The National Employers' Association of South Africa (NEASA) has warned employers about a fraudulent email scam involving fake Compensation Fund correspondence demanding payment for Letters of Good Standing.
A Letter of Good Standing for Compensation Purposes is an official certificate issued by the Compensation Commissioner. It serves as proof that an employer has met all the necessary obligations under the Compensation for Occupational Injuries and Diseases Act (COIDA), which regulates workers' compensation in South Africa.
The association issued the warning after an employer received an email purporting to be from the Compensation Fund, stating that his company had been placed on the deregistration process for failing to comply.
According to the letter, which IOL has seen, it reads: “Your company has been put on the deregistration process due to your failure to comply with the Compensation for Occupational Injuries and Diseases Act (COIDA) No.130 of 1993, which stipulates that every registered business must comply.”
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The letter goes on to threaten that businesses will be blacklisted, and that any outstanding payments will incur interest and may result in legal action against the company.
NEASA pointed out that the banking details included on the form are not those of the Compensation Fund, and the email address was also fake.
"This email is fraudulent; the banking details provided on the form are not those of the Compensation Fund, and the email address used does not belong to the Compensation Fund," the association said.
The association further urged employers to report the matter to law enforcement authorities should they receive similar emails.
"We wish to warn employers not to make any unusual payments prompted by emails such as these.
"We request employers who have received similar emails to forward these emails to [email protected]."
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