Navigating through the December payouts – (Sick Bonus)

We have touched on the Holiday Bonus as well as the annual leave payout

Now let’s talk about the Sick Bonus.

The NBCRFLI has three main benefit funds namely the Sick Pay Fund, the Leave Pay Fund and the Holiday Bonus Fund.

Every month, employers contribute towards these funds on behalf of their employees (have a look at this youtube video for a quick explanation of all the funds payable each month).

The Sick Pay Fund is used to pay the employee when he / she goes on sick leave, but once every three years, the employee receives a Sick Bonus payout.
This is a great incentive offered by the NBCRFLI for employees to not take unnecessary sick leave. It is important to understand how this works, as most of our clients’ annual queries are about the sick bonus payouts.

An employee is only entitled to a Sick Bonus every THREE years (the employee’s commencement date plays a big role here).

If the employee commenced employment on 1 January 2009, then a payout was due to him in January 2012 as well as during January 2015 and also in January 2018. The cycle date is also the commencement date.

If the employee has used up all of the sick leave available, then there will be no bonus payout

In rare cases, employees do fall very ill and they end up using all of the available funds in their Sick Fund account at the NBCRFLI. The logical effect of this is that there will be no sick bonus payout.
If the employee has used up some of the sick leave funds available, then the sick bonus will just be less than what it could have been.

It is advisable to keep a list of employees whose sick leave cycle is due for a bonus payout for ease of reference.

This helps in answering queries faster and sometimes means that you have queried a non-payment at Council before the employee raised the issue :-). This list is easily generated by using the NBCRFLI’s online system.

If you need assistance with anything related to the NBCRFLI payouts, give us a call 🙂

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