Compensation Fund Letter of Good Standing
In order for an Employer to be in good standing with the Compensation Commissioner the Employer must:
- Be registered with the fund.
- Have submitted all outstanding return of earnings.
- Paid all outstanding assessments.
(Please note: You cannot get a letter of good standing without being registered for COIDA)
If your company depends on tenders, a certificate is an essential and legal requirement. Employers that have not yet been assessed by the Compensation Fund will first be assessed, up to the current assessment year, and are expected to pay all outstanding assessments in order to meet the criteria set out above. As soon as we receive your application for a Letter of Good Standing, COIDA SERVICES SA will request it from the Compensation Fund. If there are no outstanding returns/monies on the registration number, the letter of good standing will be e-mailed to you within 5 working days.
IMPORTANT
The Compensation for Occupational Injuries and Diseases Act, COIDA, of 1993 requires that all employers, other than those specifically excluded by the Act, be registered with the Commissioner and submit their annual return of earnings. In order to do so, all companies need to be registered as employers with the Compensation Fund of South Africa.
WHAT DOES THE FUND DO FOR ME?
Many employer's see compliance with the Fund merely as a means to getting Letter of Good Standing for tenders and contracts. The Fund is however one of the important building blocks to a successful business, ensuring peace of mind and assurance to both employers and employee's subjected to the possibility of injury & diseases through the work environment. Employers are protected from being sued by employee's injured on duty, while employee's can claim for financial loss caused by injury or diseases.
OUTSTANDING FEES
If there are outstanding monies owed to the fund when we apply for the letter, we will notify the client of the outstanding amount. The client can then make payment to the Compensation Fund directly and submit proof of payment to us. We will hand in the proof of payment to the Compensation Fund. The Letter of Good Standing will then be issued within +- 5 working days after the proof of payment has been submitted and Compensation Fund has no further queries.