The UIF’s COVID-19 TERS has been extended

The UIF’s COVID-19 TERS has been extended. Here's what you need to know:

What is the extension period?

The period for the extension is from 16 October 2020 to 15 March 2021, broken up into two claim periods:

• 16 October until 31 December 2020
• 1 January until 15 March 2021

Claims can be made for the entire period or part of a period. There hasn’t been any change in the calculation of the benefits, and as per the previous TERS benefits, applications may only be made for employees who are contributors to the UIF.

Who qualifies?

The following employees qualify if they have had a loss of income due to salary reductions or leave:

• Employees who have had to self-isolate or quarantine (due to Covid-19)
• Those aged 60 and above who could not be safely accommodated at work
• Employees with comorbidities who could not be safely accommodated at work
• Employees within the following specific sectors, which have been particularly affected by national disaster regulations

What documents need to be submitted?

As per previous claims, employers are required to upload the following docu­ments:

• Signed approval / acceptance letter
• Bank Confirmation Letter (no older than 3 months)
• Proof of payment to employees for previous claim (e.g. EFT, payroll report, recon)
• Refund to the UIF (if applicable)
• A letter of authority is also required to lodge a claim

What if employees don’t fall into the categories above?

Employees who continue to be affected by short time, shift rotations, temporary layoff, and other operational re­quirements related to current economic conditions, but who do not work in the specified sectors, will be entitled to claim relief under section 12 (1B) of the UI Act i.e., Reduced Work Time (RWT).

The benefit for RWT is calculated in the same way as the COVID-19 TERS benefits. However, unlike the TERS benefits, it utilises an employee’s credits.

Please get in touch with us to find out more about how we can assist you.

Cova Advisory