CAPE TOWN – There is a great deal of confusion around the new Covid-19 temporary employee relief scheme (C19 TERS) and who can apply for the benefit. According to Justice Moore, it no longer matters whether a temporary layoff is allowed for in an employment contract. Labour on Temporary Employer-Employee Relief Scheme during Coronavirus COVID-19 lockdown. 27 Mar 2020. This makes it possible for people to realize their rights and access benefits and opportunities in both the public and private domains. In the absence of such provisions, employers may not impose these measures unilaterally – it will have to be agreed upon. On 18 January 2018 the President assented to several amendments to the Unemployment Insurance Act of 2001, including the insertion of the following provision to section 12 of the Act: "(1B) A contributor employed in any sector who loses his or her income due to reduced working time, despite being employed, is entitled to benefits if the contributor’s total income falls below the benefit level that the contributor would have received if he or she had become wholly unemployed, subject to that contributor having enough credits.”. I am a preschool owner and we were closed from the 18th March 2020. F: 086 510 6417 Temporary Layoff Letter: In some circumstances, employers may want to reduce their workforce temporarily. Such payments are however granted to employees at the discretion of the employer. A reduction of remuneration needs to be negotiated and agreed. If TERS is claimed, are you as an Employer allowed to pay your employees an additional amount on top of the amount received from UIF, Good day. This policy applies to all our permanent full-time or part-time employees. As such the BCEA recognises certain forms of leave, which may, depending on the circumstances, be applicable to the employees’ absence as a result of COVID-19. Once the claim has been submitted in accordance with the requirements, the intention is for payment to occur within 30 days thereafter. Read about membership benefits here. Our Temporary Layoff policy outlines our rules for temporarily suspending our employees. If a company claimed the TERS fund for the 3 months for his employees can they after the TERS amply for uif if the workers are still paid reduce hours/ rates or are still on short time, When C19TERS is no longer available (as from 1 July) employees can claim normal UIF (reduced work time) benefits – see our article at https://www.labourwise.co.za/labour-news-teazer/guide-to-uif-and-other-covid-19-options-updated-30-march-2020, My Employee has just issued us with a further notice for an extended 3 months lay off starting July to August , please advise if we are eligible to collect uif and what forms documents will be required . “As part of the application for the benefit, a letter from the employer confirming the company shut down or employee’s 'temporary lay-off' due to the Corona Virus must be included. +27 (0)82 979 0684 +27 (0)83 453 8483; [email protected] I suggest you read the article and links carefully. You first need to make sure that you have chosen the right option, UIF for “reduced working time” versus UIF Covid-19TERS benefits. Scope. Temporary lay-off: Circumstances beyond the employer’s control, such as the COVID-19 pandemic, can add to create a challenging environment where the employer has to make difficult decisions in order to continue business operations sustainably. For assistance with short time or temporary lay-off agreements employers may contact [email protected]. In Article Archive, Article Archive - Home, Article Archive - Teazer, Labour News, Labour News Teazer by Jan Truter18 March 202019 Comments. 11. The layoff depends on an agreement between an employer & a trade union on behalf of workers,or ,in the absence of a trade union, between an employer & individual workers; Ask Your Own South Africa Law Question Customer reply replied 8 years ago I was under the impression tha hourly paid workers can be laid off if it can be proven that the division or section of that company has been unprofitable for a while (12 months in this case). A Temporary Layoff Letter: The Middle. This is precisely the type of situation which the Covid-19TERS relief is intended for. The recent outbreak of the COVID-19 (coronavirus) has forced many companies to shut down offices temporarily while employees are in self-quarantine. This includes linking or attaching documents that can help ease the person's mind while also informing them of how these events work. Contact Info. Under the Regulation, employees whose hours of work are reduced or eliminated, or whose wages are reduced, are no longer considered to be on a temporary layoff under sections 56 (what constitutes termination) and 63 (what constitutes severance) of the ESA. If it becomes apparent that the circumstances remain unchanged, the employer may need to consider retrenchments. You want to offer a way for the employee to learn more about the layoff and all of the details that surround them. A Covid-19 Temporary Employer/Employee relief scheme has since been introduced to help employers to pay their employees while they are on temporary lay-off. We were already hard pressed as a company as strike action in the area of our main branch caused many people to leave the area resulting in us losing alot of learners. I suggest that your husband waits to see what happens. For the latest developments see our most recent article. As it is only temporary, there is no need for the employer to take drastic action to liquidate the business. Issue the notice to consult and have the employees sign to confirm receipt thereof. My business barely survive from month to month. How can this be achieved? This is done under a variety of circumstances for several reasons that may include: 1. We strongly advise employers to be proactive and include a clause in the employment contract where the employee agrees to this, so that in a case of unforeseen circumstances beyond the employer’s control, the employer is in the position to act. For more stories, go to Business Insider's home page. Any employee can be temporarily laid off as long as relevant provisions of the Employment Standards Act, 2000 (ESA) are complied with. The employee will however be entitled to claim benefits from the Unemployment Insurance Fund (UIF) after the employer assisted the employee to complete the necessary documentation. We recognize that large-scale layoffs, both temporary and permanent, affect morale and job satisfaction. Commentdocument.getElementById("comment").setAttribute( "id", "ab126232308930eb565b6613b6f52ae0" );document.getElementById("cff85cafdf").setAttribute( "id", "comment" ); Labourwise is an online advisory service for employers in South Africa. If you are preparing to lay employees off, be sure to have an attorney review your layoff plans, as well as your letter, to avoid legal risks. Temporary lay-off (2) For the purpose of clause (1) (c), a temporary layoff is, (a) a lay-off of not more than 13 weeks in any period of 20 consecutive weeks; (b) a lay-off of more than 13 weeks in any period of 20 consecutive weeks, if the lay-off is less than 35 weeks in … Insurance Act of 2001 is likely to bring much needed relief to affected employees makes it possible people! Or temporary lay-off that your husband waits to see what happens are,! 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