Kouga local municipality
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Last modified: 30 Nov 2017
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Kouga IOD scare addressed

28 November 2017

For the first time in ten years Kouga Municipality and its staff are once again registered with the Department of Labour’s Workmen’s Compensation Fund.

The good news follows four months after the Kouga Council made the shocking discovery that the municipal administration had failed to pay Return of Earnings (RoE’s) to the Compensation Commissioner at the Department of Labour for ten years.

Executive Mayor Elza van Lingen said the outstanding bill at the time totalled almost R13-million, accumulated from 2007 to 2016.

RoE’s are payable annually to the Compensation Commissioner and are required for what is commonly known as “workmen’s compensation”. The practice is regulated by the Compensation for Occupational Injuries and Diseases Act, No 130 of 1993 (COIDA), which provides for compensation for disablement caused by occupational injuries or diseases sustained or contracted by employees in the course of their employment, or for death resulting from such injuries or diseases.

“In practice, the municipality’s failure to pay RoEs meant that the institution and its staff were not covered for Injury on Duty claims, putting Council and its workforce at substantial risk,” Van Lingen said.

The Mayor said then newly-appointed Municipal Manager Charl du Plessis was tasked by Council in July to come to an arrangement with the Department of Labour to rectify the matter.

“An agreement was reached and the municipality has since received a Letter of Good Standing from the Department of Labour to confirm that the municipality and staff are once again properly covered for ‘workmen’s compensation’ in line with the Act.”