Department of Employment and Labour deepens probe of R219 million Covid TERS payments made to Eastern Cape Transport Tertiary Co-operative

The Department of Employment and Labour (DEL) has announced that it is deepening the probe of the R219 million Covid TERS payments made to the Eastern Cape Transport Tertiary Co-operative (ECTCC). This follows complaints from taxi drivers in Gqeberha who claim they have never received benefits claimed on their behalf.

The announcement was made in a follow up meeting held between the Department, taxi drivers, taxi associations, regional leadership of South African National Taxi Council (SANTACO), and the ECTCC. During the meeting, the Unemployment Insurance Fund revealed that it has paid up to R219 million from claims received from the ECTCC which were submitted on behalf of 62 employers including Taxi Associations. The meeting was organised by the executive mayor of the Nelson Mandela Bay Municipality Cllr. Nqaba Bhanga.

UIF’s   Deputy Director of ICT Business Development, Viwe Gqoli, informed the meeting that ECTCC initially submitted six Covid TERS claims covering 4 089 employees and close to R20 million (R19 743 900) was consequently paid. “In   Gqeberha we paid a total of R 23 778 937.29 to Port Elizabeth & District Taxi Association and Uncedo Transport and Business Taxi Association covering 5 472 taxi drivers. A total of 62 Covid TERS claims submitted on behalf of various employers by ECTCC were paid to the tune of R219 million and these payments   covered 48 441 employees”, said Gqoli.

The UIF informed the meeting that it has blocked further payments to ECTCC due to investigations currently underway. ECTCC appealed to the Department to unblock the outstanding payments and consider re-opening the TERS system for them to lodge further claims. The Department informed the meeting that law enforcement agencies have been roped in to assist with the probe into the matter and until that is finalised, no further payments can be made to ECTCC.

DEL is committed to efforts aimed at bringing peace and stability in the taxi industry in the Nelson Mandela Metro and is prepared to work with all stakeholders to prevent further taxi protests in affected municipalities in the Eastern Cape.

Source: Government of South Africa