The regulatory updates provide a view of the current state of COVID-19 regulatory matters
COVID-19 regulatory developments
This Regulatory Round-up provides a view of the current state of COVID-19 regulatory matters
FINANCIAL SECTOR
FSCA expectations of industry on measures to be taken during COVID-19 crisis
The FSCA expects all financial services entities to look at their business contingency plans and assist clients in accessing their financial products and services. The FSCA is engaging with entities to ensure that all financial institutions make provisions to assist clients remotely and physically with reduced staff, and take extra precautions for the safety of both staff and clients.
FSCA issues communication to assist financially distressed employees and employers
The FSCA's communication, in terms of the Pension Funds Act, is directed at the boards of pension and provident funds and the processes that must be followed in the event of an employer request for a reduction or suspension of contributions made to the fund in light of the financial challenges faced due to COVID-19.
FSCA Communication 12 of 2020: Impact of COVID-19; Expectations on Regulated Entities
The FSCA has requested regulated entities to consider current circumstances and assist their clients with "empathy, flexibility and understanding". Entities are to ensure that all clients are treated fairly during the entire product cycle and that profiteering off those who are vulnerable and suffering will not be tolerated.
FSCA statement on insurers performing medical underwriting during lockdown period
The FSCA has noticed that some insurers have declared travelling nurses as essential services during the lockdown period to collect blood samples for new business underwriting purposes. It has highlighted that this practice exposes nurses and clients unnecessarily and detracts from the ability of laboratories to focus their efforts on the pandemic. No additional stress should be placed on the medical fraternity. The FSCA has reminded insurers to limit essential services to those necessary to support the functioning of the financial system and maintaining a stable financial environment. Any person who continues to engage in non-essential services will be subjected to appropriate regulatory action.
Banks Act Guidance Note: Application of International Financial Reporting Standard 9
The Prudential Authority has published a Banks Act Guidance Note to assist the banking sector in applying the requirements of International Financial Reporting Standard 9 (IFRS 9) in response to the COVID-19 pandemic. The guidance is relevant to banks that will be providing relief to clients to stabilise financial markets and reduce the impact of COVID-19 on the local economy. The guidance outlines the expectations of the Prudential Authority when the requirements of IFRS 9 are applied to payment holidays and other relief measures, including loan modifications, government guarantees, and other subsidies provided as a result of COVID-19.
ASISA statistics illustrate that life insurers have "reserve buffers to withstand COVID-19 fallout"
The Association for Savings and Investment SA (ASISA) has stated that South Africa's life insurance industry has more than double the legally required reserve buffers required by the Solvency and Capital Requirements.
HEALTH
Health Professions Council of South Africa (HPCSA) issues guidelines on telemedicine
The HPCSA has indicated that the use of telehealth is only permissible in circumstances where there is an already established practitioner-patient relationship, except where telepsychology and/or telepsychiatry is involved, in which case telehealth is permissible even without an established practitioner-patient relationship.
Circular 25 of 2020: COVID-19 Lockdown Measure
The Circular provides for interventions aimed at protecting members during the COVID-19 pandemic, including that all cases of COVID-19 are regarded as a Prescribed Minimum Benefits (PMB) condition and should be funded in full in line with the current National Institute for Communicable Diseases (NCID) guidelines.
All statutory reporting must conform to set deadlines.
Department of Health restriction on sale and use of chloroquine
The public, all prescribers and dispensers have been directed by the Department to stop the prescription, sale and purchase of chloroquine for any reason other than its use for COVID-19. The Department requests that the use of chloroquine or any medicine for the treatment of COVID-19 should only occur while in medical care.
OTHER GOVERNMENT INITIATIVES
Message by President Cyril Ramaphosa on COVID-19 pandemic
On 30 March 2020, the President addressed the nation amid the COVID-19 crisis. The few key points from his address includes the following:
- According to researchers and scientists, the decision to impose a nationwide lockdown was the correct one.
- Approximately 10 000 field workers will be visiting homes in villages, towns and cities to screen residents for COVID-19 symptoms.
- "People who are infected with coronavirus, but who have no or moderate symptoms will remain in isolation at home or at a facility provided by Government and those with severe symptoms will be transferred to hospitals."
- Government will deploy a wide-ranging tracing system, utilising mobile technology, "to trace those who have been in contact with confirmed coronavirus cases and to monitor the geographical location of new cases in real time".
- The recent downgrading of South Africa to sub-investment grade by Moody's, while increasing the cost of borrowing to fund government spending, "will not diminish in any way our response to the coronavirus pandemic".
Disaster Management Act (DMA) 2002 Regulations
The primary source of legislation for informing South Africa's response to the COVID-19 pandemic is the various Regulations published under Disaster Management Act. The Regulations provide for restrictions on travel, consequences for refusal of treatment for those persons who contracted or are suspected of contracting the virus and subsequent isolation or quarantine, prohibition of gatherings, determining which goods and services are deemed essential, and resultant obligations on employers, among others.
Guidelines for the completion of the permit to perform essential services
The Department of Trade and Industry has issued Guidelines to assist companies to comply with the Disaster Management Act, regulations in terms of permits to perform essential services during the lockdown period. All staff permitted to work during the lockdown period must always carry an original 'Permit to perform essential service' and a photo identification issued by the Department of Home Affairs.
Registration of essential goods and services
The Department of Trade and Industry has introduced and online portal (www.bizportal.gov.za) where companies can register to indicate that they are an essential service. The Department is beginning to develop a single database of the key companies that will need to be kept open.
Tax measures to combat COVID-19
The Minister of Finance has announced the following measures to assist the country with job retention as well as to assist businesses experiencing significant distress:
- The introduction of a tax subsidy to employers of up to R500 per month for the next four months for private sector employees earning below R6 500 under the Employment Tax Incentive (ETI). This will help over 4 million workers.
- The South African Revenue Service (SARS) is to accelerate the payment of the ETI reimbursements from twice a year to monthly in order to get cash into the hands of compliant employers as soon as possible.
- Tax compliant businesses with a turnover of R50 million or less will be allowed to delay 20% of their employees' tax liabilities over the next four months and a portion of their provisional corporate income tax payments without penalties or interest over the next six months. This intervention is expected to assist 75 000 small and medium-sized enterprises.
The above-mentioned measures will be legislated in the Disaster Management Tax Relief Bill and the Disaster Management Tax Relief Administration Bill, which will be tabled when Parliament reconvenes later this year, for retrospective enactment. The Bills are due to be published by 1 April 2020 and be effective on the date of publication.
The Commissioner of SARS and the National Treasury will jointly consider additional exceptional adjustments to assist with COVID-19 relief efforts and to the tax treatment of newly formed funds in this regard.
COVID-19 block exemption for the healthcare sector 2020
Certain agreements or practices within the healthcare sector have been exempted in terms of certain sections of the Competition Act in light of dealing with the pandemic.
Healthcare funders' agreements and practices exempted are those between healthcare funders for the purpose of reducing the cost of diagnosis, tests and diagnostics, treatment and their preventive measures.
Pharmacies are allowed to communicate with each other in respect of the availability, transfer and procurement of pharmaceutical and medical consumables. Any discussion or agreement on pricing between private healthcare companies or providers must be specifically authorised by the Minister of Health. Minutes of meetings and written records of these agreement or practices must be kept.
COVID-19 block exemption for the banking sector 2020
The following categories of agreements or practices are exempted from the application of the prohibitions on the restrictive vertical and horizontal practices in terms of the Act if undertaken at the request of, and in coordination with, the Minister or the Minister of Finance for the sole purpose of responding to the national disaster and exclude communication and agreements in respect of prices, unless specifically authorised by the Minister of Economic Development or the Minister of Finance:
- Payment systems (ATM, branch and electronic payment systems;) and
- Debtor and creditor management (payment holidays and extension of credit lines).
COVID-19 block exemption for the retail property sector 2020
Certain prohibited practices between designated retail tenants (includes a restaurant and personal care services) and retail property landlords have been exempted, on condition that the scope of the practice or agreement is for the sole purpose of responding to the COVID-19 national disaster. The scope includes payment holidays and/or rental discounts for tenants; limitations on the eviction of tenants; and suspension or adjustment to lease agreement clauses that restrict the designated retail tenants from undertaking reasonable measures required to protect viability during the national disaster.
COVID-19 block exemption for the hotel industry
The Minister of Trade and Industry has published an exemption containing categories of agreements in the hotel industry that have been exempt from Section 4 and 5 of the Competition Act, 1998. The aforementioned Sections relate to the prohibition of restrictive horizontal and vertical practices. These agreements include the following:
- Identification and provision of facilities - Agreements or practices that identify and provide appropriate facilities for the accommodation of persons placed under quarantine.
- Cost reduction measures - Agreements relating to the reduction of the cost of accommodation for persons placed under quarantine.
These Regulations are effective from 27 March 2020; however, comments are invited by 10 April 2020.
Regulations read with the Consumer Protection Act and Competition Act
Key insights into the Regulations aimed at protecting consumers from unfair, unreasonable and improper commercial practices during the pandemic include that:
- A material price increase, relating to certain goods and services (eg basic food, emergency products, emergency services and medical and hygiene supplies), not aligned to an increase in the production costs or represents an increase in the net margin above the average margin for those goods and services in a three month period prior to March 1 2020, will be critical factors in determining whether a price can be regarded as excessive or unfair.
- Limitations are placed on the supply of certain goods and services.
- A dominant firm may not charge an excessive price to the detriment of the consumer.
Competition Commission
The Competition Commission has discouraged the filing of complaints unrelated to COVID-19 as well as all merger transactions during the period of the nationwide lockdown. The Commission has also confirmed that they have received over 20 complaints of excessive or exploitative pricing of essential products such as face masks, toilet paper and sanitisers. These complaints and others relating to abuses of dominance or exploitative practices will be dealt with by Commission and the National Consumer Commission through a dedicated team.
Measures to prevent and combat the spread of COVID-19 in public transport services
The Minister of Transport has further published an amendment to the Directions issued in terms of the Disaster Management Act, 2002. This relates to public transport services and requires that buses and taxis be permitted to operate from 05:00 until 20:00 in order to cater for the transportation needs of South Africans most vulnerable and is effective from 30 March 2020 until 03 April 2020.
Further amendments were also published to the above-mentioned Directions and provide the following:
- Public transport is permitted to carry essential services employees from 05:00 to 10:00 and from 16:00 to 20:00 (this was previously allowed from 0:h00 to 09:00).
- Minibuses and taxis are permitted to proceed to the pick-up sites an hour before operating times and to proceed to drop-off sites an hour after the operating times.
- During the lockdown period, private institutions may make arrangements for the transportation of their workers who are rendering essential services in accordance with the operating schedules determined by the head of the institution.
- Loading capacities of minibuses and midibuses are permitted to load their maximum of 100% passenger capacity, as provided in the operating licence, on condition that all passengers are wearing masks.
Declaration of essential services
The Minister of Transport has further declared the following as essential services for the purposes of the Disaster Management Act, 2002:
- Tollgate operators
- Road emergency operators
- Employees responsible for safe operation of the roads
- Rail logistic operators.
Licensing and registration of a motor vehicle
A Determination in terms of the National Road Traffic Act, 1996 has been published with an effective date of 30 March 2020. The Determination provides that during the lockdown period a learner's licence, driving licence, motor vehicle licence disk, temporary permit, professional driving permit and roadworthy certificates will be deemed to be valid and will remain valid for a period of 30 days after the expiry of the lockdown period.
COVID-19 control measures for rail operations
All commuter rail services must stop operations for the duration of the lockdown, including the Gautrain.
COIDA's notice on compensation for occupationally acquired COVID-19
In terms of the Compensation for Occupational Injuries and Diseases Act (COIDA), employers are liable for remunerating employees for the days of absence in circumstances where those employees contract the COVID-19-19 virus and need to be self-quarantined. Where the Compensation Fund has accepted liability, payment will be made from the date of diagnosis for up to 30 days. In all accepted cases of COVID-19, medical aid will be provided for a period of not more than 30 days from the date of diagnosis.
Directive on COVID-19 implications on leave provisions and the C19 TERS
The Department of Labour (DoL) has confirmed that employers may request their employees to take annual leave during the lockdown period. However, the Department has encouraged employers not to request employees to utilise their annual leave credits for the lockdown, but to instead make use of the financial assistance placed at employers' disposal through the COVID-19 Temporary Employee or Employer Relief Scheme (C19 TERS) in circumstances where companies cannot afford to pay employees their salaries due to challenges faced as a result of the COVID-19 pandemic. A special benefit has been created under the Unemployment Insurance Fund (UIF) in terms of the C19 TERS to cater for this. If an employer closes its operations for three months or less and suffers financial distress as a direct result of the pandemic, the company qualifies for a COVID-19 Temporary Relief Benefit. The benefit will pay the cost of salaries during the temporary closure up to R17 712 per month, per employee. Where an employee is in quarantine for 14 days due to the pandemic, the employee will qualify for an illness benefit.
Directions issued under Regulations of the Disaster Management Act for the judicial system
Access to courts and all justice service points will be restricted. However, certain persons with a material interest in a case, including litigants, witnesses, persons needed to provide support (eg accompanying children), victims of domestic violence or sexual abuse, persons with disabilities, family members and members of the media, will be allowed in the court precinct, subject to social distancing and safety measures being met.
Civil cases that are not identified as urgent and essential services will not be placed on the court roll during the lockdown. However, Heads of Court can authorise a hearing through teleconference, videoconference or other electronic means.
International Air Services Act: Measures to address, prevent and combat the spread of COVID-19
All international and domestic passenger flights are prohibited during the lockdown. Certain designated airports that have Port Health capability will handle air cargo, subject to conditions.
Measures to address, prevent and combat the spread of COVID-19 for cross-border road transport
Despite any permit issued in terms of the Act, no person may provide cross-border road passenger transport (ie passengers using public services transport) for the duration of lockdown. Cross-border freight movement will continue to and from SA's neighbouring countries.
Department of Home Affairs Directions to prevent and combat the spread of COVID-19
SA citizens or permanent residents who departed from or transited through a high risk country since 15 February 2020 must undergo screening or an examination to test for COVID-19. Foreigners in SA during the lockdown are entitled to visa concessions from the Department valid until 31 July 2020.
Companies and Intellectual Property Commission
Between 24 March 2020 and 1 April 2020, the CIPC will be closing down all services relating to companies, close corporations and co-operatives including the call centre, self-services centres and the online enquiry system. From 1 April 2020 to 16 April 2020, fully automated services will be available via the e-services and BizPortal channels for specific services such as the filing of annual returns. The BizPortal is an online platform for those companies who provide essential services and need to apply for a certificate via this website in order to trade during the lockdown period. Healthcare professionals registered with the Health Professions Council of South Africa will not have to register.
The CIPC has also issued a practice note under the Companies Act to state that it will not invoke its powers to issue compliance notices to companies where a company is temporarily insolvent (but still trading) due to adverse business conditions as a result of COVID-19.
Electronic communications, postal and broadcasting directions
All internet sites operating within the .za DNA top level domain must have a landing page with a visible link to www.sacoronavirus.co.za.
COVID-19 Directive: Electronic communications, postal and broadcasting
The Directive is to facilitate the availability and use of digital technologies to combat the spread of COVID-19 through:
- Ensuring the smooth operations of the electronic communications industry (telecommunications infrastructure and services) as essential services during the disaster period; and
- Enabling electronic communications service licensees and other service providers to rapidly deploy networks and facilities as contemplated in the Electronic Communications Act to increase the demand and usage of electronic communications services.
COVID-19 export control regulations
The Minister of Trade and Industry has amended the International Trade Administration Commission Export Control Regulations by including a list of goods that may not be exported from South Africa without an export permit. These goods include alcohol-based hand sanitisers, face masks, hydroxychloroquine and certain vaccines.
A message to the agriculture and food sector of South Africa
The Minister of Agriculture, Land Reform and Rural Development has confirmed that the entire food value chain, including farm-related operations, processing and food manufacturing, logistics and related services, wholesale and retail services, and all support functions that ensure efficient delivery of the agro-food system are included in essential services. Food price monitoring will be conducted on critical foods to ensure that there are no inflated food prices in the industry.
Patents, designs, copyright and trade mark divisions
The CIPC will be closed to the public from 25 March 2020 to 30 April 2020 in respect of matters relating to the following Acts:
- Trade Marks Act, 1993
- Patents Act, 1978
- Design Act, 1993
- Copyright Act, 1978
- Registration Copyright in Cinematograph Film Act, 1977
Responses to official communication from the CIPC, documents relating to extensions (of any time periods), and documents relating to legal proceedings that fall due within this period will now be due on 1 May 2020.
Directive in respect of access to the Labour Courts during the period of lockdown
The Judge President has confirmed that no matters will be allocated for hearing in the Labour Courts from 27 March 2020 to 16 April 2020. Matters already allocated will not be heard and will be removed from the roll.
Roadblocks to be implemented in Gauteng
Gauteng Provincial Police Commissioner Lt Gen Elias Mawela has announced that roadblocks will be operated with the South African National Defence Force 24/7 at 11 major national and provincial roads leading from Gauteng to other provinces. There will be "soft blocks" at 32 secondary provincial and municipal roads to prevent the movement of vehicles.
Directions issued by Department of Social Development
The Department of Social Development has published Directions in terms of the Disaster Management Act, 2002 applicable to itself, the South African Social Security Agency, and National Development Agency's managed and mandated programmes and projects. The Directions relate to the following specific topics:
- Substance Abuse and Treatment Centres and Halfway Houses
- Child and Youth Care Centres
- Shelters for Victims of Crimes and Violence including Gender Based Violence
- Old-age Homes and Frail Care Facilities
- Residential Facilities for Persons with Disabilities
- Residential Facilities for Persons with Disabilities
The Directions are effective from 30 March 2020.
Exemption form Municipal Finance Management Act, 2003 and Regulations
The Minister of Finance has exempted municipalities and municipal entities from the provision of the Municipal Finance Management Act, 2003, which requires any action to be taken between 30 March 2020 and the date that the national state of disaster lapses, subject to certain conditions.
National Treasury (NT) sets up COVID-19 email address to find out what you think it should do!
The public may send suggestions on how the National Treasury can best deal with the COVID-19 virus via COVID-19@treasury.gov.za. The initiative is to support current efforts of Government to ensure interaction with members of the public on the virus.
Appeal to all companies to free up protective equipment
Business South Africa has appealed to companies across all economic sectors to release their stock of masks, gowns and gloves to protect healthcare staff during the COVID-19 pandemic.
Netcare Hospital reports that lockdown might be too short
Netcare Hospital has stated that the three-week lockdown might be too short to slow down the spread of COVID-19 and to prevent the health system from being inundated. Netcare's actuarial modelling indicates that the already constrained health system will struggle to cope with the looming increase in the number of patients requiring hospitalisation and beds in intensive care units.
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Calls to limit shopping hours during lockdown The City of Cape Town has called on the Government to limit grocery shopping hours to 09:00 to 13:00 daily, to assist the police and military in implementing the lockdown. It has also been proposed that the number of people who may be out shopping daily should be limited. The proposal is to introduce an "alphabet shopping model" that would allow specific surnames to go out on specific days to shop in order to limit the number of shoppers and help police enforce the lockdown. |
This Regulatory Round-up provides a view of the current state of COVID-19 regulatory matters
FINANCIAL SECTOR
Information Regulator Guides on Right to Privacy in Relation to COVID-19
The Information Regulator has published a Guidance Note to give effect to the right to privacy whilst managing the spread of COVID-19. Personal information should only be collected to manage the spread of COVID 19 and adequate security measures must be in place to ensure the confidentiality of personal information of data subjects.
FSCA Communication 12 of 2020 Impact of COVID-10: Expectations on Regulated Entities
Financial Institutions are expected to assist their customers with 'empathy, flexibility and understanding' to ensure that all customers are treated fairly during the entire product cycle and that there is no profiteering off those who are vulnerable.
FSCA Communication 14 of 2020: Culture and Responsibilities of FSPS under Spotlight Regarding Premium Collection of Funeral Policies
The FSCA has urged funeral parlors to collect premiums in compliance with the regulations around social distancing and clients must be encouraged to make payments electronically. Insurers are advised to consider the grace period where a premium has not been paid on its due date as provided by the Policyholder Protection Rules and must notify policyholders accordingly.
FSCA Issues a Clear Stance on the Collection of Blood Samples for New Business Underwriting
Some insurers have declared travelling nurses as essential services during the lockdown period to collect blood samples for new business underwriting purposes. This exposes nurses and customers unnecessarily and detracts laboratories' efforts to focus on testing for COVID-19. In light of this, the FSCA has reminded insurers to limit essential services, during the lockdown, to those necessary to support the functioning of the financial system and maintaining a stable financial environment, failing which regulatory action will be imposed.
Banks Act, 1990 Directive: Liquidity Coverage Ratio
Banks are directed to comply with a revised minimum liquidity coverage ratio requirement of 80%, effective 1 April 2020 until the Prudential Authority (PA) directs in writing that it is of the view that financial markets have stabilized. The PA has also relaxed the capital adequacy requirements for credit providers (e.g. banks) as part of COVID-19 relief measures.
Banks Act Propose Directive: Temporary Capital Relief to Alleviate Risks posed by the Covid-19 Pandemic
The PA is relaxing the capital adequacy requirements for credit providers (e.g. banks) to accommodate for various COVID-19 relief measures. The measures aim to reduce minimum required capital and reserve funds are not intended to allow banks to distribute earnings in form of dividends or bonuses but to ensure that the capital positions of banks remain healthy and compliant with internationally agreed capital requirements.
Banks Act Proposed Directives on the Treatment of Restructuring Credit Exposures due to COVID-19 Pandemic
The PA has proposed implementing measures to provide suitable temporary relief on the minimum capital requirements for banks relating to credit risk. The Directive provides considerations that must be taken when credit restructuring is granted including whether the loan is expected to remain up to date after the COVID-19 relief period.
Banks Act Guidance Note: Application of International Financial Reporting Standard (IFRS) 9
The Prudential Authority sets out its expectations of when the requirements of IFRS 9 are applied to payment holidays, loan modifications, government guarantees, and other subsidies provided as a result of COVID-19.
Tax Measures to Combat COVID-19
The Disaster Management Tax Relief Bill and the Disaster Management Tax Relief Administration Bill, effective on 1 April 2020, will be tabled when Parliament reconvenes later this year, for retrospective enactment. A tax subsidy for employers has been introduced, of up to R500 per month for the next four months for private sector employees earning below R6 500 under the Employment Tax Incentive (ETI) and SARS will now pay ETI reimbursements monthly in order to increase liquidity of compliant employers.
FOCUS ON CONTAINMENT: HEALTH and RELATED
Minister of Health Media Statement
The Department of Health has received 1500 cellphones from Samsung which will be used to trace persons that have come into contact with COVID-19. The Minister has urged other telecommunication companies to assist the department to equip their 10 000 workers in this regard.
Message by President Cyril Ramaphosa on COVID-19 pandemic
The President announced that a screening, testing, tracing and medical management programme will be rolled out soon. Approximately 10 000 field workers will be deployed to screen people for COVID-19 symptoms.
Health Minister Launches Mobile Laboratories to Boost Testing Capacity
The National Health Laboratory Services has procured 60 mobile (more than the current 7) sampling and testing units to be deployed to all priority districts and metros.
Appeal to all Companies Free Up Protective Equipment
Business South Africa has appealed to companies across all economic sectors to release their stock of masks, gowns and gloves to protect health-care staff during the COVID-19 pandemic.
Netcare Hospital Reports that Lockdown Might be too Short
Netcare Hospital has stated that the 3-week lockdown might be too short to slow down the spread of COVID-19 and to prevent the health system from being inundated. Netcare's actuarial modelling indicates that the already constrained health system will struggle to cope with the increase in number of patients requiring hospitalisation and beds in intensive care units.
SOUTH AFRICA vs COVID-19 VIRUS: OTHER GOVERNMENT INITIATIVES
Regulations 10 (8) Issued under the Disaster Management Act, 2002
Further Directions have been published to clarify that certain places required to be closed du[]ring the lockdown, may remain open to tourists that are placed under quarantine due to the fact that they were already in establishments at the time of the lockdown and are to remain in the establishment for the duration of the lockdown. These places include, guest houses, private and public game reserves and holiday resorts.
National Crime Combatting Forum (NCCF) Guidelines on Implementation of COVID-19 Regulations
The Guidelines provide further detail on the restriction of movement of persons, international movement of persons, places that must be closed and business that may operate during the lockdown.
Further Amendments to Regulations Issued in terms of The Disaster Management Act, 2002
The National Department of Health is mandated to develop and maintain a national database (stores personal information and test results) to trace persons who are known or reasonably suspected to have come into contact with any person known or reasonably suspected to have contracted COVID-19.
The Director General of Health may direct licensed electronic communications service providers to provide the location or movements of any person known or reasonably suspected to have contracted COVID-19 and any person known or reasonably suspected to have come into contact with that person.
The list of essential services has been extended to include insurance, savings and investments, pension fund administration, outsourced administration and medical schemes administration.
The PA, FSCA and SARB may exercise their powers to issue directives to institutions to limit staff at offices and take other precautionary measures to limit the spread of COVID-19; and may issue guidance and other directives in relation to the performance of essential financial services in terms of these Regulations.
Importance of the Right of Access to Information and the Right to Privacy
The Chairperson of the Information Regulator published a press statement calling on health and testing centres to ensure that the personal information of everyone who has been tested and/ or treated is protected and is not used for any other purpose Public and private bodies should increase their security measures on their digital and physical operating systems to protect personal information.
Department of Trade and Industry Guidelines Permits to Perform Essential Services
All staff permitted to work during the lockdown period must always carry an original "permit to perform essential service" and a photo identification issued by the Department of Home Affairs.
Labour Intervention Measures
The Minister of Labour briefed media on systems to pay out UIF benefits through companies, sectoral associations and bargaining councils, any employee who is not involved in a business delivering essential services and goods and those forced to work are entitled to contact the SAPS and report their employer. Employers are required to ensure that the requirements for occupational hygiene and the provision of personal protective equipment are adhered to.
Directive in Respect of Access to the Labour Courts During the Period of Lockdown
No matters will be allocated for hearing in the Labour Courts from 27 March 2020 to 16 April 2020. Matters already allocated will not be heard and will be removed from the roll.
Measures to Prevent and Combat the Spread of COVID-19 in Public Transport Services
Public Transport is permitted to carry essential services working between 05h00 to 10h00 and from 16h00 to 20h00. Private institutions may make arrangements for the transportation of their workers who are rendering essential services. Government will assist with the distribution of masks and taxi operators are to continue to sanitize surfaces and provide hand sanitizers to the public.
Determination on Licensing and Registration of a Motor Vehicle
A learners licence; driving licence; motor vehicle licence disk; temporary permit; professional driving permit; and road worthy certificates, will be deemed to be valid and will remain valid for a period of 30 days after the expiry of the lockdown period.
Registration of Essential Goods and Services
The Department of Trade and Industry has introduced an online portal (www.bizportal.gov.za) where companies can register to indicate that they are an essential service.
Companies and Intellectual Property Commission (CIPC)
From 1 April 2020 to 16 April 2020, fully automated services will be available via the E-services and BizPortal Channels for specific services such as the filing of annual returns.
Patents, Designs, Copyright and Trade Mark Divisions
CIPC will be closed until 30 April 2020 in respect of matters relating to the Trade Marks Act 1993, Patents Act 1978, Design Act 1993 and Copyright Act 1978. Responses to official communication from CIPC, documents relating to extensions, documents relating to legal proceedings that fall due within this period, will now be due on 1 May 2020.
Competition Commission: Complaints Over Excessive Pricing Soars
The Competition Commission has discouraged the filing of complaints unrelated to COVID-19 as well as all merger transactions during the period of the nation-wide lockdown.
Department of Small Business Development Implements Debt Relief Finance Scheme for SMMEs
A debt relief finance scheme has been developed to assist qualifying Small, Medium and Micro-Sized Enterprises (SMMEs) which are, directly or indirectly affected by COVID-19.
This Regulatory Round-up provides a view of the current state of COVID-19 regulatory matters
The week ends with the following updates...
PA Revises Reporting Timelines in Light of Negative Impact of COVID-19
The PA has acknowledged the negative impact that the COVID-19 pandemic has had on organisations and their ability to finalize reports. To cater for this, the PA has published a list of reports where the period of compliance has been extended. In respect of banks with a year end from 31 December 2019 to 31 March 2020, the annual financial statements are to be submitted within 180 days of the year end. Audit reports and public disclosures in respect of banks are extended by 60 days to 180 days after year-end. Insurers' annual financial statements must be submitted to the PA no more than 6 months after year-end and audited statements within 4 months after the financial year end.
Directions to Regulate Call Centres Providing Essential Services
Directions have been published to regulate the operation of call centres during the lockdown period. These include the responsibility of the CEO to designate essential staff and the obligation to adhere to hygienic workplace conditions including the requirements of social distancing; each employee to have their own hand sanitizer; equipment may not be shared; and that each employee's temperature must be checked at the start of a shift and every 4 hours thereafter. A copy of these Regulations must be prominently displayed on the call centres' premises and the CEO must report specified information to the Business Processing Enabling South Africa.
Waiver of Fees for Nurses Who Wish to Restore Registration During National State of Disaster
The South African Nursing Council (SANC) has declared that no fees will be payable to the SANC in respect of a nurse that wishes to restore their registration for the purposes of rendering health services for the prevention and treatment of COVID-19.
Department of Health's Directions to Boost Health Personnel Resources
The Minister of Health has published Directions that requires the recruitment (through a shortened process) and strategic placement of additional health personnel to address, prevent and combat the spread of COVID-19. Additionally, all waste from a quarantine facility must be isolated prior to being disposed of and handled and all persons handling COVID-19 human remains should wear suitable personal protective clothing at all times.
Judge Kate O'Regan Appointed as COVID-19 Designated Judge
Judge Kate O'Regan, former Judge of the Constitutional Court, has been appointed as the COVID-19 Designated Judge to ensure the protection of personal information and privacy during the country's response to the COVID-19 pandemic. The Designated Judge has since confirmed that the use and disclosure of COVID-19 related data for any purpose other than those intended by the Regulations, will be unlawful.
ITAC List of Essential Goods to Qualify for VAT Exemption
International Trade Administration of South Africa (ITAC) has certified that the list of essential goods under the lockdown Regulations will qualify for an exemption under the Value-Added Tax Act 1991. The certificate is applicable from 30 March 2020 and will remain as such until the end of the national disaster.
Treasury to Centralise Sources of Protective Gear
National Treasury has started centralising the sourcing of personal protective equipment (PPE) from suppliers. Local compliant suppliers of PPE items such as surgical gloves, masks, sanitizers and ventilators have been called upon to submit proposals to a central project management office for assessment.
Solidarity Fund Introduces Food Relief
The Solidarity Fund established by the President has set up a R100m facility to expedite the purchase of protective equipment such as face masks and shields and has allocated R120m for food relief for disadvantaged households.
FINANCIAL SECTOR
Guidance Note on Distribution of Dividends and Cash Bonuses in terms of the Banks Act 1990
The SARB and PA's Guidance Note provides that there is to be no distribution of dividends on ordinary shares and no payment of cash bonuses to executive officers and material risk takers in 2020. This Guidance Note will be continuously reviewed in consideration of new developments.
Banks Act Directives Issued for Capital Adequacy Requirements and Loan Restructure
The PA has relaxed the Capital Adequacy Requirements for Banks. This will reduce the amount of money required to be held in reserve and improve their liquidity to assist with COVID-19 relief measures.
In a separate Directive, the JSE has provided conditions to be considered when a loan is being restructured including whether the loan is expected to remain up-to-date after the relief period.
JSE on Payment of Dividends
The JSE had a letter published on 30 March 2020 which provided conditions under which cancellations, changes and postponements can be made to dividends. The JSE has since clarified that such cancellations, changes and postponements to dividends must be made with due regard to the minimum statutory provisions of the Companies Act 2008.
FSCA Communication 15 of 2020 Extension for Regulated Persons
The period by which regulated persons (with a financial year end December 2019 or January 2020) must have their accounting records and annual financial statements audited, has been extended by 2 months. The period of compliance with certain JSE Listing and Debt Listing timeframes is similarly extended by 2 months.
SOUTH AFRICA vs COVID-19: GOVERNMENT INITITIATIVES
Consolidated Regulations Issued in terms of the Disaster Management Act 2002
Following various amendments made to the Regulations issued under the Disaster Management Act 2002, a consolidated view of the amendments has been published. The provisions include the confinement of persons to their place of residence unless it is to perform an essential service or obtain an essential good; the head of an institution must in writing designate its essential staff and essential services; the PA, FSCA and SARB can continue to exercise its legislated functions to issue directives to institutions to take precautionary measures when performing essential services and to limit the spread of COVID-19 and to issue guidance in relation to the performance of essential financial services in terms of the Regulations ; employers must provide transport to its employees that are unable to travel to and from work, subject to conditions; a national COVID-19 Tracing Database is established to store detailed information on persons that are infected with or have come into contact with a person who is infected with COVID-19; and Electronic Communications and Service Providers may be directed to provide the Director-General of Health with data relating to the location and movements of a person who has contracted COVID-19 or come into contact with such person.
Parliament Invites Public Feedback on the Lockdown and Related Measures
Parliament has noted the complaints regarding the economic impact, heavy-handed approach of law enforcement authorities, price gouging, job losses, state of the health system, privacy concerns and the flouting of the Regulations in terms of the Disaster Management Act 2002. Following these complaints, the public has been invited to provide feedback on the Regulations, its implementation, personal challenges, suggestions on measures to help citizens and the economic recovery and on where funding should be appropriated.
Regulations on Competition Tribunal Rules for COVID-19 Excessive Pricing Complaint Referrals
A process for complaint referrals for alleged contraventions of the abuse of dominance provisions of the Competition Act 1998 and the excessive pricing provisions in the Consumer and Customer Protection Regulations have been provided. The Regulations prescribe the process to be followed in a complaint referral; provides that the Competition Tribunal can make a pricing order against a business found to have charged an excessive price to the detriment of consumers and the Tribunal may request that urgent complaint referral proceedings be conducted as video or audio proceedings.
COVID-19 Block Exemption for Healthcare Sector Extended
The Block Exemption granted to the Healthcare Sector, under the provisions of the Competition Act 1998 which prohibits vertical and horizontal practices, has been extended to include agreements between manufacturers and suppliers of medical and hygiene supplies for the purpose of communicating with each other in relation to the availability of and coordinating the procurement and distribution of those supplies.
Covid-19 Temporary Employee / Employer Relief Scheme (TERS)
The amended Directives indicates that an employer no longer has to prove that it suffered financial distress in order for an employee to qualify for the benefit, instead, if an employer as a result of COVID-19, close its operations or part of its operations for a three month or lesser period, the company will qualify for the TERS. Should an employee's income fall below R3500 in terms of the replacement sliding scale, the employee will be paid a replacement income equal to that amount (previously the amount was set as minimum wage). An employee may only receive the benefit if the total amount of the benefit together with any additional payment by the employer in any period, is not more than the remuneration that the employee would ordinarily have received for working during that period.
IN THE NEWS
Government Still Assessing Effectiveness of Lockdown
The President has indicated that a scientific assessment will be performed 'over the next few days' to determine the effectiveness of the lockdown.
The President Assesses Progress and Challenges on Implementation of the COVID-19 Lockdown
The Presidential Coordinating Council held their first virtual meeting on 4 April 2020, during which the measures taken to combat COVID-19 and the challenges of the implementation of the lockdown were assessed. Testing sites are being identified to include both fixed and mobile test facilities. Government is deploying pre-emptive targeted testing in identified areas of potential clusters of infections.
SARB States SA is Heading for Economic Contraction
According to the SARB, the Coronavirus pandemic and the 21-day lockdown will shrink the economy by 4% this year and increase the 2020 budget deficit by depriving the government of revenue.
South African Scientists make Significant Discovery
The National Institute for Communicable Diseases (NICD) and the South African National Bioinformatics Institute (SANBI) have sequenced South Africa's first SARS-COV-2 genome which can help scientists understand and contain the spread of COVID-19 effectively.
This Regulatory Round-up provides a view of the current state of COVID-19 regulatory matters
DMA Regulations Clarify Alert Level 4 Perimeters
Following the Presidential speech on the 23 April 2020 and the brief consultation on the introduction of the five COVID-19 alert levels and Risk Adjusted Strategy, the Department Co-operative Governance and Traditional Affairs has published Regulations to define the perimeters of Level 4 and to provide for matters connected thereto. The previous Regulations have been repealed, however, all Directions issued in terms of the Regulations continue to apply until varied, amended or withdrawn by the relevant cabinet Minister.
General Measures to Contain the Spread of COVID-19
- A cloth face mask that covers the nose and mouth must be worn at all times in public. Employers are to provide cloth masks to employees. , failing which, that person will not be permitted to use any form of public transport or enter any building or premises.
- Every business premise must determine their area of floor space in square meters, then determine the number of people that can be inside at any given time with adequate space i.e. not more than one person per 1.5 meters of floor space. Persons queuing inside or outside a premises must maintain a distance of 1.5 meters from each other. Hand sanitizers must be provided to all persons entering a building at the entrance.
- A "compliance employee" must be assigned in writing, to ensure that the above measures are in place and all directions in respect of hygiene conditions are adhered to.
- All employers must adopt measures to promote physical distancing including enabling work from home strategies to minimise the need for employees to be physically present at the workplace and restrict face to face meetings.
- Employers must provide special measures for high risk employees including those that have existing health issues, comorbidities or are over the age of 60.
Refusal of Medical Examination, Prophylaxis, Treatment, Isolation and Quarantine
No person who has been confirmed to have COVID-19 as a clinical or a laboratory confirmed case as or who is suspected of, or who has been in contact with a person who is a carrier of COVID -19, may refuse to submit to a medical examination, be admitted to a health establishment or a quarantine or isolation site; submit to mandatory prophylaxis, treatment, isolation or quarantine, in order to prevent transmission.
Contact Tracing
Every accommodation establishment must provide information of persons staying there during the lockdown, to the Department of Health for inclusion in the contact tracing database. Further to this, the Regulations relating to contact tracing have remained the same as contained in Government Gazette 43199 and communicated in the Regulatory Update on 2 April 2020.
ALERT LEVEL 4
Level 4 and the provisions set out hereunder will apply from 1 May 2020 and will continue to apply until the declaration of a different level.
Movement of Persons:
- No person may leave their place of residence unless it is to perform an essential or permitted service, buy permitted goods or obtain services as allowed under the Regulations.
- All persons are confined to their place of residence from 20H00 until 05h00 except to perform essential or permitted services or to attend to a security or medical emergency.
- Persons are permitted to walk, run or cycle between 6H00 and 9H00, within a 5km radius of their place of residence. Organised groups are prohibited.
- Movement between provinces, metropolitan areas and districts are only allowed for workers who have a permit to perform essential or permitted services, persons attending a funeral, to transport mortal remains or for learners to attend school or higher education daily.
- Any person that was not in their place of residence or work before the lockdown period, will be permitted to return to such place on a once-off-basis.
- All businesses permitted to operate during Level 4 must develop a plan for the phased return of employees to the workplace, of which must be available for inspection and contain certain specified information including which employees are permitted to work.
- All businesses permitted to operate during Level 4 must designate a compliance officer to oversee the adherence to COVID-19 hygiene and health standards and the implementation of the abovementioned plan.
Closure of Borders
All borders will remain closed for the duration of Level 4, unless to transport fuel, oil or cargo.
Gatherings
All gatherings are banned except when at a workplace or when buying or obtaining essential goods and services, however still subject to social distancing protocols.
Places and Premises Closed to the Public
Any place or premises normally open to the public where religious, cultural, sporting, entertainment. recreational, exhibitional, organisational or similar activities may take place, will remain closed.
Sale, Dispensing or Transportation of Liquor
The sale, dispensing, distribution or transportation of liquor is prohibited, except where alcohol is required for industries producing hand sanitizers, disinfectants, soap, alcohol or industrial use and household cleaning products.
Tobacco Products, E-cigarettes
The sale of tobacco, tobacco products, e- cigarettes and related products is prohibited.
Operation of Economic Sectors
Every person in control of an institution (includes retail stores permitted to open) must take steps to ensure health protocols and social distancing are adhered to and a compliance official is appointed, with their name prominently displayed in a visible area, to ensure compliance with same.
Essential and Permitted Services
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Level Four: Permissions and Prohibitions |
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Wholesale and retail trade, covering stores, spaza shops, eCommerce and informal traders: |
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Financial and Business Services
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Health, Social and Personal Services |
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Covid-19 Occupational Health and Safety Measures in Workplaces Covid-19
The Minister of Employment and Labour has published occupational health and safety measures to reduce and eliminate the escalation of COVID-19 infections in workplaces. If another Minister has issued a Directive under the Regulations dealing with health and safety, then that Directive will apply. The Directions are applicable to all employers and employees in the supply and provision of essential services and includes the following:
Administrative Measures to be Undertaken by every Employer
- A risk assessment must be undertaken to give effect to the minimum measures required by the Directive
- Employers that employ more than 500 employees must submit a record of its risk assessment and a written policy on the protection of health and safety of its employees to its health and safety committee and the Department of Employment and Labour.
- All employees must be notified of the contents of the Directive and the manner in which it will be implemented.
- Employees that are sick or have symptoms associated with the COVID-19 must be notified that they must not come to work and to take paid sick leave.
- A manager must be appointed to address concerns and to keep employees informed.
- Employers must ensure that the measures required by the Directive and its risk assessment plan are strictly complied with through monitoring and supervision.
- The number of employees on premises and the contact between employees must be minimized.
- Employees must be provided with information that raises awareness on the dangers of the virus, the manner of its transmission, the measures to prevent transmission such as personal hygiene, social distancing, use of masks, cough etiquette and where to go for screening or testing if presenting with the symptoms.
- If a worker has been diagnosed with COVID-19, an employer must inform the Department of Health and the Department of Employment and Labour; and investigate the cause including any control failure and review its risk assessment.
Social Distancing Measures
- Employer's must arrange the workplace to ensure minimal contact between employees and ensure that there is a minimum of one and a half meters between employees while they are working.
- Social distancing measures must be implemented throughout the workplace, the common areas outside the immediate workplace and in canteens and lavatories.
Health and Safety Measures
Symptom Screening
- Employers must take measures to screen employees when the report for work, to ascertain if they have any observable symptoms of COVID-19.
- Any employee that presents symptoms must not be permitted to enter the workplace or must be placed in isolation and transported in a manner that does not risk other employees and disinfect the workers workstation.
Sanitizers, Disinfectants and Other Measures
- Hand sanitizers with at least 70% alcohol must be provided to employees and at the entrance of the workplace.
- All work surfaces must be disinfected before work begins, during the day and after work ends.
- There must be adequate facilities for hand washing with soap and the use of paper towels.
Cloth Masks
- All employees must be provided with 2 face masks to be worn at work.
- Employers must ensure that workers are informed, instructed, trained and instructed as to the correct use of cloth masks.
- Employers must make arrangements for the washing, drying and ironing of cloth masks.
Measures in Respect of Workplaces to which Public have Access
- Measures must be put in place to ensure at least one and a half meters between workers and members of the public.
- Physical barriers must be put in place or employees must be provided with face shields.
- If appropriate, symptom screening of persons entering the premises must be undertaken and members of the public must be required to wear masks.
Ventilation
- Employers must keep the workplace well ventilated by natural or mechanical means to reduce the SARS-CoV-2 viral load and ensure that filters are cleaned and replaced.
Other PPE
Employers must regularly check the website of the National Department of Health9 , National Institute of Communicable Diseases10 and the National Institute for Occupational Health11 whether any additional PPE is required or recommended in any guidelines.
This Regulatory Update provides a view of the current state of COVID-19 regulatory matters
Amended Regulations in terms of the Disaster Management Act, 2002
During the Presidential speech on the 24 May 2020, it was announced that from 1 June 2020, the whole country should move from alert Levels 4 to 3. Following this announcement, the Department Co-operative Governance and Traditional Affairs has published the following Regulations to define the perimeters of alert Level 3 and to provide for matters connected thereto.
Operation of Economic and Public Sector
- All businesses, except those prohibited in Table 2 of the Regulations, may resume operation.
- Businesses with more than 100 employees must minimize the number of employees at work through rotation, staggered working hours and work from home arrangements.
- The health protocols, social distancing measures and Occupational Health and Safety Directions must be adhered to.
- Measures must be put in place to facilitate the safe return to work of employees over the age of 60 or those with co-morbidities.
Business and financial services firms with more than 500 employees must have appropriate workplace arrangements in place to address the following:
- Provide transport to employees or consider staggered working time arrangements.
- Stagger the return to work of employees to ensure workplace readiness.
- Screen employees daily for COVID-19 symptoms and refer employees who display symptoms for medical examination and testing, where necessary.
- Submit the collected screening and testing data to the Minister of Director-General Health.
Industry bodies must, in consultation with the Department of Health, develop sector specific health protocols to limit the spread of COVID-19.
Compliance Officers
Businesses must designate a COVID-19 Compliance Officer to oversee the following:
- Adherence to standards of hygiene and health protocols.
- Implementation of a plan for the phased-in return of employees prior to the reopening of the workplace, of which must be retained for inspection and contain certain information including which employees are permitted to work and what health protocols are in place to protect employees.
- The phased-in return of employees from other provinces, metropolitan areas and districts.
- Develop measures to ensure health protocols and social distancing requirements are adhered to.
A person in control of an institution must take steps to ensure health protocols and social distancing measures are in place; designate a compliance officer to ensure safety controls are adhered to; and display the name of the compliance officer in a visible area in the institution.
Economic Operation During Alert Level 3
All persons that are able to work from home must do so. Persons are however permitted to perform any type of work outside their home and to travel to and from work provided certain conditions are complied with, including strict compliance with health protocols and social distancing measures.
Specific Economic Exclusions Include the Following:
- Consumption of food and beverages at or in a place of sale, including restaurants retail outlets, convenience stores or informal traders.
- Conferences and events, including sports events, except as provided for in the Regulations.
- Personal care services including hairdressing and nail salons.
Determination of Alert Level
Alert Levels ranging from 1 to 5 may be determined to apply at a national, provincial, metropolitan or district level or in a hotspot. A hotspot will be identified by taking into account the following information:
- The number of active cases per 100 000 population.
- The rate of increase of active cases.
- The availability of hospital beds and related resources.
- Any other factor relevant for purposes to containment of COVID-19.
Movement of Persons
No one may leave their place of residence unless it is to:
- Travel to and from work to perform any service permitted by alert Level 3.
- Buy goods and obtain services that are not prohibited by the Regulations.
- Exercise, between 06h00 and 18h00, provided that health protocols and social distancing measures are adhered to.
- Attend a place of worship.
- Attend a school or learning institution, once they are open.
A cloth face mask or other appropriate item must be used by all persons in public spaces, failing which those persons will not be allowed in a public space, to use any form of public transport or enter any public building, place or premises.
Movement of persons between provinces, metropolitan areas, districts and hotspots is prohibited except for:
- Persons travelling to perform a permitted service, with a permit issued by their employer, in their possession.
- Person moving residence or caring for an immediate family member (with the prescribed affidavit).
- Members of Parliament performing oversight responsibilities.
- Learners or students that have to travel to schools or higher educations that are permitted to operate.
- The attendance of funerals, within the provisions of the regulations.
- The transportation of mortal remains.
- Obtaining medical treatment.
- Persons returning to their place of residence from a quarantine or isolation facility.
- Movement permitted in Regulation 41.
Places and Premises closed to the Public
All places and premises normally open to the public for cultural, sporting, entertainment, leisure, exhibitional, organizational or similar activities, must remain closed. These places include gyms and fitness centres, sport grounds and fields and swimming pools, EXCEPT for training of professional athletes and professional non-contact sports matches.
Controlled Visits by Members of the Public
Visits by members of the public to health establishments and facilities and older persons' residential facilities remain prohibited, unless otherwise directed by the relevant cabinet member.
Movement of Children
The movement of children between co-holders of parental responsibilities and rights or a caregiver is permitted under certain conditions.
Attendance of Funerals
Movement between a province, metropolitan area or district is permitted if that person bears a certain relationship with the deceased and obtains a permit from the head of court or a police station commander.
Prohibition on Evictions
A person may not be evicted from their land or home during alert Level 3. However, an order for eviction in terms of the applicable legislation may be granted by a competent court and suspended until the end of Alert Level 3, unless such suspension is not just and equitable.
Gatherings
All gatherings are prohibited except at a faith-based institution (limited to 50 people and subject to health protocols and social distancing measures being adhered to), a funeral, a workplace for work purposes. A professional non-contact sports match.
Failing to adhere to this provision may result in an enforcement officer ordering persons at a gathering to dispense immediately or appropriate action in terms of the Criminal Procedure Act 1997.
Closure of Boarders
Boarders of the pubic are only open for the purposes of the transportation of fuel, cargo, and goods, medical emergencies, movement of staff of diplomatic and international organizations. The Minister of Home Affairs may permit movement to or out of the Republic for emergency medical attention of a life-threatening condition, the return of a South African national or permanent resident to their place of employment or residence, outside the Republic.
Transportation of Cargo
The movement of cargo to and from other countries and within the Republic is permitted via rail, ocean, air and road transport.
Public Transport
The Minister of Transport is authorized to publish Directions for the resumption of different modes of public transport (including domestic air travel) to cater for the gradual return to work of people.
Sale, Dispensing or Transportation of Liquor
Liquor may be sold at a licensed premises or through e-commerce delivery from Monday to Thursday between 09h00 and 17h00. Liquor may not be consumed at the place of sale.
Tobacco Products, e-cigarettes and Related Products
The sale of tobacco, tobacco products, e-cigarettes and related products is prohibited, except for export.
This Regulatory Update provides a view of the current state of COVID-19 regulatory matters
GOVERNMENT INITIATIVES
Department of Co-Operative Governance and Traditional Affairs | Extension of a National State of Disaster (COVID-19)
The Minister of Cooperative Governance and Traditional Affairs has extended the declaration of a national state of disaster in respect of COVID-19, to 15 October 2020.
Department of Health | Directions in terms of the Disaster Management Act, 2002
The Department of Health has published Directions which set out the following:
- All health care risk waste generated from the use of health equipment material and medical supplies must be treated in compliance with the provisions of the National Environmental Health Norms and Standards.
- The segregation, storage, collection, treatment, handling and disposal of health care waste must be dealt with as provided for in the National Public Hygiene Strategy and Implementation Plan for 2020.
- Directions are set out in respect of mortal remains.
- All persons that enter the Republic must be subjected to screening at the point of entry and may be placed under mandatory quarantine for a minimum period of 14 days.
- Where a person wishes to self-quarantine, that person or their employer may make an application containing the prescribed information to the Director - General Health, 72 hours prior to the intended date of travel, for approval.
- Employers who wish to have their employees in quarantine or isolation facilities of the employers' choice must pay all costs incurred.
- Monitoring and testing of employees in quarantine or isolation remains the responsibility of the employer and this would be at no cost to the state.
- The Directions provide the criteria for self -quarantine and self -Isolation facilities which includes a separate well-ventilated bedroom with a bathroom and toilet.
- Private entities responsible for public places must ensure compliance with the National Public Hygiene Strategy, 2020 and other health and social distancing measures.
The Directions repeal those published on 8 April 2020 and are effective from 17 July 2020.
Department of Employment and Labour | Directive on Compensation for Workplace-Acquired Novel COVID-19
The diagnosis of a workplace-acquired COVID-19 infection relies on multiple criteria including an assessment of the inherent risk factors. The compensation fund will consider the inherent risk posed by various categories of work and occupations but will not be provided for unconfirmed cases still under investigation.
Department of Basic Education | Directions in terms of the Disaster Management Act, 2002
Grades R and 1 will return to school on 24 August 2020. Specific arrangements must be implemented and includes determining staffing requirements to ensure compliance with the health, safety and social distancing requirements and to assist with the distribution of learning material. A parent, caregiver or a designated family member may choose not to send a learner to school for specified reasons but must submit a prescribed application to the school in this regard. Schools must be kept informed of a learner's condition where that learner has been placed in isolation or quarantine.
Department of Basic Education | Directions in Terms of the Disaster Management Act, 2002
The Minister of Basic Education has published Directions which require all schools to comply with the Guidelines developed for specific categories of learners with disabilities. Where a learner does not return to school for specific reasons, including an underlying health condition, self-isolation due to COVID-19 symptoms or a confirmed infection, the Head of Department must ensure certain conditions are complied with such as the provision or loan of assistive devices for use at home. A school that has a large enough facility, such as a school hall, may accommodate more than 50 people at a time in that facility, provided that all health, safety and social distancing requirements are complied with.
Department of Health | Directions in terms of the Disaster Management Act, 2002
- The Minister Health has published Directions in respect of the determination of Alert Levels which determine the restrictions to be applied during the national state of disaster. The Directions set out the following:
- 'Alert Level 1' indicates a low COVID-19 spread with a high health system readiness;
- 'Alert Level 2' indicates a moderate COVID-19 spread with a high health system readiness;
- 'Alert Level 3' indicates a moderate COVID-19 spread with a moderate health system readiness;
- 'Alert Level 4' indicates a moderate to a high COVID -19 spread with a low to moderate health system readiness; and
- 'Alert Level 5' indicates a high COVID-19 spread with a low health system readiness.
The Ministerial Advisory Committee must advise the Minister of Health regarding which Alert Level should be declared nationally, provincially, in a metropolitan area, or a district, taking into account the following:
- The epidemiological trends of COVID-19 infections;
- The health system capacity in a specified area; and
- Any other factor that would influence the level of infection, hospitalisation and mortality.
Epidemiological trends includes a consideration of the trends in the number of tests done, number of persons screened, number of positive cases, number of recoveries and the demographic profile of the positive cases. Health system capacity includes a consideration of the number of facilities available to support COVID-19; bed-occupancy levels for the various levels of care; human resource capacity; equipment and related resources
Department of Health | Directions in terms of the Disaster Management Act, 2002
The Minister of Health has amended the Directions in respect of measures to address, prevent and combat the spread of COVID-19. Additional amendments includes the following:
Symptomatic person
- A person who tests positive for COVID -19 and is symptomatic with mild disease that does not require hospitalization must be isolated for a period of at least 10 days from the date when the symptoms set in.
- A person may de-isolate 10 days after the onset of symptoms, provided that the person no longer has a fever and his or her other symptoms have improved.
- A symptomatic person with moderate-severe disease must be isolated for 10 days after recovery when the person no longer requires supplemental oxygen and is clinically stable.
Asymptomatic person
- An asymptomatic person who tests positive for COVID-19 must be isolated for 10 days from the day of the positive test.
Repeat testing
- Repeat testing is not required in order for a person to de-isolate.
Amendment of Regulations in terms of the Disaster Management Act, 2002
Following the Presidents' address on 15 August 2020 in which a further easing of the lockdown restrictions were announced, the Minister of Co-operative Governance and Traditional Affairs has published Regulations to define the perimeters of Alert Level 2 and to provide for matters connected thereto. The Regulations are effective from 00H01on 18 August 2020.
Definitions
A definition for "face mask" has been added and described as a cloth face mask or a homemade item that covers the nose and mouth, or another appropriate item to cover the nose and mouth.
Operation of Economic Sector
- All businesses, except those prohibited in Table 3 of the Regulations, may resume operation.
- Businesses with more than 100 employees must minimize the number of employees at work through rotation, staggered working hours and work from home arrangements.
- The health protocols, social distancing measures and the Occupational Health and Safety Directions must be adhered to.
- Measures must be put in place to facilitate the safe return to work of employees over the age of 60 or those with co-morbidities.
Business and financial services firms with more than 500 employees must have appropriate workplace arrangements in place to address the following:
- Provide transport to employees or consider staggered working time arrangements.
- Stagger the return to work of employees to ensure workplace readiness.
- Screen employees daily for COVID-19 symptoms and refer employees who display symptoms for medical examination and testing, where necessary.
- Submit the collected screening and testing data to the Minister of Director-General Health.
Compliance Officers
Businesses must designate a COVID-19 Compliance Officer to oversee the following:
- Adherence to standards of hygiene and health protocols.
- Implementation of a plan for the phased-in return of employees prior to the reopening of the workplace, of which must be retained for inspection and contain certain information including which employees are permitted to work and what health protocols are in place to protect employees.
- The phased-in return of employees from other provinces, metropolitan areas and districts.
- Develop measures to ensure health protocols and social distancing requirements are adhered to.
A person in control of an institution must take steps to ensure health protocols and social distancing measures are in place; designate a compliance officer to ensure safety controls are adhered to; and display the name of the compliance officer in a visible area in the institution.
Movement of Persons
No person may leave their place of residence between 22H00 and 04H00, unless that person has a permit (in the prescribed form) to perform a service which is not listed in Table 3 of the Regulations, or is attending to a security or medical emergency.
Mandatory Protocols When in a Public Place
No person will be allowed to be in a public place, use any form of public transport, or enter a public building, place or premises if that person is not wearing a face mask.
Gatherings
All gatherings are prohibited except for the following, subject to specific limitations:
Place / Premises / Event Limitation
Conferences and meetings - Limited to 50 persons, excluding those who participate through electronic platforms and restricted to business purposes.
A funeral - Limited to 50 persons and subject to adherence to health protocols and social distancing measures.
A social event at a place of residence - Limited to 10 visitors.
The following places will be open to the public subject to all persons wearing a face mask and subject to strict adherence to all health protocols and social distancing measures, provided for in the directions issued by the relevant Cabinet member after consultation with the Minister of Health:
- Fitness centres and gyms, further subject to a limitation of 50 persons or less;
- Sports grounds and fields;
- Swimming pools, further subject to a limitation of 50 persons or less;
- beaches and public parks;
- Museums, galleries, libraries and archives;
- Personal care services, including hairdressing, beauty treatments, make -up and nails salons and piercing and tattoo parlours;
- Restaurants;
- Bars, taverns, shebeens, and similar establishments, further subject to a limitation of 50 persons or less; and
- All accommodation establishments and tour operators, subject to a limitation of 50 persons or less.
Controlled Visits by Members of the Public
Visits by members of the public to facilities and institutions such as health establishments and facilities are prohibited except to the extent and in the manner directed by the relevant Cabinet member, to receive treatment or medication and subject to strict adherence to health protocols.
Closure of Borders
All borders of the Republic will remain closed, except for ports of entry designated by the Minister of Home Affairs for certain reasons including transportation of fuel, cargo and goods. The Minister of Home Affairs may also allow entry into or exist from the Republic for inter alia, emergency medical attention for a life- threatening condition and the return of a South African national or permanent resident to his or her place of employment, study or residence, outside the Republic.
Public Transport
Buses and taxis may not carry more than 70% of their licensed capacity for long distance travel (more than 200 kms), however may carry 100% of the licensed capacity in respect of trips shorter than 200 kms.
Sale, Dispensing or Transportation of Liquor
- Liquor may be sold for off-site consumption from 09h00 to 17h00, from Monday to Thursday, excluding Friday, Saturday, Sunday and public holidays.
- Liquor may be sold for on-site consumption provided it is not done so between 22H00 and 04H00.
Department of Transport | Directions in terms of the Disaster Management Act, 2002
The Minter of Transport has amended the Directions in respect of the validity period of learner's licences, driving licence cards, licence discs, professional driving permits and registration of motor vehicles. The Directions set out the following:
- The validity of learner's licences, driving licence cards, temporary driving licences and professional driving permits that expired between 26 March 2020 and 31 August 2020 has been extended for a further grace period ending on 31 January 2021.
- Motor vehicle licence discs, temporary permits and roadworthy certificates that expired between 26 March 2020 and 31 May 2020 are deemed to be valid for a further grace period ending on 31 August 2020.
- Motor trade number licences that expired between 26 March 2020 and 31 May 2020 are deemed to be valid for a further grace period ending on 30 November 2020.
Department of Transport | Directions in terms of the Disaster Management Act, 2002
The Minister of Transport has amended the Directions in respect of public transport services by permitting private vehicles to carry their maximum licensed passenger capacity.
Department of Transport | Directions in terms of the Disaster Management Act, 2002
The Minister of Transport has amended the Directions in respect of Pubic Transport to include the following:
- Long distance intra- provincial and inter-provincial travel by private vehicles and public transport services are permitted.
- The transportation of liquor is permitted.
Department of Employment and Labour |Directions in Respect of COVID-19 TERS
The Directions which provided for the COVID-19 Temporary Employee/Employer Relief Scheme (TERS), were initially published on 26 March 2020 and lapsed on 27 June 2020 (3 months after the date of publication). The Department has since published an amended Direction which extends the COVID-19 TERS benefit for certain categories of employees/employers.
Department of Social Development | Directions in terms of the Disaster Management Act, 2002
The Minister of Social Development has published Directions with measures to prevent and combat the spread of COVID-19 in Early Childhood Development Programs (ECD Programs) and Partial Care Facilities. The Directions prescribe the following:
- The Principal or manager of an ECD program or partial care facility must confirm compliance with the minimum health, safety and social distancing measures on COVID-19 by signing the prescribed declaration set out in Annexure.
- A child must be accompanied by a parent or legal guardian, or their designated person, every day when the child arrives at an ECD program or a partial care facility and must be screened.
- A child with a known underlying health condition may not return to an ECD program or partial care facility, unless a medical practitioner gives a written authorisation that it is safe for such a child to return to, and participate in, the ECD program or partial care facility.
- The directions prescribe measures to be implemented in relation to screening, sanitizing, handwashing, disinfecting, the wearing of masks, and social distancing.
- Records must be kept in respect of each child and the records must contain the specified information.
FINANCIAL SECTOR
_____________________________________________________________________________________
Companies and Intellectual Property Commission (CIPC) | Notice 34 of 2020 | Companies, Close Corporations Regulatory Compliance During Government Lockdown
CIPC has acknowledged the impact of COVID-19 on compliance by Companies and Close Corporations with the Companies Act, 2008 specifically:
- Preparation of Annual Financial Statements (AFS) within 6 months
- Filing of latest available set of Annual Financial Statements using iXBRL
- Filing of a Compliance Checklist as published with the relevant guidance notes
- Filing of Financial Accountability Supplements (FAS)
The extension of the filing period was communicated in Notice 21 of 2020 published on 15 April 2020 which provided an extension until two weeks after the national lockdown ceases or communicated otherwise by CIPC. CIPC has granted a further extension and confirmed that it will not issue Compliance Notices, if the non-compliance can be attributed to the constraints and limitations posed by COVID-19. However, all entities have been reminded to file their "latest" sets of available Annual Financial Statements or FAS's.
COUNCIL FOR MEDICAL SCHEMES (CMS)
_____________________________________________________________________________________
Council for Medical Schemes | Revised Prescribed Minimum Benefit (PMB) Definition Guideline COVID-19 Version 5
The revised PMB Definition Guideline for COVID-19 provides a Diagnosis and Treatment Pair (DTP) code for COVID-19, sets out PMB recommendations on serological testing and extends the list of treatment that is not recommended as a PMB level of care including for Interferon beta, Intravenous immunoglobulin, Tocilizumab, Azithromycin, Hydroxychloroquine/chloroquine and Favipiravir.
CMS Circular 50 of 2020: Industry Update on Developments Relating to COVID-19 Exemptions and Guidelines
Due to the impact of COVID-19, the CMS provided a number of measures designed to provide financial relief to members. Some of these measures include the declaration of COVID-19 as a Prescribed Minimum Benefit (PMB) and offering financial relief to members whose income was affected by the impact of COVID-19. Based on the small number of medical schemes that have applied for the exemptions granted by the CMS, a concern has been raised that a significant number of schemes have not applied for the exemptions and have therefore deprived members of the relief option. The CMS will continue to monitor this inaction in the interest of protecting medical scheme members.
CMS Circular 52 of 2020 | Guidance on Benefit Changes and Contribution Increases for 2021
In light of key economic indicators such as Gross Domestic Product (GDP), employment statistics, consumer price index (CPI), interest rates, exchange rate, household income and expenditure and corporate earnings, the CMS has recommended medical schemes that are in a strong financial position to freeze contribution rate increases for the 2021 benefit year. Where this is not possible, increases should be limited to 3.9%.
This Regulatory Update provides a view of the current state of COVID-19 regulatory matters
GOVERNMENT INITIATIVES
_____________________________________________________________________________________
Amendment of Regulations in terms of the Disaster Management Act, 2002 | Alert Level 1
Following the President's address on 16 September 2020, where a further easing of the lockdown restrictions was announced, the Minister of Co-operative Governance and Traditional Affairs has published Regulations to define the perimeters of Alert Level 1 and to provide for matters connected thereto. The Regulations are effective from 12:01am on 21 September 2020. The declaration of a national state of disaster in respect of COVID-19 has been extended to 15 October 2020.
Movement of Persons
No person may leave their residence between 12:01am until 04:00am daily, except where that person:
- Has been granted permission by a Cabinet member on the prescribed form to perform a service other than a service related to an activity listed in Table 4 of the Regulations
- Is attending to a security or medical emergency.
Operation of Economic Sector
All businesses may operate except for those set out in Table 4.
Relevant health protocols and social distancing measures set out in directions must be adhered to, in addition to the occupational health and safety directions by the Minister of Employment and Labor.
Firms must adhere to any sector -specific health protocols intended to limit the spread of COVID -19 in the sector concerned. Sector-specific health protocols may address matters such as work rotation, staggered working hours, shift systems, remote working arrangements, special measures affecting persons with greater vulnerabilities or similar measures, in order to achieve social distancing, protect employees or limit congestion in public transport and at the workplace.
Compliance Officers
Businesses and entities must develop and retain for inspection, a plan containing measures to ensure that the workplace meets the standards of health protocols and social distancing measures and contains the details of the COVID-19 Compliance Officer.
A compliance officer must be designated to oversee the implementation of the plan and strict adherence to the standards of hygiene and health protocols relating to COVID-19 at the workplace.
A person in control of a retail store or institution must:
- Take steps to ensure that customers keep a distance of at least 1.5 metres from each other and that all Directions in respect of health protocols and social distancing measures are strictly adhered to
- Designate a compliance officer to ensure that safety controls are strictly adhered to and
- Display the name of the compliance officer prominently in the store or institution in a visible area.
Mandatory Protocols When in a Public Place
No person will be allowed in a public place, building or on public transport, without a face mask.
Gatherings
- All persons attending a gathering must wear a face mask and adhere to all health and social distancing protocols.
- An owner or operator of any indoor or outdoor facility where gatherings are held must display the certificate of occupancy setting out the maximum number of persons the facility may hold.
- Gatherings at social events are limited to 250 persons or less for an indoor gathering and 500 persons or less for an outdoor gathering. No more than 50 percent of the capacity of the venue may be used.
- Gatherings at a workplace for work purposes are allowed.
- Gatherings at conferences and meetings are limited to 250 persons or less for an indoor gathering and 500 persons or less for an outdoor gathering. No more than 50 percent of the capacity of the venue may be used. Persons participating through electronic platforms are not included in these limitations.
- Gatherings at gyms, fitness centres and swimming pools are allowed, subject to a limitation of not more than 50 percent of the capacity of the venue.
- Gatherings at restaurants are allowed subject to strict adherence to directions on the times of operation, the number of persons, health protocols and social distancing measures.
- Sporting activities, including both professional and nonprofessional matches, by recognised sporting bodies, are allowed, subject to certain conditions including that no spectators are allowed in the venue of the sports match.
Controlled Visits by Members of the Public
All visits by members of the public to certain places such as health establishments and facilities, except to receive treatment or medication, subject to strict adherence to health protocols, are prohibited.
Partial Re-opening of Borders
From 1 October 2020, all travelers from the African Continent and from countries outside the African Continent with a low rate of COVID -19 infection and transmission will resume, subject to the traveler providing a valid certificate of a negative test which is not older than 72 hours from the date of travel, failing which the traveler will be required to quarantine at their own costs.
The Minister of Transport will publish Directions containing:
- The criteria for controlling entry into South Africa from countries with a high COVID -19 infection and transmission rate and
- The list of countries with a high COVID -19 infection and transmission rate.
International travel from countries listed as having a high COVID -19 infection and transmission rate is prohibited, except for business travel subject to approval of the Minister of Home Affairs.
International air travel is restricted to the following airports:
- OR Tambo International Airport
- King Shaka International Airport
- Cape Town International Airport.
Public Transport
Buses and taxis may not carry more than 70% of their licensed capacity for long distance travel (more than 200 kms), however may carry 100% of the licensed capacity in respect of trips shorter than 200 kms.
Sale and Dispensing of Liquor
The sale of liquor is permitted:
- By a licensed premises for off -site consumption, from 09h00 to 17h00, from Mondays to Fridays, excluding weekends and public holidays and
- By a licensed premises for on -site consumption, subject to strict adherence to the curfew of 12:01am until 04:00am.
Amended Consolidated Direction on Occupational Health and Safety Measures in Certain Workplaces
The new Consolidated Direction on Occupational Health and Safety Measures in Certain Workplaces, which states that if an employee has been diagnosed with COVID-19, the employer must inform the National Institute for Occupational Health in accordance with the National Department of Health Guidelines and the Compensation Commissioner. An employer who employs more than 50 employees must submit certain categories of data to the National Institute for Occupational Health, including each employee's vulnerability status for serious outcomes of a COVID -19 infection and details of the COVID -19 screening of employees who are symptomatic.
Department of Employment and Labour | Directions Compensation for Workplace-Acquired COVID-19
The diagnosis of a workplace-acquired COVID-19 infection relies on multiple criteria including an assessment of the inherent risk factors. The compensation fund will consider the inherent risk posed by various categories of occupations but will not provide cover for unconfirmed cases still under investigation.
Department of Employment and Labour |Directions in Respect of COVID-19 TERS
The Directions which provided for the COVID-19 Temporary Employee/Employer Relief Scheme (TERS), were initially published on 26 March 2020 and lapsed on 27 June 2020 (3 months after the date of publication). The Department has since published an amended Direction which extends the COVID-19 TERS benefit for certain categories of employees/employers.
Department of Health | Criteria to Guide the Determination of Alert Levels
- The Minister Health has published Directions in respect of the determination of Alert Levels which determine the restrictions to be applied during the national state of disaster. The Directions set out the following:
- 'Alert Level 1' indicates a low COVID-19 spread with a high health system readiness;
- 'Alert Level 2' indicates a moderate COVID-19 spread with a high health system readiness;
- 'Alert Level 3' indicates a moderate COVID-19 spread with a moderate health system readiness;
- 'Alert Level 4' indicates a moderate to a high COVID -19 spread with a low to moderate health system readiness; and
- 'Alert Level 5' indicates a high COVID-19 spread with a low health system readiness.
The Ministerial Advisory Committee must advise the Minister of Health regarding which Alert Level should be declared nationally, provincially, in a metropolitan area, or a district, taking into account the following:
- The epidemiological trends of COVID-19 infections;
- The health system capacity in a specified area; and
- Any other factor that would influence the level of infection, hospitalisation and mortality.
Epidemiological trends include a consideration of the trends in the number of tests done, number of persons screened, number of positive cases, number of recoveries and the demographic profile of the positive cases. Health system capacity includes a consideration of the number of facilities available to support COVID-19; bed-occupancy levels for the various levels of care; human resource capacity; equipment and related resources
Department of Health | Measures to Prevent and Combat the Spread of COVID-19
The Minister of Health has amended the Directions in respect of measures to address, prevent and combat the spread of COVID-19. Additional amendments include the following:
Symptomatic person
- A person who tests positive for COVID -19 and is symptomatic with mild disease that does not require hospitalization must be isolated for a period of at least 10 days from the date when the symptoms set in.
- A person may de-isolate 10 days after the onset of symptoms, provided that the person no longer has a fever and his or her other symptoms have improved.
- A symptomatic person with moderate-severe disease must be isolated for 10 days after recovery when the person no longer requires supplemental oxygen and is clinically stable.
Asymptomatic person
- An asymptomatic person who tests positive for COVID-19 must be isolated for 10 days from the day of the positive test.
Repeat testing
- Repeat testing is not required in order for a person to de-isolate.
Department of Transport Directions | Public Transport
The Directions set out specific sanitization and social distancing measures that must be adhered to by operators and owners of public transport facilities. Vehicles travelling long distance may carry 70% of the maximum capacity load and vehicles travelling a shorter distance may carry 100% capacity.
- Long distance intra- provincial and inter-provincial travel by private vehicles and public transport services is permitted.
- The transportation of liquor is permitted.
- Private vehicles to carry their maximum licensed passenger capacity.
Department of Transport | Directions in terms of the Disaster Management Act, 2002
The Minter of Transport has amended the Directions in respect of the validity period of learner's licences, driving licence cards, licence discs, professional driving permits and registration of motor vehicles. The Directions set out the following:
- The validity of learner's licences, driving licence cards, temporary driving licences and professional driving permits that expired between 26 March 2020 and 31 August 2020 has been extended for a further grace period ending on 31 January 2021.
- Motor vehicle licence discs, temporary permits and roadworthy certificates that expired between 26 March 2020 and 31 May 2020 are deemed to be valid for a further grace period ending on 31 August 2020.
- Motor trade number licences that expired between 26 March 2020 and 31 May 2020 are deemed to be valid for a further grace period ending on 30 November 2020.
Department of Sport, Arts and Culture | Health and Social Protocols for Gyms and Fitness Centres
Additional measures have been prescribed in the Department's Directions in terms of the Disaster Management Act, 2002 (DMA) relating to sports matches, gyms and fitness centres. Measures include the provision of sufficient hand sanitizers at multiple locations around the facility, availability of cleaning personnel to continuously disinfect all areas of the premises throughout the day using chemicals with antiviral properties, placement of posters around the facility highlighting social distancing protocols and the compulsory wearing of face masks or any appropriate item that covers the mouth and nose.
Measures to Address, Prevent and Combat the Spread of COVID-10 in the Air Services for Alert Level 1
International flights to and from South Africa (SA), as well as domestic flights within SA, are permitted. Passengers are required to wear face masks at all times, may only remove face masks during emergencies or when instructed by cabin crew to take them off and must observe social distancing, hand washing and sanitize regularly. A passenger must provide a negative Polymerase Chain Reaction ("PCR") test certificate or a valid COVID -19 negative test certificate, obtained not more than 72 hours before the date of travel, from an accredited laboratory and in line with the World Health Organization requirements. International travel from countries listed as having a high COVID -19 infection and transmission rate, is prohibited, except for business travel, which may be allowed with the approval of the Minister of Home Affairs.
Measures to Prevent and Combat the Spread of COVID-19 in Cross-Border Road Transport for Alert Level 1
The Directions set out specific measures that must be followed by owners of cross-border road transport passenger services and operators must follow, including regular sanitizing of the facilities, adherence to social distancing measures and the wearing of a cloth face mask.
Directions on Risk Adjusted Strategy for Tourism Facilities, Services and Products | Disaster Management Act, 2002
The owner or operator of a restaurant, conference, meeting, or a functions venue, must display a certificate of occupancy which sets out the maximum number of persons the facility may hold.
Department of Basic Education | Directions in terms of the Disaster Management Act, 2002
Grades R and 1 will return to school on 24 August 2020. Specific arrangements must be implemented and includes determining staffing requirements to ensure compliance with the health, safety and social distancing requirements and to assist with the distribution of learning material. A parent, caregiver or a designated family member may choose not to send a learner to school for specified reasons but must submit a prescribed application to the school in this regard. Schools must be kept informed of a learner's condition where that learner has been placed in isolation or quarantine. The Directions require all schools to comply with the Guidelines developed for specific categories of learners with disabilities. Where a learner does not return to school for specific reasons, including an underlying health condition, self-isolation due to COVID-19 symptoms or a confirmed infection, the Head of Department must ensure certain conditions are complied with such as the provision or loan of assistive devices for use at home. A school that has a large enough facility, such as a school hall, may accommodate more than 50 people at a time in that facility, provided that all health, safety and social distancing requirements are complied with.
Department of Social Development | Directions in terms of the Disaster Management Act, 2002
The Minister of Social Development has published Directions with measures to prevent and combat the spread of COVID-19 in Early Childhood Development Programs (ECD Programs) and Partial Care Facilities. The Directions prescribe the following:
- The Principal or manager of an ECD program or partial care facility must confirm compliance with the minimum health, safety and social distancing measures on COVID-19 by signing the prescribed declaration set out in Annexure.
- A child must be accompanied by a parent or legal guardian, or their designated person, every day when the child arrives at an ECD program or a partial care facility and must be screened.
- A child with a known underlying health condition may not return to an ECD program or partial care facility, unless a medical practitioner gives a written authorisation that it is safe for such a child to return to, and participate in, the ECD program or partial care facility.
- The directions prescribe measures to be implemented in relation to screening, sanitizing, handwashing, disinfecting, the wearing of masks, and social distancing.
- Records must be kept in respect of each child and the records must contain the specified information.
FINANCIAL SECTOR
_____________________________________________________________________________________
Companies and Intellectual Property Commission (CIPC) | Notice 34 of 2020 | Companies, Close Corporations Regulatory Compliance During Government Lockdown
CIPC has acknowledged the impact of COVID-19 on compliance by Companies and Close Corporations with the Companies Act, 2008 specifically:
- Preparation of Annual Financial Statements (AFS) within 6 months
- Filing of latest available set of Annual Financial Statements using iXBRL
- Filing of a Compliance Checklist as published with the relevant guidance notes
- Filing of Financial Accountability Supplements (FAS)
The extension of the filing period was communicated in Notice 21 of 2020 published on 15 April 2020 which provided an extension until two weeks after the national lockdown ceases or communicated otherwise by CIPC. CIPC has granted a further extension and confirmed that it will not issue Compliance Notices, if the non-compliance can be attributed to the constraints and limitations posed by COVID-19. However, all entities have been reminded to file their "latest" sets of available Annual Financial Statements or FAS's.
COUNCIL FOR MEDICAL SCHEMES (CMS)
_____________________________________________________________________________________
Council for Medical Schemes | Revised Prescribed Minimum Benefit (PMB) Definition Guideline COVID-19 Version 5
The revised PMB Definition Guideline for COVID-19 provides a Diagnosis and Treatment Pair (DTP) code for COVID-19, sets out PMB recommendations on serological testing and extends the list of treatment that is not recommended as a PMB level of care including for Interferon beta, Intravenous immunoglobulin, Tocilizumab, Azithromycin, Hydroxychloroquine/chloroquine and Favipiravir.
CMS Circular 50 of 2020: Industry Update on Developments Relating to COVID-19 Exemptions and Guidelines
Due to the impact of COVID-19, the CMS provided a number of measures designed to provide financial relief to members. Some of these measures include the declaration of COVID-19 as a Prescribed Minimum Benefit (PMB) and offering financial relief to members whose income was affected by the impact of COVID-19. Based on the small number of medical schemes that have applied for the exemptions granted by the CMS, a concern has been raised that a significant number of schemes have not applied for the exemptions and have therefore deprived members of the relief option. The CMS will continue to monitor this inaction in the interest of protecting medical scheme members.
CMS Circular 52 of 2020 | Guidance on Benefit Changes and Contribution Increases for 2021
In light of key economic indicators such as Gross Domestic Product (GDP), employment statistics, consumer price index (CPI), interest rates, exchange rate, household income and expenditure and corporate earnings, the CMS has recommended medical schemes that are in a strong financial position to freeze contribution rate increases for the 2021 benefit year. Where this is not possible, increases should be limited to 3.9%.
This Regulatory Update provides a view of the current state of COVID-19 regulatory matters
GOVERNMENT INITIATIVES
_____________________________________________________________________________________
Amendment of Regulations in terms of the Disaster Management Act, 2002 | Alert Level 1
The Regulations define the perimeters of Alert Level 1 and provide for matters connected thereto. The declaration of a national state of disaster in respect of COVID-19 has been extended to 15 December 2020 and the President has indicated his intention to further extend the declaration to 15 January 2021. Additional restrictions have been placed on Nelson Mandela Bay which has been declared a COVID-19 Hotspot. Some of these restrictions include the imposition of a stricter curfew where persons may not leave the residence between 22:00pm and 04:00am, stricter limitations on gatherings at specific events and further restrictions on the sale of alcohol. The perimeters of Alert Level 1, discussed below, will continue to apply nationally.
Movement of Persons
No person may leave their residence between 12:01am until 04:00am daily, except where that person:
- Has been granted permission by a Cabinet member on the prescribed form to perform a service other than a service related to an activity listed in Table 4 of the Regulations
- Is attending to a security or medical emergency.
Operation of Economic Sector
All businesses may operate except for those set out in Table 4.
Relevant health protocols and social distancing measures set out in directions must be adhered to, in addition to the occupational health and safety directions by the Minister of Employment and Labor.
Firms must adhere to any sector -specific health protocols intended to limit the spread of COVID -19 in the sector concerned. Sector-specific health protocols may address matters such as work rotation, staggered working hours, shift systems, remote working arrangements, special measures affecting persons with greater vulnerabilities or similar measures, in order to achieve social distancing, protect employees or limit congestion in public transport and at the workplace.
Compliance Officers
Businesses and entities must develop and retain for inspection, a plan containing measures to ensure that the workplace meets the standards of health protocols and social distancing measures and contains the details of the COVID-19 Compliance Officer.
A compliance officer must be designated to oversee the implementation of the plan and strict adherence to the standards of hygiene and health protocols relating to COVID-19 at the workplace.
A person in control of a retail store or institution must:
- Take steps to ensure that customers keep a distance of at least 1.5 metres from each other and that all Directions in respect of health protocols and social distancing measures are strictly adhered to
- Designate a compliance officer to ensure that safety controls are strictly adhered to and
- Display the name of the compliance officer prominently in the store or institution in a visible area.
Mandatory Protocols When in a Public Place
No person will be allowed in a public place, building or on public transport, without a face mask.
Gatherings
- All persons attending a gathering must wear a face mask and adhere to all health and social distancing protocols.
- An owner or operator of any indoor or outdoor facility where gatherings are held must display the certificate of occupancy setting out the maximum number of persons the facility may hold.
- Gatherings at social events are limited to 250 persons or less for an indoor gathering and 500 persons or less for an outdoor gathering. No more than 50 percent of the capacity of the venue may be used.
- Gatherings at a workplace for work purposes are allowed.
- Gatherings at conferences and meetings are limited to 250 persons or less for an indoor gathering and 500 persons or less for an outdoor gathering. No more than 50 percent of the capacity of the venue may be used. Persons participating through electronic platforms are not included in these limitations.
- Gatherings at gyms, fitness centres and swimming pools are allowed, subject to a limitation of not more than 50 percent of the capacity of the venue.
- Gatherings at restaurants are allowed subject to strict adherence to directions on the times of operation, the number of persons, health protocols and social distancing measures.
- Sporting activities, including both professional and nonprofessional matches, by recognised sporting bodies, are allowed, subject to certain conditions including that no spectators are allowed in the venue of the sports match.
Controlled Visits by Members of the Public
All visits by members of the public to certain places such as health establishments and facilities, except to receive treatment or medication, subject to strict adherence to health protocols, are prohibited.
Partial Re-opening of Borders
All international travel is permitted, subject to the traveler providing a valid certificate of a negative test which is not older than 72 hours from the date of travel, failing which the traveler will be required to quarantine at their own costs.
The Minister of Transport will publish Directions containing:
- The criteria for controlling entry into South Africa from countries with a high COVID -19 infection and transmission rate and
- The list of countries with a high COVID -19 infection and transmission rate.
International air travel is restricted to the following airports:
- OR Tambo International Airport
- King Shaka International Airport
- Cape Town International Airport.
Public Transport
Buses and taxis may not carry more than 70% of their licensed capacity for long distance travel (more than 200 kms), however may carry 100% of the licensed capacity in respect of trips shorter than 200 kms.
Sale and Dispensing of Liquor
The sale of liquor is permitted:
- By a licensed premises for off-site consumption, by a licensed premises for off-site consumption, during licensed trading hours
- By a licensed premises for on-site consumption, subject to strict adherence to the curfew of 12:01am until 04:00am.
Amended Consolidated Direction on Occupational Health and Safety Measures in Certain Workplaces
The new Consolidated Direction on Occupational Health and Safety Measures in Certain Workplaces, which states that if an employee has been diagnosed with COVID-19, the employer must inform the National Institute for Occupational Health in accordance with the National Department of Health Guidelines and the Compensation Commissioner. An employer who employs more than 50 employees must submit certain categories of data to the National Institute for Occupational Health, including each employee's vulnerability status for serious outcomes of a COVID -19 infection and details of the COVID -19 screening of employees who are symptomatic.
Department of Employment and Labour | Directions Compensation for Workplace-Acquired COVID-19
The diagnosis of a workplace-acquired COVID-19 infection relies on multiple criteria including an assessment of the inherent risk factors. The compensation fund will consider the inherent risk posed by various categories of occupations but will not provide cover for unconfirmed cases still under investigation.
Department of Employment and Labour |Directions in Respect of COVID-19 TERS
The Department of Employment and Labour has withdrawn the Directive which extended the COVID-19 TERS Benefit to certain categories of employees. The Directive was effective from 16 August 2020, until withdrawn by the relevant Minister. The withdrawal is effective retrospectively from 15 October 2020.
Department of Health | Criteria to Guide the Determination of Alert Levels
- The Minister Health has published Directions in respect of the determination of Alert Levels which determine the restrictions to be applied during the national state of disaster. The Directions set out the following:
- 'Alert Level 1' indicates a low COVID-19 spread with a high health system readiness;
- 'Alert Level 2' indicates a moderate COVID-19 spread with a high health system readiness;
- 'Alert Level 3' indicates a moderate COVID-19 spread with a moderate health system readiness;
- 'Alert Level 4' indicates a moderate to a high COVID -19 spread with a low to moderate health system readiness; and
- 'Alert Level 5' indicates a high COVID-19 spread with a low health system readiness.
The Ministerial Advisory Committee must advise the Minister of Health regarding which Alert Level should be declared nationally, provincially, in a metropolitan area, or a district, taking into account the following:
- The epidemiological trends of COVID-19 infections;
- The health system capacity in a specified area; and
- Any other factor that would influence the level of infection, hospitalisation and mortality.
Epidemiological trends include a consideration of the trends in the number of tests done, number of persons screened, number of positive cases, number of recoveries and the demographic profile of the positive cases. Health system capacity includes a consideration of the number of facilities available to support COVID-19; bed-occupancy levels for the various levels of care; human resource capacity; equipment and related resources.
Department of Health | Measures to Prevent and Combat the Spread of COVID-19
The Minister of Health has amended the Directions in respect of measures to address, prevent and combat the spread of COVID-19. Additional amendments include the following:
Criteria for Self-quarantine and Self-isolation for Persons Inside the Republic
The 10-day period of quarantine and isolation applies to persons:
- Entering South Africa without valid test certificate who are subjected to quarantine;
- Who upon entry, have been screened and found to be COVID-19 positive or suspected of having contracted COVID-19; and
- Who are inside South Africa and have to be quarantined (either because they are suspected of having contracted COVID-19 or of having been in contact with a person who is a carrier of COVID-19) or isolated (because they are confirmed as clinical or laboratory cases having contracted COVID-19).
Cost of Quarantine for Persons Entering the Republic
- Travelers or their employer must bear the cost of quarantine and isolation.
- Employers who wish to have their employees in quarantine or isolation facilities of the employers' choice must pay all costs incurred.
- Monitoring and testing of travelers in quarantine or isolation facilities remain the responsibility of the traveler or employer.
Symptomatic person
- A person who tests positive for COVID -19 and is symptomatic with mild disease that does not require hospitalization must be isolated for a period of at least 10 days from the date when the symptoms set in.
- A person may de-isolate 10 days after the onset of symptoms, provided that the person no longer has a fever and his or her other symptoms have improved.
- A symptomatic person with moderate-severe disease must be isolated for 10 days after recovery when the person no longer requires supplemental oxygen and is clinically stable.
- Contact tracing must be conducted for close contacts (any individual within two metres of an infected person for at least 15 minutes) of laboratory-confirmed or probable COVID-19 patients. Testing is recommended for all symptomatic close contacts of confirmed or probable COVID-19 patients. If testing cannot be conducted, a symptomatic close contact must self-isolate and be managed as a probable COVID-19 case.
Asymptomatic person
- An asymptomatic person who tests positive for COVID-19 must be isolated for 10 days from the day of the positive test.
- Asymptomatic close contacts must self-quarantine and be monitored for 10 days after their last exposure, with linkage to clinical care for those who develop symptoms.
Repeat testing
- Repeat testing is not required in order for a person to de-isolate.
Department of Transport | Measures to Prevent and Combat the Spread of COVID-19 in Public Transport
The Directions set out specific sanitization and social distancing measures that must be adhered to by operators and owners of public transport facilities. Vehicles travelling long distance may carry 70% of the maximum capacity load and vehicles travelling a shorter distance may carry 100% capacity.
- Long distance intra- provincial and inter-provincial travel by private vehicles and public transport services is permitted.
- The transportation of liquor is permitted.
- Private vehicles to carry their maximum licensed passenger capacity.
Department of Transport | Directions in terms of the Disaster Management Act, 2002
The Minter of Transport has amended the Directions in respect of the validity period of learner's licences, driving licence cards, licence discs, professional driving permits and registration of motor vehicles. The Directions set out the following:
- Learner's licences, driving licence cards, temporary driving licences and professional driving permits that expired between 26 March 2020 and 31 December 2020 are deemed to be valid for a further grace period ending on 31 August 2021.
- Motor vehicle licence discs, temporary permits and roadworthy certificates that expired between 26 March 2020 and 31 May 2020 are deemed to be valid for a further grace period ending on 31 August 2020.
- Motor trade number licences that expired between 26 March 2020 and 31 May 2020 are deemed to be valid for a further grace period ending on 30 November 2020.
Department of Transport | Measures to Address, Prevent and Combat the Spread of COVID-10 in the Air Services for Alert Level 1
International flights to and from South Africa (SA), as well as domestic flights within SA, are permitted. Passengers are required to wear face masks at all times, may only remove face masks during emergencies or when instructed by cabin crew to take them off and must observe social distancing, hand washing and sanitize regularly. A passenger must provide a negative Polymerase Chain Reaction ("PCR") test certificate or a valid COVID -19 negative test certificate, obtained not more than 72 hours before the date of travel, from an accredited laboratory and in line with the World Health Organization requirements. A traveler that fails to submit a valid PCR test certificate or a valid COVID-19 negative test status upon arrival, will be subjected to a compulsory quarantine or undergo COVID -19 testing in line with the National Health Regiments.
Department of Transport | Measures to Prevent and Combat the Spread of COVID-19 in Cross-Border Road Transport for Alert Level 1
The Directions set out specific measures that must be followed by owners of cross-border road transport passenger services and operators must follow, including regular sanitizing of the facilities, adherence to social distancing measures and the wearing of a cloth face mask.
Department of Sport, Arts and Culture | Health and Social Protocols for Gyms and Fitness Centres
Additional measures have been prescribed in the Department's Directions in terms of the Disaster Management Act, 2002 (DMA) relating to sports matches, gyms and fitness centres. Measures include the provision of sufficient hand sanitizers at multiple locations around the facility, availability of cleaning personnel to continuously disinfect all areas of the premises throughout the day using chemicals with antiviral properties, placement of posters around the facility highlighting social distancing protocols and the compulsory wearing of face masks or any appropriate item that covers the mouth and nose.
Department of Tourism | Directions on Risk Adjusted Strategy for Tourism Facilities, Services and Products
The owner or operator of a restaurant, conference, meeting, or a functions venue, must display a certificate of occupancy which sets out the maximum number of persons the facility may hold.
Department of Basic Education | Directions in terms of the Disaster Management Act, 2002
Specific arrangements must be implemented and includes determining staffing requirements to ensure compliance with the health, safety and social distancing requirements and to assist with the distribution of learning material. A parent, caregiver or a designated family member may choose not to send a learner to school for specified reasons but must submit a prescribed application to the school in this regard. Schools must be kept informed of a learner's condition where that learner has been placed in isolation or quarantine. The Directions require all schools to comply with the Guidelines developed for specific categories of learners with disabilities. Where a learner does not return to school for specific reasons, including an underlying health condition, self-isolation due to COVID-19 symptoms or a confirmed infection, the Head of Department must ensure certain conditions are complied with such as the provision or loan of assistive devices for use at home. A school that has a large enough facility, such as a school hall, may accommodate more than 50 people at a time in that facility, provided that all health, safety and social distancing requirements are complied with.
Department of Social Development | Directions in terms of the Disaster Management Act, 2002
The Minister of Social Development has published Directions with measures to prevent and combat the spread of COVID-19 in Early Childhood Development Programs (ECD Programs) and Partial Care Facilities. The Directions prescribe the following:
- The Principal or manager of an ECD program or partial care facility must confirm compliance with the minimum health, safety and social distancing measures on COVID-19 by signing the prescribed declaration set out in Annexure.
- A child must be accompanied by a parent or legal guardian, or their designated person, every day when the child arrives at an ECD program or a partial care facility and must be screened.
- A child with a known underlying health condition may not return to an ECD program or partial care facility, unless a medical practitioner gives a written authorisation that it is safe for such a child to return to, and participate in, the ECD program or partial care facility.
- The directions prescribe measures to be implemented in relation to screening, sanitizing, handwashing, disinfecting, the wearing of masks, and social distancing.
- Records must be kept in respect of each child and the records must contain the specified information.
FINANCIAL SECTOR
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Companies and Intellectual Property Commission (CIPC) | Notice 49 of 2020 | Re-commencement of Companies and Close Corporations Regulatory Compliance Obligations
CIPC has published a notice acknowledging the impact that COVID-19 has had on companies and close corporations. Considering the move to Alert level 1, CIPC has stated that from 1 December 2020 all companies and close corporations will be required to comply with the provisions of the Companies Act, 2008 and within the prescribed legal timeframes from such date. Therefor no further extension of legal timeframes as provided for in previously communicated Notices will be provided.
From 1 December 2020, CIPC will enforce penalties for late filings of Annual Returns. Companies and close corporations that have not yet filed are encouraged to file timeously to avoid incurring penalties for late filing.
COUNCIL FOR MEDICAL SCHEMES (CMS)
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Council for Medical Schemes | Revised Prescribed Minimum Benefit (PMB) Definition Guideline COVID-19 Version 6
The revised PMB Definition Guideline for COVID-19 provides a Diagnosis and Treatment Pair (DTP) code for COVID-19, sets out PMB recommendations on serological testing and extends the list of treatment that is not recommended as a PMB level of care including routine use of oseltamivir for all patients with influenza, Testing of asymptomatic people intending to travel, Interferon beta, Intravenous immunoglobulin, Tocilizumab, Azithromycin, Hydroxychloroquine/chloroquine and Favipiravir.
CMS Circular 50 of 2020: Industry Update on Developments Relating to COVID-19 Exemptions and Guidelines
Due to the impact of COVID-19, the CMS provided a number of measures designed to provide financial relief to members. Some of these measures include the declaration of COVID-19 as a Prescribed Minimum Benefit (PMB) and offering financial relief to members whose income was affected by the impact of COVID-19. Based on the small number of medical schemes that have applied for the exemptions granted by the CMS, a concern has been raised that a significant number of schemes have not applied for the exemptions and have therefore deprived members of the relief option. The CMS will continue to monitor this inaction in the interest of protecting medical scheme members.
CMS Circular 52 of 2020 | Guidance on Benefit Changes and Contribution Increases for 2021
In light of key economic indicators such as Gross Domestic Product (GDP), employment statistics, consumer price index (CPI), interest rates, exchange rate, household income and expenditure and corporate earnings, the CMS has recommended medical schemes that are in a strong financial position to freeze contribution rate increases for the 2021 benefit year. Where this is not possible, increases should be limited to 3.9%.
This Regulatory Update provides a view of the current state of COVID-19 regulatory matters
THE PRESIDENCY
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Statement | Progress in the National Effort to Contain COVID-19 Pandemic
The President confirmed that South Africa has entered a second wave of the pandemic with 8000 new cases recorded on 13 December 2020 and announced in his speech yesterday that the Sarah Baartman and Garden Route Districts have been declared COVID-19 hotspots. The same restrictions applied to Nelson Mandela Bay will apply to these districts and will continue until a clear and sustained decline in infections is seen.
The President highlighted the following:
- The daily average of COVID-19 deaths has increased by nearly 50% over the past week from just over 100 deaths a day to just over 150 deaths.
- Gatherings, in particular social gatherings and parties are the largest source of outbreaks with increased travel another contributing factor.
Following recommendations, Cabinet has decided to impose further restrictions:
- Stricter enforcement of existing Alert Level 1 restrictions throughout the country during the festive season and beyond.
- Non-essential establishments, including restaurants and bars, to close at 10pm.
- The sale of alcohol from retail outlets will only be permitted between 10am and 6pm from Monday to Thursday.
- Measures to reduce the risk of super-spreading events.
- In areas with the highest rate of infection, beaches and public parks will be closed for the duration of the festive season from the 16th of December to the 3rd of January.
- This applies to the Eastern Cape and the Garden Route district in the Western Cape.
- Beaches and public parks in KwaZulu-Natal to close on 16th, 25th, 26th and 31st of December 2020 and the 1st, 2nd and 3rd of January 2021.
- Beaches and public parks of the Northern Cape and the Western Cape (with the exception of the Garden Route) to remain open to the public over the festive season.
- Festivals, live music, and live performances at beaches are prohibited and beaches and parks to be open between 9am and 6pm.
The President confirmed that these restrictions will be reviewed early January based on the state of the pandemic across the country.
GOVERNMENT INITIATIVES
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Department of Co-Operative Governance
Disaster Management Act, 2002 (DMA) | Determination of Alert Levels and Hotspots
The Minister has determined that:
- Government Notice No. 1291 of 3 December 2020 is hereby withdrawn.
- Alert Level 1 will continue to apply nationally.
- Alert Level 1 with additional measures provided for in the Regulations issued in terms of Section 27(2) of the DMA will apply in the following hotspots: Sarah Baartman; Garden Route; and Nelson Mandela Bay.
DMA | Amendment of Regulations Issued in terms of Section 27(2)
All district municipalities must, after consultation with its local municipalities in its area, alert communities within that district of the increasing number of infections that could lead to that district being declared a hotspot; publish the areas with high infection rates within the district; and update the information once available.
The amendments also provide for the following:
- Festive season is defined as the period between 16 December 2020 and 3 January 2021, inclusive of both dates.
- The curfew to be extended starting at 11pm and ending at 4am, except in areas declared a hotspot, unless a person has been granted permission through directions by the relevant Cabinet member or a permit to perform a service other than a service related to an activity listed under Table 4; or is attending to a security or medical emergency.
- Closing time for the following establishments (whether indoors or outdoors) is 10pm, except in areas declared a hotspot: gyms; fitness centres; restaurants; bars; faith-based institutions; venues where social events are hosted; cinemas; theatres; casinos; venues hosting sport, arts and culture activities; and any other place where a gathering may take place.
- Wearing of a face mask that covers the nose and mouth
- Is mandatory for every person in a public place.
- The requirements regarding wearing of a mask shall not apply to a person who undertakes vigorous exercise in a public place, provided that the person maintains a distance of at least 1.5 metres from any other person, and subject to directions on what is considered to be vigorous, issued by the Cabinet member responsible for health.
- An employer may not allow any employee to perform any duties or enter the employment premises if the employee is not wearing a cloth face mask, homemade item, or another appropriate item that covers the nose and mouth while performing his or her duties.
- Every business premises must:
- determine their floor space in square metres and based on this must determine the number of customers and employees that may be inside at any time;
- ensure that persons queuing inside or outside the premises are able to maintain a distance of 1.5 metres from each other;
- provide hand sanitizers for use by the public and employees at the entrance to the premises; and
- assign, in writing, an employee or any other suitable person, as the compliance employee, who must ensure compliance with the above-mentioned measures and that all directions in respect of hygienic conditions and limitation of exposure to persons with COVID -19 are adhered to.
- All employers must adopt measures to promote physical distancing of employees, including:
- enabling employees to work from home or minimizing the need for employees to be physically present at the workplace;
- the provision for adequate space and restrictions on face to face meetings;
- special measures for employees with known or disclosed health issues or comorbidities, or with any condition which may place such employees at a higher risk of complications or death if they are infected with COVID-19; and
- special measures for employees above the age of 60 who are at a higher risk of complications or death if they are infected with COVID -19.
- Attendance of funerals
- Is limited to 100 persons with 1.5 metre distance apart or if the venue is too small to hold as such, then not more than 50% of capacity.
- All post-funeral gatherings, including night vigils and 'after-tears' parties, are prohibited.
- Gatherings (gyms; fitness centres; restaurants; sports grounds and fields; bars; social events; faith-based institutions, concerts, cinemas, casinos, conferences and meetings, excluding electronic platforms)
- May not be attended by more than 100 people for indoor events and 250 for outdoor events.
- If venue too small to hold 100 people at a distance of at least 1.5 metres apart, then not more than 50% capacity of the venue may be used.
- All social distancing and health protocols to apply.
- An owner or operator of any indoor or outdoor facility where gatherings are held must display the certificate of occupancy which sets out the maximum number of persons the facility may hold.
- Gatherings at a workplace for work purposes is allowed.
- Sport, arts and culture activities, including both professional and non -professional matches by recognised sporting bodies are allowed, subject to strict adherence to the prescribed times of operation and certain conditions.
- Gatherings at beaches are allowed subject to the following exceptions and conditions:
- Beaches in the Eastern Cape province and Garden Route district will be closed to the public from 16 December 2020 until 3 January 2021.
- Beaches in the KwaZulu -Natal province will be closed to the public on 16, 25, 26 and 31 December 2020 and 1, 2 and 3 January 2021.
- Beaches in the Northern Cape and the Western Cape provinces (excluding the Garden Route District beaches) will be open to the public.
- All beaches that are open to the public shall be open between 9am and 6pm and be monitored for compliance with all health protocols, wearing of facemasks and social distancing measures.
- Parks
- Access to national and provincial parks, and other parks where access control measures and entry limitations are already in place, will remain open to the public.
- Gatherings at public parks are allowed, subject to exemptions and conditions.
- Operation of Economic Sector
- Firms must adhere to any sector- specific health protocols intended to limit the spread of COVID -19 in the sector concerned.
- Sector specific health protocols may address matters such as work rotation, staggered working hours, shift systems, remote working arrangements, special measures affecting persons with greater vulnerabilities, etc., in order to achieve social distancing, protect employees or limit congestion in public transport and at the workplace.
- Sector specific measures yet to be developed must be done by Cabinet members responsible for that sector in conjunction with the Cabinet member responsible for health.
- Regulations Dealing with Hotspots
- Every person is confined to his/ her residency between 10pm and 4am, , unless a person has been granted permission through directions by the relevant Cabinet member or a permit to perform a service other than a service related to an activity listed under Table 4; or is attending to a security or medical emergency.
- The following establishments (indoor or outdoor) must be closed at 9pm daily: faith -based institutions; venues where social events, concerts or live performances are hosted; cinemas; gyms, fitness centres and swimming pools; and restaurants, amongst others.
- An owner or operator of any indoor or outdoor facility where gatherings are held must display the certificate of occupancy which sets out the maximum number of persons the facility may hold.
TABLE 4 | ALERT LEVEL 1
All persons who are able to work from home must do so. Persons will be permitted to perform any type of work outside the home, and to travel to and from work and for work purposes under Alert Level 1, subject to the following conditions:
- Strict adherence to health protocols and social distancing measures.
- Return to work must be phased -in in order to put in place measures to make the workplace COVID -19 ready.
- Return to work must be done in a manner that avoids and reduces risks of infection.
- The work is not listed under the specific exclusions in this Table.
SPECIFIC EXCLUSIONS include, but not limited to, the following:
- Attendance of any sporting event by spectators.
- Public parks where the entrance to that park is not strictly controlled.
- International sport, arts and culture events involving countries with a high COVID -19 infection and transmission rate are prohibited.
- Exclusions relating to public transport services as set out in the directions issued by the Cabinet member responsible for transport.
- Exclusions relating to education services as set out in the directions issued by the Cabinet members responsible for education.
This Regulatory Update provides a view of the current state of COVID-19 regulatory matters
GOVERNMENT INITIATIVES
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Amendment of Regulations in terms of the Disaster Management Act, 2002 | Alert Level 1
The Regulations which are discussed below, define the perimeters of Adjusted Alert Level 3 and provide for matters connected thereto.
Movement of Persons
No person may leave their residence between 23:00 and 04:00 unless they are:
- In possession of a permit in the prescribed form;
- Attending to a security or medical emergency; or
- Traveling to or from an airport which requires travel during the restricted hours. In this case, a valid boarding pass or copy of the airline ticket must be produced.
Selected establishments such as gyms and fitness centres, restaurants, and venues hosting professional sport must close by 22:00pm
Operation of Economic Sector
All businesses may operate except for those set out in Table 2.
All persons that are able to work from home must continue to do so. Persons are permitted to work (provided that work is not listed in Table 2 of the Regulations) outside their home, and to travel to and from work subject to:
- Strict compliance with health protocols and social distancing measures;
- The return to work being phased-in in order to put in place measures to make the workplace COVID-19 ready; and
- The return to work being done in a manner that avoids and reduces risks of infection.
Relevant health protocols and social distancing measures set out in directions must be adhered to, in addition to the occupational health and safety directions by the Minister of Employment and Labor.
Firms must adhere to any sector -specific health protocols intended to limit the spread of COVID -19 in the sector concerned. Sector-specific health protocols may address matters such as work rotation, staggered working hours, shift systems, remote working arrangements, special measures affecting persons with greater vulnerabilities or similar measures, in order to achieve social distancing, protect employees or limit congestion in public transport and at the workplace.
Compliance Officers
Businesses and entities must develop and retain for inspection, a plan containing measures to ensure that the workplace meets the standards of health protocols and social distancing measures and contains the details of the COVID-19 Compliance Officer.
A compliance officer must be designated to oversee the implementation of the plan and strict adherence to the standards of hygiene and health protocols relating to COVID-19 at the workplace.
A person in control of a retail store or institution must:
- Take steps to ensure that customers keep a distance of at least 1.5 metres from each other and that all Directions in respect of health protocols and social distancing measures are strictly adhered to
- Designate a compliance officer to ensure that safety controls are strictly adhered to and
- Display the name of the compliance officer prominently in the store or institution in a visible area.
Mandatory Protocols When in a Public Place
No person (excluding a child under the age of 6) will be allowed in a public place without a face mask. Failure to comply with a verbal instruction by a law enforcement officer to wear a mask, may constitute an offence which may result in a fine or imprisonment or both a fine and imprisonment. Every business premises must determine their area of floor space in square metres and determine the number of customers and employees that may be inside the premises, subject to a limitation of 50% of the floor space.
Gatherings
- All persons attending a gathering must wear a face mask and adhere to all health and social distancing protocols.
- An owner or operator of any indoor or outdoor facility where gatherings are held must display the certificate of occupancy setting out the maximum number of persons the facility may hold.
- All social gatherings are prohibited.
- Gatherings at a workplace for work purposes are allowed.
- Gatherings at conferences and meetings are limited to 250 persons or less for an indoor gathering and 500 persons or less for an outdoor gathering. No more than 50 percent of the capacity of the venue may be used. Persons participating through electronic platforms are not included in these limitations.
- Gatherings at gyms; fitness centres; conferences; dining; entertainment facilities; swimming pools and restaurants are limited to 50 persons or less for indoor venues and 100 persons or less for outdoor venues and if the venue is too small to hold the prescribed number of persons observing a distance of at least one and a half metres from each other, then not more than 50 percent of the capacity of the venue may be used.
- Sporting activities, including both professional and nonprofessional matches, by recognised sporting bodies, are allowed, subject to certain conditions including that no spectators are allowed in the venue of the sports match.
- All beaches, dams, lakes and rivers and recreational facilities at these places are open to the public subject to adherence to all health protocols and social distancing measures.
Partial Re-opening of Borders
All international travel is permitted, subject to the traveler providing a valid certificate of a negative test, recognized by the World Health Organisation which is not older than 72 hours from the date of travel, Travelers that fail to do so will be required to do an antigen test on arrival at their own cost and in the event that they test positive for COVID-19, they will be required to isolate themselves at their own cost, for a period of 10 days.
International air travel is restricted to the following airports:
- OR Tambo International Airport
- King Shaka International Airport
- Cape Town International Airport
Public Transport
Buses and taxis may not carry more than 70% of their licensed capacity for long distance travel (more than 200 kms), however may carry 100% of the licensed capacity in respect of trips shorter than 200 kms.
Sale and Dispensing of Liquor
The sale of liquor is permitted:
- For off-site consumption between 10:00 and 18:00, from Monday to Thursday.
- For on-site consumption between 10:00 and 22:00.
The Presidency | South Africa's Vaccine Strategy and Roll Out
The President addressed the nation on 1 February 2021 to provide an update on the country's progress in its response to the COVID-19 pandemic. Key highlights of the address include the following:
- The President, Deputy President, Minister of Health and Minister Khumbudzo Ntshavheni have received the country's first allocation of 1 million COVID-19 vaccines.
- The vaccines will be tested at the National Control Laboratory to confirm that their integrity was maintained during transportation.
- After testing, they will be distributed across the country to healthcare workers in the public and private sector.
- The Department of Health has developed an Electronic Vaccine Data System to streamline the vaccine registration and rollout process. This will allow the capture of all relevant data associated with the administration of the vaccine.
- The system allows a person to make an appointment as soon as they qualify for a vaccination. The system will record vaccinations as they are administered.
- The President highlighted the procurement of the following vaccines:
- It is expected that an additional 500,000 doses will be received from the Serum Institute of India to arrive later in February;
- 12 million doses have been secured from the global COVAX facility, which has indicated that it will release approximately 2 million doses by March;
- 9 million doses have been secured from Johnson & Johnson, commencing with delivery in the second quarter;
- Johnson & Johnson has contracted Aspen, to manufacture these vaccines in South Africa;
- Pfizer has committed 20 million vaccine doses commencing with deliveries in the second quarter;
- Through the African Vaccine Acquisition Task Team of the African Union, 1 billion vaccines have been secured for the entire continent; and
- Other vaccines that will be donated by various private sector companies.
- Nobody will be forced to take the vaccine.
South Africa has implemented a vaccine strategy in which the following priority groups have been identified and will receive vaccine doses throughout the year:
- Phase 1: 1.2 million front line health workers will be prioritised.
- Phase 2: upon the arrival of more vaccines, essential workers such as teachers, police, municipal workers and other frontline personnel will be prioritised. People in institutions such as old age homes, shelters and prisons, people over 60 years of age and adults with co-morbidities will also be prioritized. It is anticipated that this phase will reach around 16 million people.
- Phase 3: the remaining adult population of approximately 22.5 million people will be vaccinated.
Amended Consolidated Direction on Occupational Health and Safety Measures in Certain Workplaces
The new Consolidated Direction on Occupational Health and Safety Measures in Certain Workplaces, which states that if an employee has been diagnosed with COVID-19, the employer must inform the National Institute for Occupational Health in accordance with the National Department of Health Guidelines and the Compensation Commissioner. An employer who employs more than 50 employees must submit certain categories of data to the National Institute for Occupational Health, including each employee's vulnerability status for serious outcomes of a COVID -19 infection and details of the COVID -19 screening of employees who are symptomatic.
Department of Employment and Labour | Directions Compensation for Workplace-Acquired COVID-19
The diagnosis of a workplace-acquired COVID-19 infection relies on multiple criteria including an assessment of the inherent risk factors. The compensation fund will consider the inherent risk posed by various categories of occupations but will not provide cover for unconfirmed cases still under investigation.
Department of Health | Criteria to Guide the Determination of Alert Levels
- The Minister Health has published Directions in respect of the determination of Alert Levels which determine the restrictions to be applied during the national state of disaster. The Directions set out the following:
- 'Alert Level 1' indicates a low COVID-19 spread with a high health system readiness;
- 'Alert Level 2' indicates a moderate COVID-19 spread with a high health system readiness;
- 'Alert Level 3' indicates a moderate COVID-19 spread with a moderate health system readiness;
- 'Alert Level 4' indicates a moderate to a high COVID -19 spread with a low to moderate health system readiness; and
- 'Alert Level 5' indicates a high COVID-19 spread with a low health system readiness.
The Ministerial Advisory Committee must advise the Minister of Health regarding which Alert Level should be declared nationally, provincially, in a metropolitan area, or a district, considering the following:
- The epidemiological trends of COVID-19 infections;
- The health system capacity in a specified area; and
- Any other factor that would influence the level of infection, hospitalisation and mortality.
Epidemiological trends include a consideration of the trends in the number of tests done, number of persons screened, number of positive cases, number of recoveries and the demographic profile of the positive cases. Health system capacity includes a consideration of the number of facilities available to support COVID-19; bed-occupancy levels for the various levels of care; human resource capacity; equipment and related resources.
Department of Health | Measures to Prevent and Combat the Spread of COVID-19
The Minister of Health has amended the Directions in respect of measures to address, prevent and combat the spread of COVID-19. Additional amendments include the following:
Criteria for Self-quarantine and Self-isolation for Persons Inside the Republic
The 10-day period of quarantine and isolation applies to persons:
- Entering South Africa without valid test certificate who are subjected to quarantine;
- Who upon entry, have been screened and found to be COVID-19 positive or suspected of having contracted COVID-19; and
- Who are inside South Africa and have to be quarantined (either because they are suspected of having contracted COVID-19 or of having been in contact with a person who is a carrier of COVID-19) or isolated (because they are confirmed as clinical or laboratory cases having contracted COVID-19).
Cost of Quarantine for Persons Entering the Republic
- Travelers or their employer must bear the cost of quarantine and isolation.
- Employers who wish to have their employees in quarantine or isolation facilities of the employers' choice must pay all costs incurred.
- Monitoring and testing of travelers in quarantine or isolation facilities remain the responsibility of the traveler or employer.
Symptomatic person
- A person who tests positive for COVID -19 and is symptomatic with mild disease that does not require hospitalization must be isolated for a period of at least 10 days from the date when the symptoms set in.
- A person may de-isolate 10 days after the onset of symptoms, provided that the person no longer has a fever and his or her other symptoms have improved.
- A symptomatic person with moderate-severe disease must be isolated for 10 days after recovery when the person no longer requires supplemental oxygen and is clinically stable.
- Contact tracing must be conducted for close contacts (any individual within two metres of an infected person for at least 15 minutes) of laboratory-confirmed or probable COVID-19 patients. Testing is recommended for all symptomatic close contacts of confirmed or probable COVID-19 patients. If testing cannot be conducted, a symptomatic close contact must self-isolate and be managed as a probable COVID-19 case.
Asymptomatic person
- An asymptomatic person who tests positive for COVID-19 must be isolated for 10 days from the day of the positive test.
- Asymptomatic close contacts must self-quarantine and be monitored for 10 days after their last exposure, with linkage to clinical care for those who develop symptoms.
Repeat testing
- Repeat testing is not required in order for a person to de-isolate.
Department of Transport | Directions in terms of the Disaster Management Act, 2002
The Minter of Transport has amended the Directions in respect of the validity period of learner's licences, driving licence cards, licence discs, professional driving permits and registration of motor vehicles.
The Directions set out the following:
- Learner's licences, driving licence cards, temporary driving licences and professional driving permits that expired between 26 March 2020 and 31 December 2020 are deemed to be valid for a further grace period ending on 31 August 2021. Motor vehicle licence discs, temporary permits and roadworthy certificates that expired between 26 March 2020 and 31 May 2020 are deemed to be valid for a further grace period ending on 31 August 2020.
Department of Transport | Measures to Address, Prevent and Combat the Spread of COVID-10 in the Air Services for Alert Level 1
International flights to and from South Africa (SA), as well as domestic flights within SA, are permitted. Passengers are required to wear face masks at all times, may only remove face masks during emergencies or when instructed by cabin crew to take them off and must observe social distancing, hand washing and sanitize regularly. A passenger must provide a negative Polymerase Chain Reaction ("PCR") test certificate, obtained not more than 72 hours before the date of travel, from an accredited laboratory and in line with the World Health Organization requirements. A traveler that fails to submit a valid PCR test certificate upon arrival, will be required to do an antigen test at their own costs. If the traveler tests positive for COVID -19, they will be required to isolate at their own cost, for 10 days.
Department of Sport, Arts and Culture | Health and Social Protocols for Gyms and Fitness Centres
Additional measures have been prescribed in the Department's Directions in terms of the Disaster Management Act, 2002 (DMA) relating to sports matches, gyms and fitness centres. Measures include the provision of sufficient hand sanitizers at multiple locations around the facility, availability of cleaning personnel to continuously disinfect all areas of the premises throughout the day using chemicals with antiviral properties, placement of posters around the facility highlighting social distancing protocols and the compulsory wearing of face masks or any appropriate item that covers the mouth and nose. Gyms and fitness centres must develop a plan which incorporates measures set out in the Directions and the Regulations and display the municipal certified capacity of the venue at the entrance.
Department of Tourism | Directions on Risk Adjusted Strategy for Tourism Facilities, Services and Products
Restaurants, fast food outlets and coffee shops must keep records of personal information of employees; ensure employees and delivery persons are screened; and ensure that the workplace, delivery transport, containers, are regularly sanitised and follow cleaning procedures. Guests or customers must be screened and sanitized and wear a mask prior to entry. The owner or operator of a restaurant, conference, meeting, or a functions venue, must display a certificate of occupancy which sets out the maximum number of persons the facility may hold.
Department of Basic Education | Directions in terms of the Disaster Management Act, 2002
Specific arrangements must be implemented and includes determining staffing requirements to ensure compliance with the health, safety and social distancing requirements and to assist with the distribution of learning material. A parent, caregiver or a designated family member may choose not to send a learner to school for specified reasons but must submit a prescribed application to the school in this regard. Schools must be kept informed of a learner's condition where that learner has been placed in isolation or quarantine. The Directions require all schools to comply with the Guidelines developed for specific categories of learners with disabilities. Where a learner does not return to school for specific reasons, including an underlying health condition, self-isolation due to COVID-19 symptoms or a confirmed infection, the Head of Department must ensure certain conditions are complied with such as the provision or loan of assistive devices for use at home. A school that has a large enough facility, such as a school hall, may accommodate more than 50 people at a time in that facility, provided that all health, safety and social distancing requirements are complied with.
Department of Social Development | Directions in terms of the Disaster Management Act, 2002
The Minister of Social Development has published Directions with measures to prevent and combat the spread of COVID-19 in Early Childhood Development Programs (ECD Programs) and Partial Care Facilities. The Directions prescribe the following:
- The Principal or manager of an ECD program or partial care facility must confirm compliance with the minimum health, safety and social distancing measures on COVID-19 by signing the prescribed declaration set out in Annexure.
- A child must be accompanied by a parent or legal guardian, or their designated person, every day when the child arrives at an ECD program or a partial care facility and must be screened.
- A child with a known underlying health condition may not return to an ECD program or partial care facility, unless a medical practitioner gives a written authorisation that it is safe for such a child to return to, and participate in, the ECD program or partial care facility.
- The directions prescribe measures to be implemented in relation to screening, sanitizing, handwashing, disinfecting, the wearing of masks, and social distancing.
- Records must be kept in respect of each child and the records must contain the specified information.
COUNCIL FOR MEDICAL SCHEMES (CMS)
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Council for Medical Schemes | Revised Prescribed Minimum Benefit (PMB) Definition Guideline COVID-19 Version 7
The revised PMB Definition Guideline for COVID-19, updates the case definition of a suspected, probable and confirmed case of COVID-19. The Guideline sets out when funding of antigen tests will be covered as a PMB level of care and includes where the pre-test probability of COVID-19 disease (the likelihood that the patient has COVID-19 before their results are known, based on epidemiologic and clinical factors) is relatively high. All South African Health Products Regulatory Authority approved vaccinations must be funded for beneficiaries identified and prioritised by the Department of Health. The management of all side effects and complications which may result from administration of the COVID-19 vaccine must be reimbursed when claimed with the relevant coding.