Nxesi: At least 700 000 still await Covid-19 Ters payout
Employment and Labour Minister Thulas Nxesi says at least 700 000 people haven’t received their Covid-19 Temporary Employee Relief Scheme (TERS) payout.
The Unemployment Insurance Fund (UIF) scheme set out to supplement earnings for employers who have had to close their doors, or part of their operations, as a direct result of the Covid-19 pandemic, and where an employee has suffered a loss of earnings.
At least R10 billion was earmarked for the fund which was recently extended to August.
Nxesi told MPs on Thursday that the fund had run into some trouble with payouts.
“We have considered that there would still be people that have still not been paid. I cannot at this stage have the figure but what I know, around 700 000 people have indicated that they have not been paid. We have followed up this.”
Nxesi says the reasons for a lack of payout varies.
“There are a number of reasons, some it’s about these employers which have received the money but have not handed over the money to the employees, some it’s about the foreign workers whose documentation are not proper in terms of their identification.
“We are trying to work with the employers collaboratively to deal with those issues but those employers who have not paid, they seem to be many and we are following that up.”
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Ters payments halted amid probe by auditor-general
Ters is supposed to ensure that workers affected by the Covid-19 lockdown receive much-needed money. It is understood that the auditor-general has launched a probe amid allegations of fraud and corruption. Business for South Africa's Robert Leigh believes it is unfair to halt all payments.
Nxesi vowed to settle the outstanding amounts.
“No matter how long it takes, if people are owned their monies they will have to be paid after we have done proper investigation and we have satisfied ourselves of the proper documentation.”
Business Unity South Africa and Business for South Africa revealed on Thursday that payments had been halted pending an investigation into fraud and corruption by the auditor-general.
