TERS UIF payout greater than the remuneration short paid to employees.

SUGGESTED

Good Day

Please assist.

We have a company of just more than 1000 employees.  200 of the employees took a 20% cut in April and the other 800 will received a pay cut in May, June and July.

We therefore only submitted for the employees who took a pay cut (1 April 2020 – 30 April 2020).

UIF has made a payment to us as a company and we have downloaded the file with the allocated amount per employee.

The UIF COVID-19 Relief paid is more than the amount short paid to the employees in April, which we have a concern about as the employee should not be better off than what they would have been had they been paid 100% of their salary.

Example:

  • Monthly Remuneration before (March 2020)        R 18 592.57
  • Remuneration for the month of April 2020            R 14 874.06
  • The amount received by DoL                                R6 638.40

We do want to make the payment to employees, but do not want to risk overpaying them and then having to recoup the money again later.

Do you have any insight on the above?