Pons Consulting

Labour Brief

CRITICAL UPDATE: UIF TERS INFORMATION  
23 May 2020      
UIF TERS is introducing a number of changes in process of making application for May and in terms of managing April’s claims.
 
May applications: The UIF site is not open for May applications. We will advise when it opens.
 
Key messages to reinforce:
 
Unpaid April Claims: Employers who have not received funds for April are asked to escalate this to the UIF call centre and the UIF has undertaken to contact employers directly to resolve any outstanding issues so that workers can get paid.
 
Honouring MOA’s: Many employers who received April benefits, have not provided proof to the UIF that employees were paid entitlements. Employers who have not submitted proof are urged to do so.
 
Advance payments to employees: UIF continues to encourage Employers to make advance payments to employees so that they receive an amount (of salary) on regular paydays. Employers who do this must indicate that they are applying for a refund when they make the application. The full claim will then be paid to the employer.
 
Changes to the system for May:
 
Option to select payment to Employer: The process will allow Employers to indicate whether the benefits should be paid to the company or directly into employees’ bank accounts will be available. 
 
Example: 
This would assist if an Employer is entitled to receive payment / a refund from the UIF, which would be the case where the employer has paid the benefit to the employees, or where the employees have been required to take annual leave. In no election is made, the UIF will make payment directly to the employees. 
 
Payment directly to employees: The UIF has advised that they have the capability to pay individuals directly providing them and the employer of proof of when this has been done.  This will be done due to complaints that some employers did not make the April payments to employees, within the required 48 hours. 
 
Submitting employee bank accounts: Employers who did not submit employee bank account details and mobile numbers to the UIF when they initially applied should do so in their May applications.  Employers who did so for April will not need to do so again.
 
Employees can apply directly for TERS: It remains the employer’s responsibility to apply for TERS benefits on behalf of employees. Where employers refuse or fail to do so, employees will be allowed to apply directly. 
 
The Department aims to launch a new web platform, which will automate the applications value chain and speed up processing of payments. The UIF is also in the process of creating a YouTube video explaining the COVID19 TERS application step-by-step. The UIF call centre may be contacted on 0800 843 843.
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