Injuries on Duty Class A – COIDA / WCA Tariffs of Assessment

Overview

The purpose of COIDA / WCA is first and foremost to provide all employees with the necessary compensation should they be disabled due to occupational injuries or diseases, sustained or contracted by employees during their employment.

It also provides compensation in the event that death results from such injuries or diseases and provides for any and all matters which are connected therewith. The introduction blog supplies More Information on Injuries on Duty Class-A and the other WCA Tariff of assessment classes and references to them.

COIDA / WCA Annual Assessment

Every year, the Compensation Commissioner performs an assessment on all registered employers which are spread across all industries. These employers are divided into industry classes and subsequent sub-classes, of which there are 100.

Every subclass is allocated a tariff which must then be paid annually. The tariff is calculated according to the risk ratio which is associated with the nature of the sub-class’ business.

The tariff structure will change from 2021 onwards, and it is for this reason that Class A tariffs for 2020 and the next five years have been calculated.

The table on the next page will indicate the Class along with its sub-classes, and corresponding industry.

Once an employer’s assessment fee has been calculated according to the total of all employees’ salaries divided by 100 (ratio percentage) and then multiplied by the assessment tariff, this must be paid within 30 days of the assessment from the Commissioner as per Section 86.1 of COIDA.

The new rate will be provided first and compared side-by-side with the 2020 rate and followed by the rates changes that can be expected for the next five years as per the current risk ratio. These fees may change depending on changes in the risk ratios. 

 

It is important that employers take note that this year’s assessment will be calculated as follows – the final assessment for salaries and wages for 2020 will be based on last year’s tariff rates and the provisional calculations for salaries and wages for 2021 will be calculated on the new gazetted tariff rates.

The tariffs which are introduced will replace the W.AS. 178T notice and are as follow:

 

Table 1: Class A current and prospective tariffs

Sub-Class

Industry Name

Alt Class Compensation Fund

New Rate

2020 Rate

5-Year Phase In:

2021

2022

2023

2024

2025

1600

Finance

Class XVI

0,18

0,09

0,10

0,12

0,14

0,16

0,18

1920

Beauty and Hair Salons

Class XIX

0,18

0,11

0,12

0,13

0,15

0,16

0,18

2100

Medical Specialist

Class XXI

0,18

0,12

0,13

0,14

0,15

0,17

0,18

2200

Consultants

Class XXII

0,18

0,24

0,23

0,21

0,20

0,19

0,18

2210

Admin Consultants

Class XXII

0,18

0,15

0,16

0,16

0,17

0,17

0,18

2300

Education Services

Class XXIII

0,18

0,20

0,20

0,19

0,19

0,18

0,18

2410

Organisations

Class XXIV

0,18

0,34

0,30

0,26

0,26

0,20

0,18

 

1600 – Finance – Class XVI

This includes the following businesses:

  • Banking
  • Insurance
  • Financial investment or a trust employer
  • Funeral insurance society
  • Stock and share brokers
  • Estate and financial agents
  • Building societies
  • Control boards
  • Medical aid funds, and
  • The business of assessor, or loss, appraisers.

1920 – Beauty and Hair Salons – Class XIX

This includes the following businesses:

  • Hairdressers
  • Barbers, and
  • Beauty shop proprietors.

2100 – Medical Specialist – Class XXI

 

WCA taffif changes sub-class 2100 Medical services

This includes the following businesses:

  • Dentistry
  • Medical practitioners
  • Masseur or radiologists
  • Nursing and ambulance associations
  • Chiropodists, and
  • The business of conducting electro medical institutes

2200 – Consultants – Class XXII

This includes the following businesses:

  • Analyst businesses
  • Assayer
  • Analytical chemists
  • Architects
  • Surveyors
  • Geologists
  • Consulting engineer
  • Messenger of the Court, and
  • The business involved with conducting an observatory.

2210 – Admin Consultants – Class XXII

This includes the following businesses:

  • Accountants
  • Auditors
  • Advocates
  • Attorneys
  • Conveyancers
  • Notaries
  • Law agent
  • Quantity surveyor
  • Editing and journalistic work without printing and/or publishing other than distribution through the post
  • Press agency
  • Typing and roneo work as a separate business, and
  • Any other profession under this class otherwise not stated.

2300 – Education Services – Class XXIII

This includes the following businesses:

  • Universities
  • Colleges
  • Trade schools
  • Training ships
  • Art galleries
  • Music schools
  • Dancing academies or schools
  • Nursery schools
  • Charm schools
  • Libraries
  • Museums, and
  • Botanical gardens where such arts are conducted in addition to any other undertaking or business.

WCA arrif changes for assessment in sub-class 2300 Educational services

2410 – Organisations – Class XXIV

This includes the following businesses:

  • Trade unions
  • Industrial councils
  • Trade or professional associations
  • Chambers of commerce
  • Unemployment benefit funds

Activities of charitable institutions which do not fall within any other subclasses such as:

  • Child welfare societies
  • Orphanages
  • Religious or political organizations
  • Societies for the prevention of cruelty to animals
  • Free-masons
  • Boy scout clubs
  • Anti-waste organizations
  • Mission stations
  • Red Cross societies and others which are not otherwise status applicable to this class.

What does SafetyWallet do for its subscribers?

SafetyWallet supports employers across a variety of industries in all components relating to Health and Safety in Industry and Commerce.

SafetyWallet provides a variety of services to its subscribers to ensure that they are compliant with COIDA / WCA, as well as other relevant legislation. As a start, SafetyWallet offers a Health and Safety platform where subscribers have access to health and safety e-Learning short courses which cover the broad spectrum of the health and safety arena.

As far as COID / WCA is concerned, SafetyWallet acts as the link between the employer and the Department of Labour. SafetyWallet via its appointed partner MAKROSAFE handles the submission of relevant documents, administration of Injury on Duty, or IODs, the submission of claims and the return of earnings.

SafetyWallet offers a total solution to Health and Safety Compliance in addition to being the leading Health and Safety support service provider in South Africa. By offering health and safety compliance audits and much more.

 

 


Posted date: 20th Jan 2021
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