Legal updates and opinions
News / News
Urgent update: COVID-19 Temporary Employer / Employee Relief Scheme (“TERS”)
by Jacques van Wyk, Director; Andre van Heerden, Senior Associate; and Thabisa Yantolo, Candidate Attorney
On 13 August 2020 the Minister of Employment and Labour, Thembelani Waltermade Nxesi (“Minister“) published the Direction extending the COVID-19 TERS benefits for certain categories of employees (“Direction“). The Direction is deemed to have commenced on 27 June 2020. The Direction will remain in operation until 15 August 2020.
The Direction incorporates the provisions of the previous lapsed direction regulating TERS, subject to new provisions which have been inserted. The new provisions are aimed at, among others, stipulating the employees who qualify for benefits and clarifying aspects of the previous direction.
The TERS benefit is available for employees whose employers are: –
- Not permitted to commence operations either partially or in full in terms of the Regulations published in terms of the Disaster Management Act 57 of 2002 (“Regulations“);
- Unable to make alternative arrangements for vulnerable employees, as defined, to work from home or are unable to take the measures contemplated in the Occupational Health and Safety Direction (“OHS Direction“); or
- Unable to fully or partially make use of their services due to operational requirements based on economic, technological, structural or similar needs of the employer due to compliance with the Regulations or directions. Examples include the need to limit the number of employees at the workplace though rostering, staggering of working hours, short time and the introduction of shift systems.
An employer or employee may continue to claim the COVID-19 TERS benefits from 1 July 2020.
In addition, the Department of Employment and Labour (“Department“) released a statement on 12 August 2020 (“Statement“). Key aspects of the Statement include the following: –
- The UIF will begin processing applications for July / August 2020 from 17 August 2020;
- The application process remains the same;
- The UIF will issue a letter to employers who have applied for TERS benefits explaining the process to be followed when making applications for the extended period;
- The FAQ’s will be updated on the Department’s website; and
- The cut-off dates for April and May applications will be 15 September 2020.
A copy of the Statement can be accessed at (http://www.labour.gov.za/uif-to-start-opening-and-processing-covid-19-ters-benefits-for-the-extended-period-from-next-week-while-winding-down-outsta).
Latest News
Keep Calm – We are Coming to the Rescue !!
Business rescue was introduced into our law with the enactment of Chapter 6 of the Companies Act 71 of 2008 [...]
Changes to facilitate joint audits by SARS in the pipeline
by Nicholas Fairbairn, Associate and, Kelly Sease, Candidate Attorney (Reviewed by Doelie Lessing) Cross-border transactions As a result of globalisation [...]
To 2030 and beyond: Can embracing AI technologies help South Africa reach the National Development Plan’s visions for the ICT sector?
Once upon a time, the National Planning Commission published the National Development Plan and set the following long term goals [...]
And we dare to ask again – whose right is it to enforce a director’s fiduciary duties?
by Tandiwe Matshebela, Director and, Koketso Rapoo, Candidate Attorney The Companies Act It goes without saying that a director is [...]
When is CTC not available as CTC?
What is contributed tax capital? CTC - or to give it its full name, contributed tax capital - is an [...]
Product recalls in South Africa
by Helen Michael, Director and, Raisah Mahomed, Candidate Attorney Product recalls in South Africa and globally have attracted much attention [...]