Mounting calls for government to reopen Covid-19 Ters scheme

There are mounting calls for the government to reopen the Unemployment Insurance Fund (UIF)’s Covid-19 Temporary Employer-Employee Relief (Ters) scheme for businesses and workers that won’t be able to operate over the next 14 days.

The Democratic Alliance (DA) and the the Congress of South African Trade Unions (Cosatu) have challenged the government to avail Ters funds in the wake of the Level 4 lockdown announced by President Cyril Ramaphosa on Sunday evening.

They are saying that the tougher lockdown will deal a devastating blow to many enterprises in the liquor industry, the restaurant and hospitality sectors, as well as tourism, weddings and conferencing sectors.

“The new lockdown regulations will threaten the livelihoods of thousands of employees who are unable to earn an income,” said DA’s Shadow Minister of Employment and Labour Michael Cardo.

“The Covid-19 Ters scheme came to an end in March, but the lockdown did not. For as long as the government prevents people from participating in the economy, it has a duty to mitigate the devastating economic impact with financial assistance,” said Cardo.

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Cosatu secretary-general Bheki Ntshalintshali said that the government needed to find funds to help affected industries.

He was speaking to eNCA‘s Clement Manyathela.

He said that this may not be a legal obligation but remained a moral obligation.

“From the beginning the president has been emphasising the question of the two sides of the same coin, and I think government has in the past provided that leadership of helping those sectors of the economy that may be facing difficulties, so we are expecting the president to find money somewhere to ensure that those sectors do not collapse and that those workers are assisted one way or the other,” said Ntshalintshali.

He said it was the governments responsibility to bring relief to the citizens every time disaster strikes.

The DA has since called on the Minister of Employment and Labour, Thulas Nxesi, to communicate with the public on the matter urgently.