The Unemployment Insurance Fund (UIF) has started processing Covid-19 TERS applications. This comes after the President announced an extension for the relief scheme.
The applications being processed first are for the period of 16 October to 31 December 2020. The second period of applications will be from 1 January to 15 March 2021.
During engagements between the UIF and Nedlac, it was decided that support will be given to sectors that are unable to operate due to the regulations.
This support will be given to sectors like tourism, hospitality, alcohol, conferencing events and other affected businesses and establishments.
Acting UIF Commissioner, Marsha Bronkhorst has welcomed the decision to provide extended relief to affected sectors.
“The social partners impressed on us that we need to carefully consider other business activities that get indirectly impacted if the main business they render a service to is not operational.
“For example, a bottling supplier in the liquor industry gets affected if production is stopped or reduced by the alcohol manufacturer, and so does the wine or grain farmer who supplies raw material to the manufacturer. So, the invaluable input from social partners has assisted in drawing up the comprehensive list that is attached as an annexure to the Direction,” she said.
Unlike the funds that were disbursed in 2020, these extended TERS payments will only be given to employees who contribute towards the UIF.
“This means if you are registered with the Fund as a contributor and fall within the identified sectors or business establishments, and have not been able to work normally, you qualify to receive the benefit,” said the UIF.
The funds will also cover employees who are vulnerable , such as:
- Employees who have comorbidities
- Employees who are 60-years or older and cannot be accommodated at work
- Employees who must isolate or quarantine
- Employees in a range of sectors affected by operational requirements such as shift rotations and temporary layoff.
The UIF will also allow employees to receive full benefit payouts, instead of the usual benefit level.
"Providing that when added to what the employee earned for work performed in the period, it does not exceed their normal earnings."
Guidelines for the application process are available on the Department of Employment and Labour website (https://uifecc.labour.gov.za/covid19/) and the COVID-19 TERS portal (uifecc.labour.gov.za).