According to Government Notice (G.G. 38044 of 03/10/2014) the Department of Labour (Compensation Fund) has extended the license of the Rand Mutual Assurance (RMA) in terms of section 30 of the Compensation for Occupational Diseases and Injuries Act (COIDA) 130 of 1993 as amended, to include Class 13 employers.

The Compensation Fund is in the process of implementing its turnaround strategy and this arrangement will facilitate the successful conclusion of the strategy. The Compensation Fund remains responsible for overseeing the compliance of the licensee with all the requirements of the COIDA Act.

There are two approved mutual associations, the Federated Employers Mutual Assurance (FEMA) for the building industry and the Rand Mutual Assurance Company (RMA) for the mining industry.

According to the notice the RMA has a well-established track record in the management of claims for occupational injuries and diseases in the mining industry and has been administering claims for occupational injuries and diseases since 1894. RMA offers the same benefits as stipulated by the Compensation for Occupational Injuries and Diseases Act.

The gazette aims to inform all Class 13 employers that:

I. All current Class 13 employers shall continue to be covered by the fund and these employers will pay their 2014 Assessment premiums to the Compensation Fund.

II. After 28 February 2015, all Class 13 employers will be transferred to RMA. RMA will collect all premiums and pay all claims.

For the purpose of this newsletter, we will look at Class 13 employers who will be affected by the notice.

Class 13: Iron, Steel, Artificial Limbs, Galvanizing, Garages, Metals, etc.

Subclass 1300

Iron and steel production, including processing and all quarrying and/or mining as well as other operations if incidental thereto.

Subclass 1301

Foundry products manufacturing as a separate business; stove manufacturing.

Subclass 1331

Iron button, buckle, hook, eye, hairpin and/or metal badges and brooch manufacturing; air-gun pellets manufacturing; leaden toy and novelty manufacturing; solder manufacturing; Venetian blind manufacturing and repairing; artificial limb manufacturing and repairing; manufacturing of vehicle and other number plates.

Subclass 1340

Metal tube manufacturing; metal furniture, door and/or window manufacturing; sheet metal products manufacturing as a separate business; wire, wire spring, wire rope, wire goods, fencing and/or gate manufacturing; tin container manufacturing; lead pipe manufacturing; blacksmith as a separate business (including furriers); iron bedstead manufacturing, cutlery manufacturing including repairing if undertaken by the manufacturer; scale making and repairing; cycle frame manufacturing; electro-static powder spray painting; metal spraying; derusting of metals; manufacturing of gas producers, electric battery; accumulator and/or electrode manufacturing; building and/or repairing of ships (other than fibre glass, wooden or sailing ships) including repairs to ships whilst moored to the quay side or anchored in the harbour or roadstead or whilst undergoing trial runs; chain manufacturing as a separate business; aluminium products manufacturing and installation; welding as a separate business; galvanizing as a separate business; metal products manufacturing including the business of saw doctors; lighthouse and/or marine lighting engineering and metal or engineering works not otherwise classified but excluding structural steel erection or steel reinforcing operations rated under subclasses 0530 or 0532.

Subclass 1350

Electric cable manufacturing; manufacture of safety razor blades.

Subclass 1360

Motor cars assembly as a business including all operations in connection therewith.

Subclass 1361

Motor garaging, including servicing and/or repairing of motor vehicles; the business of the owner of a motor graveyard or scrap yard); the business of an automotive electrician as a separate business; petrol and oil filling station; locksmithing; aircraft repairing and/or servicing as a separate business; employment of parking attendants; the business of a dealer in new/second hand motor vehicles; motor vehicle hiring if repairs are undertaken.

Note:

(a) The sale of motor spare parts and/or cars etc., as well as the supply of petrol, oil and/or air is incidental to the business of a motor garage owner whether such services are supplied on the garage premises or not.

(b) This rate also applies to a dealer in second-hand spare parts if the employer undertakes the dismantling of cars.

Subclass 1363

Wagon, coach, carriage and/or motor body building as a separate business; panel beating and spraying as a separate business; motor car radiator manufacturing and repairing as a separate business.

Interesting to note that the new ‘Umehluko Electronic Integrated Claims Management System’ recently implemented by the Compensation Fund (used for the capturing of information relating to an injury on duty; occupational diseases and fatalities) were adopted from the RMA.

I trust that the information provided in this article will be useful.

For additional information or clarification, please contact the Compensation Fund on the following email address; class13@labour.gov.za or alternatively contact RMA on 0860 222 132.

Written by Tinus Boshoff, SA Labour Guide