A new way for UIF to pay Covid19 Ters Benefits – directly to workers
The Minister of Employment and Labour, Thulas Nxesi, today signed the order allowing the Unemployment Insurance Fund (UIF) to implement a third extension of the Covid19 TERS benefit.
The UIF scheme will open on 19 July 2021, and payments will start on 26 July 2021.
However, there is one primary condition that has changed. Payments will be made directly into employees’ bank accounts rather than through their employers. Employers will still be expected to apply on their behalf.
The third phase will bring relief for the following categories of workers:
- Workers who could not work from 16 March 2021 because Level 1, 2 and 3 restrictions prevent gatherings of a certain number of people – for example, in the entertainment industry;
- Workers who were or are still affected by the Stage 4 restrictions that came into force on 28 June 2021; and
- Workers who could not work during this period because they are over 60 or have comorbidities, and those who had to be isolated or quarantined.
The UIF has agreed to open the window for Phase 3 of Covid TERS to cover 16 March 2021 to 25 July 2021.
The qualifying sectors for Phase 3 of Covid TERS are listed in Annexure A of the Direction, including venues hosting auctions, professional sports, social events, and concerts and live performances. Annexure B includes all sectors affected by Level 4 lockdown restrictions, including restaurants, the liquor industry, hospitality and tourism, and all industries and business establishments that are part of these value chains.
Further operational details will be included in a letter sent directly to employers. The letter, along with the guidelines, will be available on both the TERS portal (www.uifecc.labour.gov.za) and the Employment and Labour website (www.labour.gov.za ).