What is COIDA and who needs to register?
COIDA stands for the Compensation for Occupational Injuries and Diseases Act. By South African law, every business that employs one or more workers (including full-time, part-time, or casual staff) must register with the Compensation Fund. If you are a working director drawing a salary, you also qualify as an employee and need to be covered.
What is a Letter of Good Standing and why do I need it?
A Letter of Good Standing is a document issued by the Department of Employment and Labour. It proves your business is fully registered and up to date with all financial payments to the Compensation Fund. Most corporate clients and government entities require a valid letter before you can apply for tenders or sign new contracts.
How long does it take for a claim or letter to be processed?
Every claim and application depends entirely on the Compensation Fund‘s internal systems. While we handle your files immediately and use smart strategies to avoid mistakes, no private firm can control state turnaround times. We focus on submitting bulletproof paperwork to minimize administrative delays on their side.
What happens if I am not registered or fail to report an injury?
Operating without a registration or failing to report a workplace injury within the legal time limits can lead to heavy financial penalties or legal prosecution from the Department of Labour. Furthermore, if an unregistered employee gets hurt on the job, your business can be held personally liable for their massive medical bills and loss of income.
What is the annual Return of Earnings (ROE)?
Every year, registered businesses must submit a Return of Earnings (ROE) declaration. This document declares the total amount of money you paid your employees in salaries over the past year, alongside an estimate for the coming year. The Compensation Fund uses this information to calculate your annual assessment fee.
Can an employee sue me if they get hurt at work?
No. This is the biggest benefit of being compliant. When you are registered and up to date with the Compensation Fund, the Act protects your business. Employees receive compensation directly from the Fund for medical bills and disabilities, and they cannot sue you personally for the workplace accident.