CORONA VIRUS, COVID-19 - 23 March 2020 - Global Business Solutions
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CORONA VIRUS, COVID-19
23 March 2020
1
Gazettes and Ministerial Publications in respect of COVID-19 over the past week
• 15 March 2020 – President Ramaphosa announces the State of Disaster under the Disaster Management Act
• 17 March 2020 – Department of Employment and Labour publish the Workplace Preparedness Guidelines that calls
on employers to renew OHS assessments and to classify risks at work according to job-type and area
• 17 March 2020 – Minister of Co-operative Governance and Traditional Affairs publishes the regulations in respect of
limiting gatherings, misrepresenting matters pertaining to COVID-19 as well as compulsory isolation and testing
amongst others
• 19 March 2020 – The Minister of Trade and Industry relaxes certain components of the Competitions Act in the
interests of addressing COVID-19 and also addresses stockpiling and prices of certain items
• 19 March 2020 – The Minister of Small Business Development issues regulations aimed at assisting small businesses
and providing funding and other support
• 20 March 2020 – The Department of Employment and Labour publish clear guidelines on the application of COID
claims to COVID-19 as well as UIF claims for specific situations
• 22 March 2020 - Guidance to municipalities and provinces on matters relating to COVID-19
• 22 March 2020 – Minister of Police on enforcement of regulations, focusing on gatherings and correctional services
as well as services offered by SAPS
2
Business review
23 March 2020
3
Key Objectives of your business response plan
Maintain a safe workplace
Maintain operations
Manage risk and liability
https://online.hbs.edu/blog/post/what-is-
sustainability-in-business
Context
4
Notifiable medical condition
5
Statutes of application, in addition to Gazettes and regulations
DMA: Emphasizes prevention and disaster risk reduction (DRR) with
appropriate institutional arrangements – the National Disaster Disaster
Management
Management Centre is responsible for administration and Act (57 of 2002)
implementation and regulations
issued
Employment
OHSA (85 of
Equity Act (55
1993) of 1998)
King IV
Key Labour
Relations Act
LRA: Fair dismissals and labour practices (ss186, 187, 189/A) as well
as schedule 8 of the LRA
statutes (66 of 1995)
BCEA: Work arrangements, leave as well as other terms and
conditions of employment
Compensation
for
UIF Act: Access to illness and unemployment benefits Basic Conditions
Occupational
of Employment
Injuries and
Act (75 of 1997)
Diseases Act
COIDA: Sick or disabled as a result of his or her job (130 of 1993)
Unemployment
Insurance Act (63 of
OHSA: Every employer has the obligation to provide a safe and healthy place 2001)
of work. DEL have specifically referred to the Hazardous Biological Agents
Regulations which require the employer to provide and maintain as far as is
reasonably practicable a working environment that is safe and without risks to
the health of employees. Current risk assessments need to be reviewed and
updated, taking into account the new hazards posed by exposure to COVID-19
in the workplace. This is in accordance with Section 8 (2) (d) of the OHS Act
6
Focus, the future of your business depends on it
❑ Stress-test your income statement and
liquidity
❑ Innovate to defend revenue (design-thinking)
❑ Find the “new normal”
❑ Try best to protect clients, employees and
suppliers
❑ Cash conservation (expenses, collections etc)
❑ Design offensive strategies and don’t just
protect what you have
Context
7
Focus, the future of your business depends on it
Context
8
Statistical update
23 March 2020
9
Statistics
https://www.worldometers.info/coronavirus/
Context
10Statistics – in South Africa
https://coronaworldonline.com/south-africa-coronavirus-statistics
Context
11Statistics – in South Africa
Context
12Statistics
Context
13Gazettes and regulations
23 March 2020
14Government Publications
Presidential Address
15 March 2020
1. Enhanced cleaning protocols, education and advocacy, availability of
preventative measures such as alcohol-based sanitisers and closed bins
must continue and be further improved.
2. All employees must be requested to disclose if they have (a) travelled
abroad and if so where to (b) returned post mid-February 2020 from
high risk country travel and if so they have to go into self-quarantine and
be tested in line with protocols (c) returned post mid-February 2020
from medium-risk country travel and if so they have to undergo high-
intensity screening.
3. Any gatherings of more than 100 people are prohibited and
organisations will have to cancel these events or conduct them remotely
if the tech is available.
4. Small gatherings (those less than 100 people) must be accompanies by
employers having a plan in place to prevent and mitigate the potential
The President’s address on the evening of 15 March 2020
impact of the virus. This would include education, availability of hand set out a range of measures that have been and will have
sanitisers and the like as well as social distancing as far as possible. to be taken in respect of COVID-19. Specifically, under the
5. Despite point 4 above, organisations have been urged to limit physical
banner of the Disaster Management Act he proclaimed a
contact and handshakes for example have been encouraged to be
replaced by an elbow greeting. national state of disaster (Section 27). This Act provides for
6. Domestic travel should be discouraged and international travel an integrated and co-ordinated disaster management
curtailed. policy that focuses on preventing or reducing the risk of
7. Establish central “nerve” centers that record, monitor and co-ordinate
matters pertaining to COVID-19.
disasters. A national command council chaired by the
President is established and will meet 3 times per week.
This has the status of a public sector institution. 1617 March 2020
Worker risk of occupational exposure to SARS-CoV-2 (the virus that causes COVID-19) - level of risk depends in part on the industry type, need for contact
within 2 meters of people known to be, or suspected of being infected with SARS-CoV-2, or requirement for repeated or extended contact with persons known
to be, or suspected of being infected with SARS-CoV-2.
1718
Department of Defense, National Organs of State and Government Institutions must release resources,
funds and personnel to prevent, limit, contain, combat and manage the spread of COVID-19
A gathering (Regulation of Gatherings Act and does not apply to workplaces) - assembly, concourse or
17 March 2020 procession of more than 100 persons - is prohibited and an enforcement officer may take action under
the Criminal Procedure Act (including arrest and detention) as well as the assembly of more than 50
persons at premises where liquor is sold and consumed is prohibited. On and off-consumption premises
selling liquor must be closed between 18h00 and 09h00 and from 13h00 on Sundays and PH’s
Refusal of medical examination, prophylaxis, treatment, isolation and quarantine – no person who has
been clinically confirmed or who is suspected of having contracted COVID-19 may refuse consent to an
enforcement officer for submission to a medical examination, admission to a health establishment or a
quarantine site, or to mandatory treatment (if refuse can be placed in quarantine for 48 hours rending a
warrant. A warrant (valid for up to 90 days) will be issued if the person has or is suspected of having or if
on reasonable grounds is suspected of having been in contact with a person who is a carrier or infected
with COVID-19
Places of quarantine and isolation - The Minister of Public Works and Infrastructure must identify and
make available sites to be used as isolation and quarantine facilities as the need arises
Closure of schools and partial care facilities - Schools and partial care facilities must be closed by 18
March 2020 until 15 April 2020, which period may be extended for the duration of the national state of
disaster
Misrepresentation, deception or non-compliance
means offender is guilty of an offence and, on
conviction, liable to a fine or to imprisonment for a
period not exceeding six months or to both such
fine and imprisonment whilst intentional exposure
of another person to COVID-19 may be
prosecuted for an offence, including assault,
attempted murder or murder.
19Purpose is to exempt a category of agreements or practices in the healthcare sector from the
application of sections 4 and 5 of the Competition Act in order to promote concerted conduct to prevent
an escalation of the national disaster and to alleviate, contain and minimize the effects of the national
disaster as well as to promote access to healthcare, prevent exploitation of patients, enable the sharing
19 March 2020 of healthcare facilities, management of capacity and reduction of prices
Hospitals, Healthcare Facilities, Medical Suppliers, Medical Specialists and Radiologists, Pathologists
and Laboratories, Pharmacies, Healthcare Funders may collaborate, standardize, share information and
resources, contract and take other steps to facilitate the effective management of COVID-19 and to
reduce prices and take other steps in good faith for the sole purpose of responding to the COVID-19
pandemic national disaster
Working with retailers and large food producers to ensure that the supply-chain remains strong and that
basic goods are available to consumers.
• All major retailers have now put limits on at least some products in their stores.
• They have committed to help us ensure that there are no unjustified price increases in this
period.
• The retail groups include Shoprite-Checkers, Pick ‘n Pay, Woolworths, Spar, Game, Dion,
Makro, Clicks and Dischem.
20❑ Toilet paper
❑ Hand sanitizer
❑ Facial masks
❑ Competition Act and Consumer Protection Act ❑ Disinfectants and cleaners
❑ Surgical gloves
• On prices: ❑ Surgical masks
- Price rises may not exceed the increase in the costs of the raw materials or inputs and profit levels ❑ Disinfectant wipes
should not be hiked higher than the period prior to the outbreak of COVID-19 ❑ Antiseptic liquids
❑ All-purpose cleaners
- The regulations cover the full supply-chain and will limit price increases of suppliers in similar fashion. ❑ Baby formula
• On stock-piling: ❑ Disposable nappies
- All retailers must take steps to limit the quantity of goods sold to any individual consumer; and a list of ❑ Bleach
❑ Cooking Oils
basic products will be covered. ❑ Wheat flour
- Retailers must take steps to maintain adequate stocks of basic goods during this period, including for ❑ Rice
weekends and month-end shopping. ❑ Maize meal
❑ Pasta
- There are also provisions to ensure that wholesalers take steps to ensure that there is no stock-piling at ❑ Sugar
the cash-and-carries. ❑ Long-life milk
❑ Consequences (toll-free hotline 0800-014-880) ❑ Canned and frozen veg
❑ Canned, frozen and fresh
• Some of the penalties in the relevant legislation include penalties of up to R1 million, or penalties up to meat, chicken or fish
10% of a company’s turnover, or jail sentences of up to one year. We do not want to invoke any of these as ❑ Bottled water
the best approach is one of partnership and we welcome the solidarity and positive response from our
Also private medical services 2
people in the past few days. But the regulators are ready to act.
2119 March 2020
2220 March 2020 (UIF)
2324
25
26
❑ Occupationally acquired COVID-19 refers to when the disease is contracted out of and in the
course of his/ her employment (i.e. exposures in the workplace or official trips to high-risk
countries
20 March 2020 (COID) ❑ Occupationally acquired COVID-19 diagnosis relies on exposure to a known source, reliable
diagnosis, travel history on work assignment, a presumed high-risk work environment where
transmission is inherently prevalent and a chronological sequence between the work exposure
and the symptoms
❑ Medical officers in the Compensation Fund will determine whether the diagnosis of COVID-19
was made according to acceptable medical standards
❑ Occupations at risk are then referred to as per the DEL guidelines – very high risk, high risk,
medium risk and low risk
❑ Impairments will be determined 3 months after diagnosis
❑ Benefits – total temporary disablement is a payment made for a period not exceeding 30 days
❑ Benefits – suspected but unconfirmed cases employer is liable for remuneration for self-
quarantine recommended by a registered medical practitioner
❑ Benefits – permanent disablement – Commissioner will assess each case on merit
❑ Medical aid in accepted cases of COVID-19 will be provided for up to 30 days if in the opinion of
the DG it will reduce the extent of the disablement
❑ Death benefits – reasonable burial expenses , widow’s and dependent’s pensions shall be
payable
❑ List of documentation to be submitted to the Compensation Commissioner
Context
2722 March 2020
The purpose of this circular is to therefore provide guidance to municipalities and
provinces on the following matters relating to COVID-19.
▪ Service provision;
▪ Municipal operations and governance;
▪ By-elections;
▪ Precautionary measures to mitigate employee health and safety risks; and
▪ Guidance on how to manage COVID-19 cases.
Focus on water, hygiene, education and awareness, waste management, cleansing
and sanitation, hosting and social gatherings, monitor public places, identify
quarantine and isolation sites.
Also, leave and remote working provisions for municipal employees working from
home.
2829
TERS-Temporary Employer/Employee Relief
22 March 2020 Scheme
30Employee absent for a COVID-19 Also consider Temporary Employer/Employee
related reason Relief Scheme via CCMA
Employee quarantined for Employee quarantined Occupationally-acquired Employee generally ill Employee lay-off or short-
up to 14 days for more than 14 days COVID-19 and sent home time
COIDA – relies on
Employer and employee agree Medical certificate from
identification of known UIF – difference between
and sign the UIF document medical practitioner
source, diagnosis, travel what employer pays and
(this replaces the medical submitted to UIF (UI3) for UI
history, risk work normal UIF
certificate illness benefits
environment and chronology
Employer sick leave Employer sick leave
Employer annual Employer annual Employer annual
leave leave leave
Employer unpaid Employer unpaid
Employer unpaid
leave and UIF claims leave and UIF claims
leave
for illness for illness
UIF Illness benefits paid at between UIF Illness benefits paid at between UIF benefits claim for lost hours
38% and 60% for first 238 days and 38% and 60% for first 238 days and
then at 20% for remaining period to then at 20% for remaining period to
365 days 365 days for days in excess of 7 days
COVID-19 Managing absenteeism sustainablyGood business practice review
Including TERS
23 March 2020
32Establish a “disaster management centre”
Quantitative and qualitative data tracker
To manage the BRP and respond in a flexible way to varying levels
Direct of flexibility depending on the severity of the situation and to
Conduct a risk email effectively manage risk and sustainability
assessment:
Collaborate with stakeholders to design a NICD (National Institute for
❑ Clients and Business Response Plan (BRP) Communicable Diseases)
customers Protecting the business and employees 0800 029 999 www.WHO.int.
❑ Employees and
critical/ core jobs as Employment
well as which can be and labour Social distancing Business Communications Government Education
Resources
remote (staff and budget) relations and telework continuity (general and
directives and support
emergency) (Health & risk)
❑ Suppliers and responses
alternatives Identify key resource and Refer to slide minimum Where possible Preventative measures, Reassure stakeholders, Ensure ongoing Symptoms of acute
engage with explain plan and communications with respiratory illness of
❑ Other stakeholders contingency planning vs improved terms based
on merits and decide
encourage vulnerable
and ill employees as well employees, suppliers to precautions, EAP and National Health self/ family, protocols,
requirements and draft a what to do if sick at
(unions, project plan with a what approach to adopt as those whose jobs lend align, steps to maintain support systems, point of Departments, local
work, cover
budget themselves to telework business operations, contact and no medical practitioners and
shareholders, to work from home mitigate impact on discrimination or other experts
nose/mouth with a
tissue when coughing,
government, subject to agreed other businesses, force victimisation hand hygiene,
conditions majeure in contracts posters, provide
medical institutions) etc tissues & alcohol-
❑ Financial tolerance based sanitizer
(preventative habits)
Management
considerations
33 33Potential Policy, Practice And Labour Relations Responses To Corona Virus Impact To Manage Risk And Drive Sustainability
Sick leave extension by paying 25% Family responsibility leave (BCEA)
High Appropriate EAP measures
less and extending sick leave by 25%
flexibility Nerve center, monitoring (enhanced)
Secondments and and evaluation Communication strategy and
transfers Freeze training platform
initiatives, unless online Travel
Regulated Unpaid
leave
Staggered lunch
(s14 BCEA) Fast twitch Moratorium on
recruitment
restrictions
Employment
practices and
flexibility
Averaging of hours
Take annual leave
(s12 BCEA)
FTC pay for hours worked only (for flex or
absenteeism requirements s9A BCEA) or
Suspend casual employees (-24 hours pm)
labour laws to of work (s12 BCEA) Compressed
appropriate labour
be leveraged working week (s11)
relations matters
for flexibility Overtime saving (s10 BCEA)
and reserve rights
Restructuring or (e.g. non-
lay-off (s189 LRA) dismissible
Occupationally
offences or
incapacity
Outsourcing (s197
LRA)
Low
Slow twitch matters)
directed
flexibility
Collective Individual agreement – addendum Consultation or as part of a procedure such as Employer
agreement to employment contract incapacity or operational requirements discretion
Levels of employee engagement required
Employment Statutory
34
practices optionsPolicy design scenarios Given the emphasis on social distancing it will be increasingly
required of employers to rather look for opportunities to allow for
Primacy of social distancing remote work rather than not to. However, this will not always be
possible and hence the employer has enhanced obligations to
Initiated by employer or employees limit safety and health risks
Feasible to work Remote work with Isolation required Merits of each case must inform the decision
Not feasible
remotely accomodation and necessary as well – do you deviate or not from this
Conservative and guideline?
Agree protocols Take reasonable steps preventative Agree protocols
measures at work Key considerations:
❑ Productive hours ❑ Computer ❑ Education ❑ Estimated duration
❑ All other policies apply ❑ Connectivity ❑ Enhanced safety ❑ Return to work
❑ Does the position lend itself to remote
❑ Check-in requirements ❑ Legitimate expenses protocols clearance work?
❑ Reporting requirements ❑ Remunerative matters ❑ Social distancing options ❑ Check-in requirements ❑ Are the employee’s circumstances of
❑ As for “agree protocols” @ work
gravity – for example: demonstrated
No prejudice to No unreasonable or symptoms; has potentially come into
No prejudice to Potential prejudice to
employee (may be overt prejudice to the contact; employee’s partner is vulnerable
employee employee
minor impact) employee (e.g. aged, medical conditions etc)?
❑ Have adequate steps been taken by the
All clear and continue re-
Symptoms or actual
assessing if the
employer to create a safe and healthy
COVID-19 manifest work environment? Specific to that
arrangement is working
employee’s area?
Policy design for scenarios
35(tracker)
evidence
legitimacy and
establish status,
Question to
work
allow remote
Decision to
concession (paid)
Special leave
granted
Sick leave
accessed
can be
Annual leave
duty)
(course of
COID claims
leave
Unpaid
leave
responsibility
Family
earning
less
UIF claims
Examples of policy design features Payment of salary
while at home if
scenario-based minimums employer agrees
to remote work?
Employee approaches employer asking to work from home Yes, exhaust sick,
Yes Yes Maybe Yes Yes No Yes Yes Yes annual leave and then
because of actual symptoms of illness
assess situation
Employee approaches employer asking to work from home Yes, exhaust annual
because of concerns about COVID based on vulnerable family Yes Maybe No No Yes No Yes No No leave and then
members at home, employee being vulnerable because of a assess situation
medical condition etc
Yes, exhaust sick,
Employer asks employee to work from home because of Yes Yes Maybe Yes Yes No Yes Yes Yes annual leave and then
actual symptoms of illness or return from high risk country assess situation
Yes, exhaust sick,
Employer asks employee to work from home as part of social Maybe Maybe No Yes No Yes No annual leave and then
Yes No
distancing and prevention assess situation
Yes Yes No No Yes, exhaust FRL and
Employee asks employer to work from home as child is sick Maybe No No Yes Yes then assess situation
Yes, exhaust annual
Employee asks employee to work from home as family Yes Yes No No leave and then assess
Maybe No No Yes No
member other than child is sick situation
Employee asks employee to work from home because the Yes, exhaust annual
employee is concerned that he/ she contracts COVID-19 at Yes Unlikely No No Yes No Yes No No leave and then assess
work situation
Yes, exhaust sick,
Employee stays at home or is hospitalized because the Yes annual leave and then
Yes Yes Maybe Yes Yes No Yes Yes
employee has contracted COVID-19 assess situationCOVID-19 Leave considerations
Minimum law - scenarios
Family responsibility Social distancing options
Sick leave (30 days/3 yrs) Operational requirements Misconduct
leave (child) (3 days pa) (at work or remote)
• Staggered lunch
Exhausted hours S189 A Fault - culpable
• Sick leave (could
Annual leave option Annual leave option OR include extension by Procedural and substantive Procedural and substantive
OR Unpaid leave until 25% with a 25% fairness fairness
organization operational reduction in pay) Provisions of disciplinary
Unpaid leave requirements | incapacity • Shift changes All alternatives to dismissal
code
due to ill health arise • Exhaust annual leave
by agreement Dismissal Dismissal
Procedural and Procedural and substantive • Remote and/ or
substantive fairness fairness teleworking
All alternatives to (accommodate)
All alternatives to dismissal
dismissal
No prejudice in respect of Prejudice in respect of
Dismissal Dismissal terms of employment terms of employment
Policy considerations
37Disaster Management Centre – governance and tracking pack
Employee health tracker
Employee Employee Employee Employee Isolation/off Estimated Total days Date of last By whom Date of next Replaceme Financial Total
number name workplace health duty start recovery off work contact engagement nt impact forecast
condition date date resources (daily rate x financial
required total impact
workdays
lost)
Adapted from https://youexec.com
Management
considerations
38Dashboard
Marketing
Ops Finance HR and sales OHS
Total employees
Total employees working from the business
premises
Total employees teleworking on a full-time basis
Total employees teleworking on part-hours
Total employees isolated and not working at all
Total employees isolated and working part hours
Management
considerations
39TERS
Management
considerations
40TERS
Management
considerations
41UIF - TERS RELIEF SCHEME (SOP)
❑ Presidential Working Group (2008) Global Financial Crisis (GFC) implemented the Training Layoff Scheme (TLS)
which was not as effective and well utilized as intended
❑ Presidential Jobs Summt (2018) sought to institutionalize a Single adjudicative Committee chaired by the CCMA
with multiple stakeholders involved (CCMA, UIF, Social Partners and DTI etc)
❑ This SOP is to be used by all stakeholders in accessing UIF payment via the TERS as part of the Labour Activation
Programme (LAP) and guides officials at the CCMA and UIF
❑ TERS beneficiaries will be considered and recommended by the TSAC (adjudicative committee) and funded by UIF
❑ Once approved 16 days to first payment
4243
TERS-Temporary Employer/Employee Relief
Scheme
44TERS-Temporary Employer/Employee Relief
Scheme
45TERS-Temporary Employer/Employee Relief
Scheme
46TERS-Temporary Employer/Employee Relief
Scheme
47TERS-Temporary Employer/Employee Relief
Scheme
48TERS-Temporary Employer/Employee Relief
Scheme
49TERS-Temporary Employer/Employee Relief
Scheme
50TERS-Temporary Employer/Employee Relief
Scheme
51TERS-Temporary Employer/Employee Relief
Scheme
52TERS-Temporary Employer/Employee Relief
Scheme
53TERS-Temporary Employer/Employee Relief
Scheme
54TERS-Temporary Employer/Employee Relief
Scheme
55TERS-Temporary Employer/Employee Relief
Scheme
56TERS-Temporary Employer/Employee Relief
Scheme
57TERS-Temporary Employer/Employee Relief
Scheme
5859
TERS-Temporary Employer/Employee Relief
Scheme
60TERS-Temporary
Force Majeure Employer/Employee Relief
Scheme
Contracting parties often include a force majeure clause in
their commercial agreements. The primary reason is that
they aim to contract out of the common law provision
around impossibility of performance in order for the party
to be excused from its obligations.
Where there is no such clause, the common law doctrine
known as “supervening impossibility” will apply and the
parties’ rights in respect of performance will be
extinguished if it is objectively impossible to fulfil as a result To establish whether “supervening impossibility” applies
of unavoidable or unforeseen events – no fault. Importantly, It will be necessary to consider the parties, the nature of
performance of a contractual obligation will not necessarily the contract as well as the circumstances and merits of
be impossible because it has become more onerous or the case based on merits.
costly. On the other hand, the question would focus on
whether the party can be reasonably expected to perform.
61East London Durban Port Elizabeth Johannesburg Cape Town
T 043 721 1030 041 364 0472 041 364 0472 011 483 3722 021 418 1617
F 043 721 1027 086 414 4926 086 414 4925 011 483 1650 021 418 1619
trainingel dbnmarketing pemarketing jhbmarketing infoct
@globalbusiness.co.za @globalbusiness.co.za @globalbusiness.co.za @globalbusiness.co.za @globalbusiness.co.za
www.globalbusiness.co.za
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