Lezé Felton
Welcome to Paymaster's July Newsletter!
Designed by Lezé
31 July 2022
The many Hats worn by Payroll Professionals
Hat 3: The Gatekeeper of Compliance
In a previous article, the importance of record keeping, and the access of these records, was unpacked. It is vital that the company employees know WHAT is stored, and WHERE. In this article, we will look at the importance of Compliance, and fundamental impact this has on a business. Of course, understanding the company’s standards around compliance, is important. They must also know what is expected of them regarding maintaining this compliance, and how they will be held accountable for their role in doing so.
The two parts of Company Compliance
Compliance is defined as “obedience to a request or command”.
To ensure maximum acceptance of the need for , and importance of, compliance, it is essential that everyone in the company knows what to comply with.
This is 2-fold:
- Compliance with Company Laws and Policies
- Compliance with Company Procedures.
To avoid being REACTIVE around issues of Compliance, it is important to educate all employees on this subject, and what is expected of them.
Be Proactive – and Stay Ahead.
By keeping your employees INFORMED and UP-TO-DATE, you increase the success of company compliance. Don’t rely on other people and departments, but take the lead, and consider this motto “ the education of your line managers and staff promotes high standards of compliance, leading to the reduction of deviation requests.”
7 Ways to educate/inform line managers and staff.
1. Training sessions.
Keep these sessions short and
informative. Perhaps on a monthly basis, with ad hoc sessions to discuss changes and new developements. This should keep line managers and staff updated. If they understand the consequences of non-compliance, it will motivate them to complete all documentation accurately and timeously.
2. Booklets, Flyers and Notices.
The Payroll professional should play a big role in the writing and regular revision of the company’s Policy and Procedure documents. These should be the foundation for any education around compliance. One way to create awareness, is to deal with critical aspects of compliance. Infographics, that visually communicate the details around key areas of compliance in that specific workplace, is a useful tool. And example forms and screenshots are an innovative way of getting the employees attention around essential areas of compliance.
3. One on-one Sessions
Chatting informally over coffee might help you understand why some staff are unwilling, or unable, to comply. In this way, you can explain the essential reasons for workplace compliance, and the consequences, for them and the company, of non-compliance. This is an opportunity to warn serial transgressors, that their continuous non-compliance could lead to disciplinary action.
4. Host a Payroll Webpage
This is an easy option. In a few minutes a webpage can be created, and hosted on a company intranet or secure server.
A Payroll webpage allows employees to access information as they need it. This webpage content could include How-to videos, easy-to-read PDFs and Policy and Procedures updates.
5. Social Media
Nowadays, everyone has a cellphone, with access to Facebook, Twitter, Whatsapp and many other fun Social Media options. These Social Media apps are fantastic communication tools. For example, specific topics can be shared on Whatsapp groups created for this purpose. A Twitter account can aid employees with direct answers to questions. And Facebook is useful for hosting discussions, and passing on information. Educating your staff will be fun and accessable, if you make use of these options. Of course, the result of all this should be improved compliance levels in the company.
6. Monthly Newsletter
Consider publishing a monthly newsletter (or adding a section to an existing company newsletter) that discusses compliance-related topics. This will help spread the concept and details of compliance, across the company.
7. Remuneration Contracts
To foster increased 
compliance, it helps to manage expectations. For instance, it helps to print pro-forma payslips, to be signed by the employee, if a new set of conditions of employment is agreed on. And be sure to add an updated contract to this.
In summary
Do all you can, as a Payroll professional, to educate and inform employees around the fundamental importance of compliance with the company’s Policy and Procedures. High levels of compliance in an organisation, result in a positive impact on everyone.
Coming next... Hat 4: Communicators of Change - 5 effective strategies
- Provided by Ian Hurst -
COVID-19: CCMA finds mandatory vaccination policies to be unconstitutional and unreasonable
Dear employer
In the recent matter of Kgomotso Tshatshu vs Baroque Medical (Pty) Ltd, the Senior CCMA Commissioner found that the dismissal of the applicant due to her refusal to get vaccinated was unfair and awarded 12 months’ compensation to the applicant.
Although this dismissal occurred while the previous Consolidated Directions for Management of Covid-19 in the Workplace were still applicable, the exact same principles will apply under the new code.
The Commissioner in essence found as follows:
- Everyone, not only employees of a particular company, is equal before the law;
- No legislation has been passed that requires all employees or citizens to be vaccinated as this would amount to unfair discrimination and be unreasonable;
- The employer must prove that the discrimination is fair; there is no onus on the employee to prove anything; he or she can simply invoke his or her constitutional rights;
- Although a law of general application can limit the rights of citizens, laws are passed through a constitutionally entrenched process which clothes them with legitimacy. Employers do not have such inherent legitimacy and workplace policies are subject to the standards of reasonableness and fairness in addition to the requirements of section 36 of the Constitution;
- The directive, which was applicable at the time, does not provide for a blanket mandatory vaccine policy (neither does the current Code);
- Employees do not live in a cocoon, they can acquire Covid-19 anywhere;
- There is no rational connection between the vaccination rule and its intended purpose;
- The rule requiring vaccinations was unreasonable; and
- Vaccine policies are not only unreasonable but have no place in our labour market.
NEASA has always held the view that the various directives and codes dealing with Covid-19 in the workplace were unconstitutional and, apart from infringing on the constitutional rights of employees, held serious liability risks for employers electing to implement a mandatory vaccination policy. It is our view that this award is correct in its reasoning and, although not binding, may well be followed by other Commissioners.
It should also be noted that since the withdrawal of all health regulations by the Minister of Health, and therefore according to Government’s own version, there is no longer a general health risk posed by Covid-19. Consequently, it would be near impossible for any employer to be able to justify that a specific Covid-19 health risk exists in its workplace in the absence of a general health risk in the community where Covid-19 is circulating freely.
Our advice to employers remains the same as it has always been: steer clear of mandatory vaccination policies as they are not lawful or reasonable and will expose employers to unnecessary liability.
For more information:
NEASA Media Department
media@neasa.co.za
Helpdesk Tips
How to Zero a payslip
Payslips are automatically generated on the paymaster system. Should it be a time when the company is closed or staff is not working, you then will find the need to zero a payslip as there was no work and no pay for that period. Download for directions on how to zero a payslip below.
- Provided by Amber Stynes -
How to add Reimbursed Travel Allowances
A travel allowance is any allowance paid or advance given to an employee in respect of
traveling expenses for business purposes. The employees’ tax deducted in respect of the travel allowance must be reflected as Pay-As-You-Earn (PAYE).
The total travel allowance (100%) must be reflected on the IRP5 certificate under code 3701. Click below for directions on how to add a reimbursed travel allowance.
Please call our Helpdesk for your queries - 021 712 7333 help@paymaster.co.za or WhatsApp us - 081 711 1276
How to add a Tax directive to the payslip
The purpose of a tax directive is to enable SARS to instruct an Employer, Fund Administrator or Insurer how to deduct employees’ tax from certain lump sums to a tax payer. The amount of tax is determined by SARS. Once the Directive is approved by SARS you will be able to download it from the e-filing site and enter it into the Paymaster system. Download below for directions on how to add a tax directive on a payslip.
Staff Bio
Meet Lee-Ane Fynn
The charming and friendly Lee -Anne Fynn is a senior administrator who reports to Nafeesa. Her career at Paymaster started on 4 November 2015, and her main responsibilties are to assist clients and run the Africa payroll.
Lee-Anne matriculated from Zwaanswyk high school Dreyersdal, Cape Town. Certain she wanted to further her interest in Accounting, she achieved a National diploma in Technical Financial Accounting at College of Cape Town. While the stereotype of an Accountant sees them as stuck-up and boring, she is the complete opposite, and passionate about her job.
As a student, she did a few jobs, including some in the administrative field, working her way up to accounting. During her 4 year marriage, she had 3 boys. She says her boys are the best thing to have happened in her life, keeping her happy and grounded. Her “baby” son (as she describes him) of 9, but with a mouth of a 14 year old, keeps her on her toes.
While a single mom at home, she experienced the stress of several failed job-hunting attempts. Then she took the brave step, in 2015, of applying for a vacant position in Paymaster. Despite her nervousness, she landed the job. Paymaster was a great support during the turbulent process of her divorce. She admits that she was not the person she is today. With Paymaster’s help, she transform into the strong and confident woman she is today.
She manages Team Africa and is responsible for several Africa payrolls. She says she adores Bronwyn, her Team Africa member, and wouldn’t swop her for anyone else, as they work so well together.
New Product Features
Pacey
Our employee self-service bot will assist you with your payroll and HR requests.
Announcing our new Pacey dashboard
Navigate to Reports > Pacey Dashboard, to see statistics on the usage of Pacey (WhatsApp ESS) in your company.
Click below to learn how your employees can interact with ESS via WhatAspp, trust us, they will love it!
Greatly empower employees & increase employee satisfaction and well-being
Pacey uses interactive messages which gives users a simpler and more consistent way to select the options available to them. Interactive messages achieve significantly higher response rates compared to text-based lists.
Terminated for statutory reporting
The following enhancements have been made to the Employee Transfer screen:
1) A new field “terminated for statutory reporting” has been added.
2) Please take note of the Additional Information button next to this field explaining when it should be ticked or not.
3) A warning message has been added to make users aware of the ETI Period Count default for transferred employees:
“The ETI Period Count for all transferred employees will default to “1” on the new payslip and should be edited if necessary.”
Customers should have an option to “terminate employees for UIF/Equity purposes or not” when transferring employees. If the employee is not “terminated for UIF/Equity purposes” the UIF declaration file and Equity report should consolidate both records as one “Active” record and not as “Terminated”. No UI-19 should generate for such an employee.
- If transferring from one Company UIF registration number to another, this field should be ticked. The original employee record will then be included as a “Termination” in the UIF declaration file and UI-19 report.
- For Employment Equity purposes, if transferring from one EEA reference number to another, this field should be ticked. The original employee record will then be included in the EEA2 section 4.Terminations and the new record will be included in the EEA2 section 1.Workforce Profile, EEA2 section 2.Recruitment and the EEA4.
- If transferring between frequencies with the same Company UIF registration number, this field should not be ticked. The employee will be “Active” with an unbroken UIF record. Where the employee has been transferred mid-month resulting in two payslips in one month, please ensure the aggregated UIF contributions adhere to the monthly UIF limit. The employee records will also be consolidated for Employment Equity reporting purposes.
- In both Transfer scenarios, two tax records will still exist. No changes have been made to that logic.
- The “terminated for statutory reporting” field has no effect on the employee’s ETI period count. The ETI Period Count note component should be adjusted if necessary after transferring an employee.
Where employees are transferred to another frequency/branch/company that has the same company UIF registration number, the employee should not reflect as terminated on the UIF declaration file and a UI-19 should not generate in relation to the transfer.
If, in this scenario, the employee has been transferred mid-month, both the records should be consolidated for purposes of the UIF declaration file and the UIF calculation/limit applied on the new record should take into account the MTD values applied in the previous record for that month.
Only where the employee is transferred to a frequency/branch/company with a different company UIF registration number, should the employee reflect as terminated in the UIF declaration file and generate a UI-19 in relation to the termination.
Parternships
Our partnership with Floatpays is another way that Paymaster endeavors to deliver greater value to our clients.
Paymaster don’t just provide payslips, we also unlock the power of financial wellness at work through…
Staff are consistently looking for ways to reduce the impact of an unforeseen event causing a financial burden that needs immediate funds to access.
Unlock the power of financial wellness at work with Floatpays salary advancement tool. Designed to help your staff to reach month-end, when unexpected expenses strike, and they have nowhere to turn.
This short term plan is spread over 1 month, designed to aid someone caught in an unforeseen financial crisis.
With 75% of their salaries going to debt repayments, South Africans have little money left to cover monthly living expenses – and very often, none left for emergencies.
Often, staff are forced into the hands of loan sharks or other lines of ‘easy credit’, which traps them in the debt cycle through high interest rates, late fees, and the need to take out new loans to cover existing ones. Once they’re in the debt trap, it’s nearly impossible to get out.
Floatpays provides a safety net service in a time of need.
If an employee can access a portion of their earned income – money they’ve technically already worked for – to pay for necessities instead of turning to credit, they reduce the amount of money they spend on servicing debt and can use it for living expenses instead.
If you like what you hear and want to get your employees on the path towards financial wellness, get in touch.
As a Paymaster partner, Floatpays is already integrated into the Paymaster payroll system, so set-up is quick and easy! Get in touch with Angela Wilson at angela@floatpays.co.za, +27 63 643 0734, or book a DEMO with her.
Paymaster Competition
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