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Fin24 reports that a group of associations has warned Minister of Employment and Labour Thulas Nxesi in an open letter that draft regulations under the Compensation of Occupational Injuries and Diseases Act (Coida) would be financially detrimental to workers and medical service providers.
The joint letter was written on behalf of 130 cross-sectoral bodies in the organised labour and the medical care finance sector - including the SA Medical Association and the National Employers' Association of SA. Earlier this year, Nxesi introduced the Compensation of Occupational Injuries and Diseases Amendment Bill, which included a clause that would have prohibited medical service providers from ceding their claims to third-party pre-funders and administrators for payment by the Compensation Fund (CF). The bill was withdrawn amid the prospect of a protracted legal challenge, before CF commissioner Victor Mafata reintroduced the provisions by way of regulations. "Although the offending clause was removed by Parliament, the very day after the legislature rose, the Compensation Fund commissioner published regulations that effectively bypassed our democratically elected representatives to achieve irrational and possibly unconstitutional aims," the letter claimed. According to the letter, associations were of the view that the regulations went far beyond the remit of the principal legislation and could be challenged on a constitutional basis. The letter concluded that the regulations published by the commissioner in October would deny medical service providers their rights, prevent the treatment of injured workers, and place employers at risk with little benefit in return.
- Read the full original of the report in the above regard by Khulekani Magubane at Fin24 (subscriber access only)
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