While salary cuts … Working from home entitles employees to remuneration for the period. Can I include casual employees in my wage subsidy application? A Short answer: ‘No’ In my … Even businesses allowed to operate (essential services) have had to alter operations and staffing requirements in line with increasing regulations issued as the government comes to grips with the pandemic. Where an employer implements short time/reduced working hours (in agreement with the employee), the employee may be able to claim relief from our statutory insurance fund, the Unemployment Insurance Fund (UIF). He noted that the Basic Conditions of Employment (BCEA) stipulates the minimum conditions of employment and provides that the annual leave that an employee is entitled to take is 15 working days per annum (21 ordinary days). A contract can be varied relating to salary reduction, bonus waiver or reduction, compulsory use of annual leave during the lockdown period and so forth. The biggest, most powerful and most experienced of employers can lose in the Labour Court. My work has just inform me that they want to move me from one divion to another division at a lower salary,are they allow to drop my salary. The lockdown announced by President Ramaphosa on Monday night has drastic and far-reaching consequences for employment relations in South Africa. “The establishment of the Temporary Employee / Employer Relief Scheme (TERS) is in no doubt capable of having immense potential with regards to reducing the adverse consequences of Covid-19. If the hours are not worked, there would be no legal claim for a wage or a salary. as is defined in the current lockdown where 5-day workers lose 13 working days) the benefit would be calculated on a pro rata basis, i.e. Employment and Labour Minister Thulas Nxesi explains that if employers have been forced to close during the lockdown, they can apply to the relief scheme to pay their employees. As an alternative to the leave bank, an employer should be required by statute to deduct money from the employee in the same way that is done for medical aid or the Unemployment Insurance Fund (UIF), July said. the company must be registered with the UIF; the company must comply with the application for the financial relief scheme; and. Retrenching employees is becoming harder and harder. An employer must submit the following key documents: Employers can send their application to: Bosses can absolutely lower salaries just like they can raise salaries. “Those who have donated their own leave days would not be entitled to the aforementioned payout. On the other hand, those employers who cannot afford the aforementioned could approach financial institutions for financial assistance on favourable terms, he said. document.write(''); Essential workers who contract COVID-19 during the lockdown are also entitled to compensation under COIDA. The law The law stipulates that employers must pay their employees within seven … On March 20, the Labour Ministry issued advisories to the employers’ associations not to terminate their employees (especially precarious workers) and reduce … The benefits will only pay for the cost of salary for the Employees during the temporary closure of the business operations and the salary benefits will be capped to a maximum amount of R17 712, 00 per month, per Employee and an Employee will be paid in terms of the income … “Now – amid rumours of a lockdown extension – the focus has shifted to the survival of their businesses.” WEF asked a virologist, South African banks want loan guarantees amid coronavirus fallout. Essential goods include food and non-alcoholic beverages; cleaning and hygiene products; medical supplies, personal protective equipment, chemicals and packaging of medical supplies; fuel and basic goods such as airtime, electricity and withdrawal of cash. But I am not convinced that it can address the crisis completely,” he said. In that case, the legal obligation to pay ends: but do not panic, that point has not been reached. The employment law landscape has undergone a number of changes and remains fluid as the crisis continues. “Simply put, there is an intervening impossibility of performance which leaves both the employer and employee unable to meet their obligations. Employers and government alike are seeking to find ways to manage the disruption caused to business operations and in effect, the economy. In light of the Covid-19 pandemic and the government lockdown that has been implemented in South Africa, employers may implement the principle of "no work, no pay". Employers may apply the principle of "no work no pay" during the forced lockdown period. Temporary Employer / Employee Relief Scheme (TERS). Employers are also not allowed to force workers to use their annual leave or unpaid leave during this period, as the movement restriction was made under the Prevention and Control of Infectious Disease Act 1988, the MoHR said … In terms of this scheme, employees are entitled to a salary benefit, capped at R17,712 per month. _____ Anonymous Date: Mar 16, 2017. The labour-intensive nature of the South African economy further reduces the economy’s ability to continue as normal during a time of lockdown. To claim for this benefit, employees should submit the following documents: Employers are entitled to commence with a redundancy process due to operational requirements. Is not obliged to pay continues - unless the 'lockdown ' lasts for a time... Reached, again can an employer reduce your salary in south africa lockdown do n't panic, the government has encouraged employers paying! 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