COIDA AMENDMENT ACT: KEY CHANGES TO WORKPLACE INJURY COMPENSATION

The business environment in South Africa is continuously evolving with the introduction of new legislation and amendments to existing laws.

South Africa’s workplace injury and occupational disease compensation framework has taken a significant step forward with the implementation of key legislative changes.

President Cyril Ramaphosa published Proclamation Notice 306 of 2026 in Government Gazette No. 53990 on 23 January 2026, giving effect to the remaining key provisions of the Compensation for Occupational Injuries and Diseases Amendment Act, 2022 (the COIDA Amendment Act).

The principal legislation, the Compensation for Occupational Injuries and Diseases Act 130 of 1993 (COIDA), provides no-fault compensation for workplace injuries, occupational diseases, or death arising from employment.

Medical expenses, temporary or permanent disability benefits, and support for dependants are paid from the Compensation Fund to which employers—including households employing domestic workers—contribute through statutory assessments.

Business owners can understandably feel uncertain navigating this changing compliance landscape. In this article, we outline the key highlights of the COIDA Amendment Act, the phased rollout, and its implications for employers.

What are the key changes in the COIDA Amendment Act?

The COIDA Amendment Act, introduced several important improvements:

• Full protection for domestic workers for the first time.
• Recognition of additional occupational diseases.
• Introduction of rehabilitation programmes to support employees returning to work.

Guided by lessons from the Covid-19 pandemic, these amendments aim to improve workplace health and safety for vulnerable employees.

Certain provisions were delayed to allow for proper implementation, particularly those transferring greater authority to the Commissioner of the Compensation Fund. These measures are now being rolled out in phased stages.

COIDA amendments: Phased implementation and compliance stages

Most provisions already came into effect on 23 January 2026, with a few specific exclusions.

From 1 February 2026: Sections 3, 4, 5 and 6 address the governance of the Compensation Fund:

• Establishment of a new board comprising 16 voting members, including the Commissioner, five representatives nominated by organised business via NEDLAC, five by organised labour via NEDLAC, and five representing the state appointed by the Minister.
• Rules governing the board charter, four-year terms for members, procedures for filling vacancies, disqualifications, resignations and removals.

These measures aim to create a more balanced, transparent and effective framework for overseeing and managing the Compensation Fund.

From 1 April 2026: Sections 19(a) and (b), 20(c), 28(c), 36(1), 50(3), 52 and 54(1) and (2) strengthen compliance and enforcement:

• Expanded powers for the Commissioner to enforce employer obligations.
• Introduction of administrative penalties for employers who fail to register, report workplace incidents, pay assessments, or respond appropriately. Penalties may be substantial—up to the full amount of compensation owed or 10% of the employer’s actual or estimated annual earnings.
• A shift towards more timeous administrative fines, reducing reliance on criminal prosecution.

Note: Subsections 1(g) and 1(h), which address certain aspects of the definitions of “employee” and “earnings”, including exclusions for some SAPS and SADF members, are still not in effect.

COIDA amendments: Employer obligations and COIDA compliance impact

Why does it matter whether you are a CEO, a manager, a household employer with domestic staff, or any member of the workforce?

COIDA provides no-fault protection, ensuring that employees are compensated without the need to prove liability.

The COIDA Amendment Act strengthens the system, expanding coverage, enhancing support for recovery and rehabilitation, and introducing tighter compliance measures to ensure that the Compensation Fund operates effectively.

For employers, whether managing a large business or employing domestic staff at home, this is a timely reminder to––

• ensure that your registration with the Compensation Fund is current.
• pay monthly assessments on time.
• report workplace incidents promptly.
• maintain accurate records in line with COIDA requirements.

Conclusion

As from April 2026, non-compliance could result in significant administrative penalties, making adherence more critical than ever.

These phased changes demonstrate a clear legislative push to modernise worker protections, improve accountability, and build safer, fairer workplaces. Compliance is not just a legal obligation—it is a way to protect employees and safeguard your business.

Employers are encouraged to review guidance from the Department of Employment and Labour or consult a COID practitioner for the latest updates. Taking proactive steps now can prevent complications when the April 2026 provisions come into effect.

SERR Synergy assists businesses to navigate the complexities of health and safety and COIDA compliance, providing tailor-made programmes and expert guidance. By partnering with us, employers can ensure regulatory compliance, protect employees, and integrate effective health and safety practices into their operations—allowing them to focus on running their business confidently. Our COID practitioners support businesses with policies, documentation, training and audits.

Protect your employees today, because a safer, compliant workplace tomorrow starts with one proactive step.

About the Author: Leon Visser worked in the Security and Safety industry, including time in SAPS, since 1998. He holds a diploma in Security Management from the University of South Africa and various certificates in emergency preparedness. He conducted violent crime investigations for 11 years. In 2019, he joined the OHS team at SERR Synergy, shifting focus from security to health and safety. He is pursuing a bachelor’s degree in law and is a registered professional Health and Safety Practitioner with SAIOSH.