The Unemployment Insurance Fund (UIF) may have paid out over R43 billion in TERS benefits as per its statement on Tuesday (29 September), but many employers and employees continue to grapple with UIF TERS status meanings.
The UIF has made around 9.9 million payments to employees from more than 874,000 employer applications so far.
Over one million employers have submitted claims on behalf of 11.2 million employees, UIF acting commissioner Marsha Bronkhorst said.
“We still have about 443,369 undeclared employees whose April, May and June claims we could not process for payments, and we urge employers to make declarations either electronically on uFiling or by completing the UI-19 form to email@example.com in a case of less than 10 employees,” she added.
UIF TERS status meanings
For applicants looking UIF TERS status meanings, we summarise some of them below according to official information from the Department of Employment and Labour.
Payment sent to financial system UIF TERS meaning
“Payment sent to financial system UIF TERS” means that the payment is currently in the process of completing bank verification before it reflects in the account.
According to the Department, some employees could potentially fail banking verification at this point if their banking information is incorrect. It is therefore important to use the correct universal banking code. Payment would likely take 3-5 days to reflect in the account.
UIF TERS status not processed yet meaning
When the UIF TERS payment status says “application not processed yet,” it means that there are still outstanding issues in the application. The employer therefore needs to look at the declined list to make changes, the Department says.
Failed bank verification
In the case of failed bank verification, the employer needs to confirm their account number with their universal branch codes. They need to confirm whether or not the account number belongs to the clients.
They further need to confirm the ID number and initials/surname of the clients, whether the account is dormant or not, and whether it is a joint account or not. Verification will fail if it is a joint account.
Failed branch code verification
In this case, applicants are required to confirm whether the branch code they provided is correct. The Department advises employers to use the universal branch code.
Employee not declared by the employer
According to the Department, the “employee not declared by the employer” status happens when the employee’s ID number cannot be found on the UIF system.
The UIF verifies the data on TERS with the banks for vetting purposes before releasing payments. If the bank declines, then the UIF cannot release payments.
Employers therefore have to align their companies’ details with the companies’ bank details. They should pay particular attention to the account name, CIPS linked to the account, account type and account number.