Need to know tips: Temporary Employee Relief Scheme (TERS)

  1. An employer may claim from TERS if it had to temporarily close either wholly or partially for a period of 3 months or less. The purpose of TERS is to avoid employees losing income as a result of the national lockdown.

     

  2. TERS benefits are calculated according a specific set of rules. The maximum TERS benefit per employee is R6 700 and the minimum R3 500. The UIF uses an automated calculation that incorporates an income replacement sliding scale when calculating the benefit due to each employee.

     

  3. Employers may claim TERS benefits in respect of employees who have taken annual leave during the national lockdown. The employer may retain these amounts, provided that it credits the employee with leave days proportionate to the value of the benefit.

     

  4. Employers are urged to pay employees the equivalent of their TERS benefits in advance should these not have been received by the employer on their payment date. The employer can then retain those amounts when the TERS payment is received from the UIF.

     

  5. Employers are advised to submit all TERS claims by 30 April 2020, as it is believed that the window for applications will close on the aforesaid date;

     

  6. The UIF introduced an online application process for TERS which is available at: www.uifecc.labour.gov.za /covid19.  

 

Should you require advice regarding TERS or the payment of salaries during the nationwide lockdown, or require any labour or employment related assistance, contact Donald Fischer from our Litigation and Dispute Resolution team: donaldf@vdt.co.za.

April 27, 2020
When agreements have limits

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Maintenance agreements in South Africa have become increasingly popular between parents of minor children as a means of regulating their respective maintenance obligations outside of court. These agreements are a useful tool, allowing parents to exercise a degree of contractual freedom. However, their provisions remain subject to statutory regulation and the overarching principle that contracts must conform to public policy.

Fee or tax? The court decides

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With effect from 1 July 2025, the City of Cape Town introduced three new charges on residential rate bills. These charges were challenged by the South African Property Owners’ Association (SAPOA) and AfriForum, who argued that they were unlawful and improperly calculated. The dispute culminated in court applications seeking declaratory orders that the charges were invalid because they were inconsistent with the Constitution, national legislation, and the City’s own By-Laws.

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