest on that VAT refund.

Contact

For enquiries, please call 0800 00 7277.

More information

SARS website

The COVID-19 loan guarantee scheme is an initiative to provide loans, guaranteed by government, to businesses with an annual turnover of less than R300 million to meet some of their operational expenses. Government and commercial banks are sharing the risks of these loans. Initially, the National Treasury has provided a guarantee of R100 billion to this scheme, with the option to increase the guarantee to R200 billion if necessary and if the scheme is deemed successful.

How is it structured?

The National Treasury has provided a guarantee to the Reserve Bank. This guarantee is recorded as a contingent liability on the government’s account. The Reserve Bank will lend money to commercial banks at the repo rate (currently 4.25 per cent) plus a 0.5 per cent credit premium. Banks will lend this money to small and medium-sized businesses at the repo rate plus a fixed spread of 3.5 per cent (currently 7.75 per cent, equal to the prime lending rate).

Which banks are participating?

All commercial banks can access the guarantee scheme, though the Reserve Bank reserves the right to limit the amount that can be accessed by an individual bank. Participating banks at the moment include Absa, Mercantile Bank, First National Bank (FirstRand), Investec, Nedbank and Standard Bank. Discussions are under way to enable more banks to participate. Start dates for the programme may differ by bank, though the larger banks launched the scheme from 12 May 2020. Participating banks have signed bilateral agreements with the Reserve Bank setting out the terms of the scheme and the legal and operational obligations of banks and the Reserve Bank.

Which businesses qualify?

To qualify for the loan, a business must have an annual turnover of less than R300 million (measured at a group level) and be in good standing with its bank. This means that the business must be up to date with its other loan payments or be an account holder without any loans as at end-February 2020. The business must have an existing relationship with the bank granting the loan, be registered with SARS and be financially distressed as a result of the Covid-19 outbreak and subsequent lockdowns.

Who profits from the loan guarantee scheme?

The loan guarantee scheme is intended to help small and medium-sized businesses. While these arrangements are designed to encourage banks to lend more than they would otherwise lend, banks are expected to make sound lending decisions and avoid reckless lending. The intention is not for banks to make a profit from these loans. Any net profits will be pooled to offset losses in the scheme, so as to minimise total losses to South African taxpayers.

Who can I contact for more information?

To access the loan guarantee scheme, contact your primary or main banker.

More information

Brochure: Answering your questions about the COVID-19 Loan Guarantee Scheme

With the severe shortage of cash flow in the tourism industry, it is clear that costs need to be saved wherever possible. If costs can be reduced, postponed or written off, the TTA is looking into ways to reach agreements, with various industry players, to create continued mutually beneficial business relationships.

Below are some of the ways in which the TTA forsee potential cost savings and reductions for its members if at all possible. It is hoped that with compromises from all parties, businesses will be more likely to be sustainable until normal operations can resume.

• Government influence for, or relief to enable property owners/landlords to only bill 40sqm on rates and utilities plus 5% of turnover for restaurants doing takeaways and even less for tourism businesses not allowed to trade? Same for hotels, etc.
• Eskom charges to be reduced or eliminated for tourism businesses.
• Local councils to reduce or cancel rates and taxes for a period (especially in Tshwane where rates and taxes are disproportionately high).
• SAMRO and SAMPRA fees to be cancelled or reduced proportionate to trading months of the year.
• Any and all government levies and taxes to be cancelled/reduced.
• Protection for businesses who choose not to open under restrictions, should it prove cost prohibitive, not to be penalised by landlords, government aid programmes, and the insurance sector.
• VAT relief for tourism businesses.

Should an employee contract COVID-19 as a direct result of being in the workplace, the employee can claim from The Compensation for Occupational Injuries and Diseases Act (COIDA). The Employee will be paid out for a period of 30 days, and medical expenses will be covered.

➔ Read the Act

Reporting

The following documentation should be submitted to the Compensation Commissioner or the employer individually liable or the mutual association concerned:

• Employer’s report of an occupational disease (W.CL.1)
• Notice of an occupational disease and claim for compensation (W.CL.14)
• Exposure and medical questionnaire
• First medical report in respect of an occupational disease (W.CL.22), indicating U07.1 as the ICD-10 code for COVID-19
• Exposure history (W.CL.110) and/or any other appropriate employment history containing information that may be helpful to the Compensation Commissioner
• A medical report on the employee’s symptoms that details the history, establishes a diagnosis of COVID-19 and laboratory results and chest X-Rays, where appropriate, or any other information relevant to the claim
• For each consultation, a progress medical report (W.CL.26)
• Final medical report in respect of an occupational disease (W.CL.26) when the employee’s condition has reached maximum medical improvement
• An affidavit by the employee if the employer cannot be traced or will not timeously supply a W.CL.1, where applicable

Claim submission

Online claims must be made through the following channels indicating the correct ICD-10 code – U07.1:

• Compensation Fund: CompEasy
• Rand Mutual Assurance: CompCare
• Federated Employers Mutual: IMS

Manual claims must be sent to:

• Compensation Fund: email COVID19claims@labour.gov.za or call 0860 105 350
• Rand Mutual Assurance: email contactcentre@randmutual.co.za  or call 086 022 2132
• Federated Employers Mutual: email FEM-Registry@fema.co.za or call 011 359 4300

Claim processing

The Office of the Compensation Commissioner shall consider and adjudicate upon the liability of all claims. The Medical Officers in the Compensation Commissioners’ Office are responsible for the medical assessment of the claim and for the confirmation of the acceptance or rejection of the claim.

Contact

For enquiries, please email covid19claims@labour.gov.za or call 0860 105 350 weekdays from 07:30 – 16:00.

More information

Labour Life COIDA web page
Department of Employment and Labour website

The Compensation for Occupational Injuries and Diseases Act No 130 of 1993 (COIDA) provides for compensation for disablement caused by occupational injuries or diseases sustained or contracted by employees during the course of their employment, or for death resulting from such injuries or diseases.

Employers are required to submit a Return of Earnings form (W.As.8) on an annual basis.

The Compensation Fund published a notice on the Department of Employment and Labour website, informing employers that the 2019/2020 Return of Earnings (W.As.8) submission period will be from 1 April 2020 – 31 May 2020. We can now inform you that this date has been pushed back further still to 30 June 2020 (extension notice).

Additionally, all employers will be exempted from penalties and interest for late payment of overdue employer assessments for a six month period, between 29 April and 30 September 2020.

➔ Return of Earnings prescribed form (24 April 2020)

➔ Online submissions of Return of Earnings

For employers partaking in an installments arrangement, the standard requirement of an upfront 20% deposit has been lifted. If you wish to partake in an installment arrangement, you can do this by sending a request to cfdebtors@labour.gov.za.

Contact

For enquiries, please email roe@labour.gov.za or call 0860 105 350.

More information

DoL ROE website
ROE workflow

The South African Social Security Agency (SASSA) Social Relief of Distress is a temporary provision of assistance intended for to South African citizens or permanent residents in such dire material need that they are unable to meet their or their families’ most basic needs.

A grant of R350 per month for 6 months is to be paid to individuals who are currently unemployed, do not receive any form of income, social grant or UIF payment ,etc.

Applicants will need to provide the following information

• Identity Number or Department of Home Affairs Refugee permit number
• Name and Surname as captured in the Identity Document
• Gender and Disability
• Contact details – Cell phone number
• Residential Address

Important to note

Applicants will have to sign a declaration and consent to their information being validated and shared with other organisations and financial institutions such as SARS and banks. During the application process, applicants are expected to agree or disagree to this document by confirming for instance through a yes or no option.  Successful applicants will have to provide their banking details for payment purposes or their bank of choice for a cash transfer.

How to apply

➔ Apply online

Or you can use any of the following channels:

• Email: srd@sassa.gov.za
• WhatsApp: 082 046 8553
• USSD: *134*7737#

You only have to apply once on one channel and not many times on every channel. SASSA will only process one application received from each applicant.

➔ Online application status

Contact

For enquiries, call 011 241 8300 or email srd@sassa.gov.za.

More information

Social Relief of Distress web page
SASSA website

The Sukuma Relief Programme is the application platform for financial assistance and aid for small and medium enterprises (SMEs) negatively impacted by the coronavirus disease 2019 (COVID-19). The initiative is in response to the call by President Ramaphosa to all social partners to support SMEs sustain their businesses and preserve jobs. The Rupert family and Remgro Limited pledged R1 billion towards this financial aid.

The Sukuma Relief Programme offers distinct and separate financial aid to formal sole proprietors and close corporations, companies, and trusts.

On 6 April the Sukuma Relief Programme temporarily closed the application platform.

Complete this form to receive a notice when the application platform is reopened

➔ Formal sole proprietor applications

➔ Close corporations, companies, and trusts applications

More information

Sukuma Relief Programme website

The Department of Tourism (DoT) encourages eligible businesses to apply for the R200 million COVID-19 Tourism Relief Fund during the application period from 7 April to 31 May 2020.

The Tourism Relief Fund provides once-off capped grant assistance to Small Micro and Medium Sized Enterprises (SMMEs) in the tourism value chain to ensure
their sustainability during, and post, the implementation of government measures to curb the spread of COVID-19 in South Africa.

Capped at R50 000 per entity, grant funding can be utilised to subsidise expenses towards fixed costs, operational costs, supplies and other pressure cost items.

Categories eligible to apply for the Tourism Relief Fund include the following:

• Accommodation establishments: Hotels, Resort properties , Bed and Breakfast( B& B’s), Guest Houses , Lodges and Backpackers
• Hospitality and related services: Restaurants ( not attached to hotels ),Conference venues( not attached to hotels), Professional Catering and Attractions
• Travel and related services: Tour Operators, Travel Agents, Tourist guiding, car rental companies and coach operators

How to apply

➔ Guidelines for application
➔ Application form – applications close on 31 May 2020

Contact

For enquiries, please email callcentre@tourism.gov.za or covidrelief@tourism.gov.za, or call 0860 868 747 weekdays from 08:00 – 22:00.

More information

DoT website

The Department of Sports, Arts and Culture have a relief fund to assist artists, athletes, technical personnel and the core ecosystem that supports them, to soften the economic impact of the Coronavirus pandemic on their livelihood. The deadline for all the submissions was on 6 April 2020.

➔ A-Z of the DSAC Relief Plan

Update: By the deadline of 6 April 23:59, the Department had received 6, 000 submissions. After processing the data, approximately 5, 000 were COVID-19 Relief Fund applications. The adjudication process has overseen 1000 out of these 5000 applications. Of these 1000 applications, 105 have been approved and are being processed for payment. It is however important to note, with concern, that most of the applications did not meet the basic requirements, as stipulated in the criteria for application.

Contact

For enquiries, please email masechaban@dac.gov.za or call 066 380 7408.

More information

DSAC website