Compensation Fund
Quick Answer
What is Compensation Fund?
The Compensation Fund is the state fund, under the Department of Employment and Labour, that pays workers injured or diseased at work.
Compensation Fund explained
It is funded by employer assessments under COIDA. Registration, Returns of Earnings and Letters of Good Standing all run through it.
Who it applies to: Every employer funds it; every injured worker claims from it.
Cost: Employer assessments by tariff.
Related terms and guides
Official source: Department of Employment and Labour
Always verify this information with official South African government sources. Rules, fees and thresholds change. Check SARS, CIPC, the Department of Employment and Labour or gov.za before you act.
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Last reviewed: September 2026 by the BizAnswers editorial team. How we write and check our guides.