COVID-19 TERS Phase 2 Claim Process
Update 19 March 2021: The UIF has released a Frequently Asked Questions Document on the two extended periods. To view it, click here.
Today’s blog post highlights the salient points from the UIF’s correspondence with employers on 3 March 2021 regarding the two new extension periods for Covid-19 TERS: 16 October to 31 December 2020, and 1 January to 31 March 2021.
Who Can Claim?
Subject to falling within one of the relevant claim codes, the TERS benefit for the extended periods is available for any employees who are registered with the UIF as a contributor and who have not been able to work normally. Each of these elements are broken down below:
Registered with the UIF
This requirement stipulates that only employees who are registered to contribute to UIF are eligible for Covid-19 TERS payments.
Have not been able to work normally
To be able to claim the benefits for the two extended periods, employees need to fall into one of the following four categories:
| Category | Description |
| Claim Code 1 | Employees (on temporary lay-off or reduced working time) within those sectors that have not been able to operate due to regulatory restrictions as per directives issued. A list of these sectors is detailed in the table below – to verify your company’s eligibility, the UIF will require you to provide the relevant Sector Industry Class (SIC) for your business. |
| Claim Code 2 | Employees aged 60 and above, and who cannot be reasonably accommodated at work. |
| Claim Code 3 | Employees in isolation and quarantine to prevent the spread of Covid19. |
| Claim Code 4 | Employees with co-morbidities and who cannot be reasonably accommodated at work. |
Additional Info: Eligible Sectors for Claim Code 1
A list of the eligible sectors in Claim Code 1 is provided in the UIF’s correspondence on 3 March 2021, but is tabled below for your convenience:
- Cinemas
- Theatres
- Casinos
- Museums, galleries, libraries and archives
- Gyms and fitness centres
- Restaurants
- Venues hosting auctions
- Venues hosting professional sports
- Night clubs
- Swimming pools
- Bars, taverns and shebeens
- Public parks
- Domestic and international air travel
- Rail, bus services and taxi services
- E-hailing services
- Sale, dispensing and distributions, and transportation of liquor
- Beaches, dams, rivers and lakes
- Passenger ships
- Venues where social events are held
- Venues hosting concerts and live performances
- Hotels, lodges, bed and breakfast, timeshare facilities, resorts and guest houses
- Conferencing, dining, entertainment and bar facilities
- International sports, arts and cultural events
- Professional services (cleaning and security) within regulated restricted sectors (e.g. hospitality)
- Other services and activities within regulated restricted sectors (e.g. hospitality)
When to Apply
Applications for the 16 October to 31 December 2020 period are open for employees eligible for TERS under the first category (Claim Code 1). The UIF is still tweaking their system to accommodate applications for employees eligible for TERS under categories 2, 3 and 4; they will communicate as soon as the system is ready to accept these applications.
The UIF is not yet accepting TERS applications for the 1 January to 31 March 2021 period; the opening date for these applications will be announced in due course.
How To Claim
The application process remains the same as the first extension period. Your applications need to be accompanied by the following documentation:
- Signed approval / acceptance letter (i.e. the Memorandum of Agreement or application, pre-signed by and for the UIF)
- Bank Confirmation Letter (current)
- Proof of payment to employees for previous benefits claimed and received for the prior period (e.g. EFT, payroll report, pay recon)
- Refund to the UIF (if applicable)
- Letter of authority
The claim for eligible employees can be captured either on the TERS online portal itself or by completing the spreadsheet template attached to the UIF’s email (also available to download here).
Unfortunately the CSV upload facility is not currently available for these applications, so it is of utmost importance that you ensure that the relevant information is captured correctly in the online portal or spreadsheet.
To complete the application correctly, the UIF highlights the following critical data fields in particular:
| Field | Important Notes from the UIF |
| Monthly Salary | This needs to be the employee’s regular monthly salary and should not be increased in line with the full application period |
| Remuneration Earned for Hours Worked (Yellow Column on Spreadsheet) | This amount must reflect the full lockdown period’s cumulative remuneration, i.e. the amount you have paid your employee between 16 October and 31 December 2020 for the work they’ve done across this full lockdown period but not payment of advances, leave entitlements or gifts. |
Should you have any questions on any of the above, you can contact the UIF on 0800 030 007. Greater detail can also be found in the UIF’s correspondence sent to employers.
We hope that this information has proved useful to you. If you have any questions on how the information provided relates to SimplePay, you can contact us at info@simplepay.co.za.
Equally, if you are not yet a client of SimplePay but would like to be, why not check out our website? Or, better yet, try out our service for free with our 30-day trial, get acquainted with our user-friendly service by reading our getting started page, or take our free online course.
Keep well and stay safe.
Team SimplePay