Workers in KwaZulu-Natal and Gauteng who have been adversely affected by the recent unrest in South Africa will now be able to claim from the Unemployment Insurance Fund’s (UIF’s) Temporary Employer-Employee Relief Scheme (TERS).
However, Employment and Labour Minister Thulas Nxesi on Wednesday said the relief strategy would be managed separately to the special Covid-19 TERS grant. Here’s what you need to know.
UIF TERS: What you need to know
Nxesi said more than 75,000 employees were affected when widespread protests earlier this month resulted in looting and the destruction of businesses. Those workers would now be able to access funds, even if they didn’t previously qualify for the benefit.
Moreover, businesses or companies in distress may also apply for the normal TERS benefit. He said in order to minimise potential fraud or non-compliance from employers, employees would be paid directly.
That said, Nxesi warned that it would not be a “free for all”, as the criteria required to determine who qualifies for the Ters benefit would be “stringent and payments will be based on the resources available”.
“Whilst it is our desire to pay all the affected workers, it should be borne in mind that the available resources are limited. I have therefore instructed officials […] to perform an analysis of those who will afford to carry their employees’ salaries during this period”.
How to apply for TERS benefits
A request to access the UIF TERS benefits may come directly from the workplace and all requests must be made via the Commission for Conciliation, Mediation and Arbitration (CCMA) on the TERS application form.
The CCMA facilitator will explain how the scheme works and assist parties to reach an agreement to participate in the TERS. The facilitator will also verify that all the documents are complete.
Any and all information submitted will remain private and confidential. Employers will need to submit the following information:
- Annual financial statements (AFS) for the past 12 months. If the business/company is not required to be audited by law, the AFS must be independently reviewed in terms of ISRE2410/ISRE2400 standard of accounting.
- Management accounts with comparative figures for the same period if the AFS are older than three months (must be independently reviewed in terms of ISRE2410/ ISRE2400 standard of accounting) in the same format/structure as their AFS.
- Any other evidence, e.g. order books, production schedules etc.
Application forms and additional documents can be downloaded from the CCMA’s website.