COIDA Penalties for Non-Compliance
Ignoring COIDA is expensive and dangerous. The Department of Employment and Labour actively audits and prosecutes non-compliant employers.
Criminal Penalties
- Unregistered employer: Fine or imprisonment up to 12 months
- Failure to report accident: Fine up to R100,000
- False statements: Fraud prosecution
Civil Liability
Unregistered employers lose COIDA protection. Injured workers can sue you personally for damages, often exceeding R1 million in serious cases.
Business Consequences
Without a Letter of Good Standing, you cannot bid on government tenders, obtain certain licenses, or achieve full B-BBEE recognition.