E@SYFILE TC ERRORS WITH WORK-AROUND

During the February 2025 employer filing season (EMP501 submission), a few errors with regards to the e@syFile TC has been experienced by payrolls.

Although these errors have been reported to SARS, SARS has not indicated that an updated version will be released.

Therefore, to assist employers in submitting their EMP501 reconciliation declarations before the closing of the filing season, the errors and work-around are explained below.

Error: Server cannot be reached
In order to work-around the “Server cannot be reached” error, you need to:
• Close the application and wait a couple of minutes and reopen.
• If this does not work then manually start the service using task manager.

Error: EMP501 Reconciliation does not balance – It was found that the EMP501 reconciliation does not balance. This can be as a result of not all the tax certificates
imported in e@syFile.
In order to work-around the “EMP501 Reconciliation does not balance” error, you need to:
• You should check your payroll certificate totals and compare it to the PAYE, SDL and UIF certificate totals displayed on the EMP501.
• If the certificates totals reflected on the EMP501 is not correct, then all your tax certificates were not imported into e@syFile.
• Delete the imported file and import the file again until the totals are reflected correctly. (This might need to be done more than once)

# AI Assistance and Support Request Guide

## Overview
This document provides a brief guide on how to utilize AI-based services and support features effectively. It outlines the key functionalities available for user assistance and support requests.

## Key Features

### 1. AI Chat Assistance
– **Activation**: Engage with the AI Assistant by clicking the “Chat with AI Assistant” button. This button is prominently located on the interface for easy access.
– **Functionality**: The AI Assistant is designed to respond to user queries, providing instant answers and guidance. This interactive feature allows for real-time engagement and helps in solving user problems quickly.
– **Availability**: The AI chat feature is accessible around the clock, ensuring users can get support anytime they need.

### 2. Support Requests
– **Initiating a Request**: Users can create a support request by selecting the “Create a Support Request” button. This option redirects users to a dedicated support portal.
– **Portal Access**: The support request portal is accessible via the [support section link](https://www.pagsa.org.za/member-support/?wpsc-section=ticket-list&ticket-id=249&auth-code=NvSRYDGg), where users can log detailed issues or inquiries.
– **Ticket Management**: Once a support request is filed, it is tracked through a ticketing system. Users can monitor the status of their requests and receive updates directly on the portal.

## Utilization Tips
– **Efficiency**: For quick answers, it is recommended to first utilize the AI Assistant. If the issue cannot be resolved through automated assistance, proceed to create a support request.
– **Clarity**: When creating a support request, be sure to include all relevant details. This will help in diagnosing the problem faster and providing the appropriate solution.
– **Follow-up**: Check the support portal regularly to stay updated on the status of your request. Follow any instructions provided by support staff to expedite the resolution process.

## Conclusion
This guide outlines the steps to efficiently use AI chat assistance and support request systems. By understanding and utilizing these tools effectively, users can ensure prompt and effective resolution to their inquiries and issues.

# Overview

This article provides a concise reference guide, divided into key sections for easy navigation and understanding. Each section is accessible via dedicated links, streamlining user interaction and information retrieval. The layout is organized into distinct categories, ensuring clarity and efficiency in content consumption.

## Sections

### Support

This section offers assistance and resources related to the site’s usage. It includes guidelines on how to navigate the platform, solve common issues, and contact support teams for further help.

### Member Forum

The Member Forum is a community space where users can engage in discussions, share information, and offer each other support. Membership provides access to a variety of topics, including technical support, user feedback, and feature requests.

### News

Stay updated with the latest news and announcements here. This section covers recent updates, upcoming changes, and important notifications about the site and its services.

### Formal Publications

Here you’ll find access to formal publications, offering a collection of official documents, reports, and detailed analyses relevant to the platform’s context and functional operation.

### Webinars

Webinars provide opportunities for live interaction and learning experiences through presentations and discussions. They cover a range of topics, from platform functionalities to broader industry trends.

### Profile

The Profile section is dedicated to user personal details and account settings. Users can update information, manage preferences, and ensure their profile reflects current data.

—

Each section is hewn with a focus on usability, enabling quick access to critical information while maintaining a comprehensive and organized structure. The layout intends to furnish users with all necessary tools and knowledge to maximize their engagement and productivity within the platform.

## Overview of the PAG AI Bot

The PAG AI Bot is a digital assistant designed to interact with users, providing a wide range of support and information. It operates on a sophisticated artificial intelligence platform intended to streamline communication and aid users in accessing relevant content efficiently.

### Key Features

1. **User Interface**: The interface is designed for ease of use, featuring a straightforward chat window that allows for seamless interaction. Users can input queries and receive immediate responses, ensuring a user-friendly experience.

2. **AI Capabilities**: The bot is powered by advanced AI technologies. This enables it to understand complex queries, provide accurate answers, and learn from interactions to improve its performance over time.

3. **Support and Assistance**: It offers robust support, guiding users through processes or addressing concerns efficiently. The bot serves as both an informational resource and a personal assistant, tailoring its responses to individual user needs.

### Interaction with the PAG AI Bot

– **Initiating Conversation**: Users can easily begin a dialogue with the PAG AI Bot by selecting the “Speak to the PAG AI Bot” option, which is prominently displayed with an engaging robot icon to signify the AI functionality.

– **Types of Queries**: The bot is prepared to handle a variety of inquiries ranging from simple factual questions to more complex problem-solving scenarios.

### Technical Setup

– **Integration**: The bot is integrated into a web-based platform, ensuring accessibility and availability to a broad range of users. The setup includes a visually appealing and functional layout, designed to accommodate interaction without overwhelming the user.

– **Response System**: The bot employs a sophisticated response system that draws from an extensive database, enabling it to provide timely and relevant information.

### Accessibility and Adaptability

– **Scalability**: The system is built to adapt to increasing user demands, with the capability to manage a growing number of interactions without compromising response time or accuracy.

– **Continuous Improvement**: By leveraging machine learning, the bot continually adapts and enhances its functionality. This ensures that the quality of interaction improves with each user engagement.

### Summary

The PAG AI Bot combines cutting-edge technology with user-centric design, providing a reliable and efficient tool for digital interaction. It stands as a testament to the potential of AI in augmenting user experiences and delivering streamlined support.

SARS NOTICE: VAT INCREASE REVERSAL – PRACTICAL IMPLICATION

SARS has issued a notice on the measures to apply with regards to the decision of the Minister of Finance to reverse the proposed VAT increase.

This notice discuss the steps to be taken where systems was already changed to activate the 0.5% increase on 1 May 2025.

For details, please use the following link to access the notice:
https://www.sars.gov.za/latest-news/media-release-practical-implication-on-finance-ministers-decision-to-reversevat/

TREASURY: VAT INCREASE WITHDRAWN

National Treasury has published a Media Statement today stating that the proposed VAT increase will be withdrawn.

The Minister of Finance will soon introduce the Rates and Monetary Amounts and the Amendment of Revenue Laws Bill, which will propose to maintain the VAT rate at 15%, instead of the proposed increase to VAT announced in the Budget Speech.

The decision not to increase VAT means that other expenditure decisions need to be revisited.

The notice can be access with the following link: https://www.treasury.gov.za/comm_media/press/2025/2024042401%20Media%20Statement%20on%20the%20reversal%20of%20the%20vat%20rate%20increase.pdf

COMPENSATION FUND: ROE ONLINE SYSTEM – EXTENDED TEMPORARY SHUT-DOWN

The Compensation Fund has issued a notice on 10 April 2025, indicating that the ROE Online System temporarily shutdown period will be extended until 30 April 2025.

The submission of returns may continue from 1 May 2025 until 30 June 2025. No notice was yet issued by the Fund to extend the submission period.

The notice follows below for ease of reference:

ROE ONLINE SYSTEM TEMPORARY SHUT-DOWN ALERT

The Compensation Fund refers to the nonce dated 11 and 31 Mach 2025 comunicating the shutdown of the Employer Registration and Employer Assessment modules for the perod from 19 March 2025 to 30 April 2025.

The Fund has experienced a delay in Its prepatory actions for the 2024 ROE Season and communicates that the system will reman closed unitl 30 April 2025 (mid-night 00h00) and will effectively be available for the submission of Returns on 1 May 2025 at 08h00.

The following services will be affected during the ROE Online system shut-down period:
• Employer registrations will not be processed; this Includes registrations through the CIPC BizPortal platform as well as through the CF’s back- office processess.
• Employers will not be abe to declare any Return of Earnings, online or manually.
• CF will not able to clear employers who are flagged for audit and process applicationns for revision of assessment.
• No installment applications wil be considered during this period.

The following services will NOT be affected during the ROE Online systems shut-down penod:
• The CompEasy system, for the processing of claims wil NOT be affected
• Employer Will be able to generate a letter of Good Standing during this trne.
• Employers can still make payrnents using their corect CF Registration nunber.

In line With the delay in openmg the system; the expiry date 30 April 2025 of the current Letters of Good Standing is extended to 31 May 2025.

The Fund apologises for the delay and assures employers of best efforts to finalise all preparatory actions at the earliest.

COMPENSATION FUND: EARNINGS THRESHOLD FOR 2025/2026

After many emails and telephone calls, the Compensation Fund has provided the signed Gazette Notice for the 2025/2026 year of assessment. This notice was signed on 31 March 2025 by the Minister of Employment and Labour.

The two thresholds are:
1. R597 328 for the actual period of 1 March 2024 to 28 February 2025.
2. R633 168 for the forecast period of 1 March 2025 to 28 February 2026.

The notice also includes the minimum assessment amounts for:
1. Domestic Employers: R560
2. All other Employers: R1 621

These minimum assessment amounts are effective from 1 March 2025

HOW BINDING IS A SETTLEMENT AGREEMENT?

This was the question raised in Mdawini & Another and Mearns Farming (Pty) Ltd t/a Sherwood Farm [2024] 45 ILJ 1885 (CCMA), and there are certain things to consider when entering into a settlement agreement.

This case turns on a domestic worker and her son, a general worker, who has been employed on a farm for several years, and who were suspected of being involved in the armed robbery of a neighbouring farm. The neighbouring farmer has asked the employer to submit these employees to polygraph testing along with his own employees, after they had been implicated in the robbery by informants.

The polygraphs of both these employees indicated deceit in their responses to the questions posed to them.

As we are all aware though, a polygraph is not enough to justify dismissal in the absence of other corroborating evidence, as was the case here. The employer then sough advice from an attorney, who advised him to offer the employees a mutual separation agreement. The employees both signed this agreement, and subsequently referred an unfair dismissal dispute to the CCMA.

At the outset, the Commissioner noted that mutual separation agreements are valid and enforceable and that parties who settle an existing dispute in full and final settlement should not be lightly released from agreed undertakings, seriously and willingly embraced. However, he found that the terms of the agreement in this matter were not ‘seriously and willingly embraced’ by the parties on the bases that:
a) The agreement was entered into because there was insufficient evidence to secure a finding of guilt, the results of the lie detector test having been uncorroborated;
b) The caveat subscriptor (let the seller beware) rule did not apply and, as a consequence, the so-called settlement agreement was unenforceable because the terms of the agreement were misrepresented by the employer’s attorney;
c) No evidence was presented by the employer to show that the employees were given an opportunity to seek advice on the terms of the agreement before signing it; and
d) The evidence of both employees was that they were told by t he employer’s attorney that if they did not immediately sign the agreement, they would not receive any money.

The commissioner found the agreement to be unenforceable and ruled the dismissals both substantively and procedurally unfair. In turning to the remedy, however, the commissioner considered the unusual circumstances of the dismissal, the close relationship required between a domestic worker and her employer, the special living arrangements on farms, and genuine concerns that farmers have for their own safety and that of their families. In light of these considerations, reinstatement was deemed inappropriate, and the employees were awarded three months’ wages as compensation, taking into account the monies already paid in terms of the mutual separation agreement.

The key takeaway here is that the circumstances under which mutual separation or settlement agreements are concluded will have bearing on whether such agreements are enforceable. Agreements in full and final settlement of disputes must be seriously and willingly embraced. This would require that the parties are made fully aware of their rights, of the terms of the agreement, and that they be given an opportunity to seek advice and time to properly consider the agreement before coming to a decision. In the absence of these elements, such agreements may not be worth the paper they are written on.

With acknowledgement to LabourNet in terms of our Service Agreement.

All information provided by the PAGSA is subject to our DISCLAIMER.

VALIDITY OF VERBAL AND HEAT OF THE MOMENT RESIGNATIONS

In the 1996 sports-comedy drama, Jerry Maguire (actor Tom Cruise) is fired from
his agency after taking a principled stand against his industry. Following his termination, in one of the movies’ many famous scenes, Jerry makes a desperate attempt to persuade his colleagues to leave the agency with him. However, what unfolds is a moment of awkward rejection, where only one person, Dorothy Boyd (Renée Zellweger), a junior accountant, impulsively decides to join him and leaves the office with him.

While it is legally required that an employee provides a written resignation of their employment which evidences an unequivocal intention to end the employment relationship between the parties, the reality is that employees often provide only verbal resignations or in certain circumstances, such as Jerry, simply act in a manner which is consistent with resignation. When an employer acts on its belief that the employee had resigned, employers then face the risk of challenges for unfair dismissal by the very same employee deemed to have resigned.

In Mnguti v CCMA and Others[2015] ZALCJHB 277; (2015) 36 ILJ 3111 (LC) (handed down on 28 August 2015), the court confirmed that a resignation can be verbal, written, or even implied. The question to be answered is whether the reasonable person would have concluded, based on the conduct displayed, that the employee no longer had the intention to fulfil his/her part of the contract.

When defending these types of matters, the occurrence of a dismissal will be in dispute. This means that the employee will have the onus of proving the existence of a dismissal. In attempting to prove that a dismissal has occurred, the employee must prove the presence of an act by the employer which terminated their contract of employment. In the case of Ouwehand v Houd Bay Fishing Industries [2004] 8 BLLR 815 (LC), the Labour Court held that for a dismissal to have occurred, the employee must show that there was some overt act by the employer comprising the proximate cause of termination of employment. Furthermore, in the case of Marneweck c SEESDA Ltd [2009) SALC 31; [2009] 7 BLLR 669 (LC); (2009) 30 ILJ 2745 (LC), the court confirmed the approach in the Ouwehand case and further added that the act of termination requires an objective construction of the employer’s conduct. Therefore, when proving dismissal, the employee must show that the employer committed an overt act which objectively was the proximate cause of dismissal.

While the onus will be on the employee, there will also be a burden on the employer to prove that its version of having received a verbal or implied resignation is possible. In the case of Cooper and Another v Merchant Trade Finance Ltd (474/97) [1999] ZASCA 97 (1 December 1999), the court held that if an inference on favour of both parties is equally possible, then the party who bears the onus, i.e. the employee, will not be entitled to relief. Thus, in defending a matter where an employee claims not to have resigned as believed, an employer must be able to prove its version that the employee resigned is probable.

Employers should take care of the following:
1. Endeavouring as far as possible to ensure that discussions with the employee include a witness who can corroborate the employer’s version.
2. Ensuring that they keep record of all events leading up to and following the resignation such as, for example, an employee’s prior conversations and behaviour which would evidence an intention to unequivocally end the employment relationship between the parties.
3. The employer should place on record the version of events as quickly as possible after the event, e.g. addressing correspondence to the employee acknowledging their resignation.

On a final note, despite resignation being accepted as a unilateral act which cannot be undone, in CEPPWAWU and another v Glass and Aluminum 2000 CC [2002] 5 BLLR 399: (2002) 23 ILJ 695 (LAC), the LAC held that resignation in the heat of the moment does not terminate the employment contract if the employee has second thoughts soon thereafter. Thus, In Jerry Maguire it is plausible (at least in South African Labour Law) that Dorothy Boyd could have returned to her job the next day, claiming her resignation was made in the heat of the moment. Imagine what that would have done to the trajectory of the film?