WC Government calls for UIF TERS to be reopened to support businesses during level 4 restrictions

The Western Cape government is calling for the national government to reopen the Unemployment Insurance Fund (UIF) COVID-19 Temporary Employee Relief Scheme (TERS) for the next 14 days. This comes after President Cyril Ramaphosa announced that the country would move to Adjusted Alert Level 4 restrictions in a bid to reduce the spread of the virus.

WC GOVERNMENT SAYS UIF TERS URGENTLY NEEDED

The Provincial Minister of Finance and Economic Opportunities, David Maynier, said he wrote to the Minister of Employment and Labour, Thulas Nxesi, to request the reopening of UIF COVID-19 TERS for the duration of the Alert Level 4 restrictions to assist businesses and employees who will not be able to earn an income under the tighter restrictions.

“Many businesses, particularly in the hospitality and liquor sectors have already been hard-hit with significant job losses during the COVID-19 pandemic,” said Maynier.

“Wine farms, restaurants and coffee shops cannot survive on takeaways alone. Two weeks of no income for these businesses, as well as cinemas, gyms, casinos, conferencing venues and theatres, will have a direct and sudden impact on people’s livelihoods – their ability to pay salaries, rent and buy food,” added the minister.

The Western Cape Government said the UIF TERS funding could be the lifeline that businesses and employees need to stay afloat while the economy is restricted, adding that the province has “focused on getting the balance” between halting the spread of the virus while keeping the economy going.

“We have worked hard to support businesses to open safely by providing extensive guidance and assistance in implementing the necessary COVID-19 protocols in the workplace,” said Maynier.

The Minister pleaded with those who are able to financially support the businesses impacted by the restrictions to do so. “We know times are tough, but if you can, please support our restaurant sector and order takeaways over the next two weeks, especially from small businesses,” said Maynier.

WHO IS ELGIBLE FOR TERS BENEFITS?

The UIF COVID-19 TERS was created to help employees who have lost income due to the COVID-19 pandemic and the regulations affecting the economic activity during the different levels of lockdown.

According to the government, eligibility for benefits is limited to employees who normal month remuneration has been reduced or no monthly income is received because they have:

• Not been able to work at all, or
• Worked short-time or reduced hours, or
• Suffered a temporary salary reduction related to the operational requirements of the employer.

Employers are required to apply for COVID-19 TERS on behalf of their employees via the TERS online portal.