We have an employee who has to be retrenched / medically boarded. They are over 65. Part of the negotiated package deal is most likely that we continue to pay their medical aid, rather than a lump sum payment which we can't really afford. Will this future monthly payment still be considered as a salary and subject to UIF and PAYE, even though the employee will no longer be working for us?
The employee should be entitled to UIF benefits, but if we continue having to submit the monthly return because of their medical aid expense, then that's going to complicate the claim. Suggestions on the proper way to deal with this?