Quick Answer: How to Get Letter of Good Standing
To get a Letter of Good Standing in South Africa, your business must be registered with the Compensation Fund under the Compensation for Occupational Injuries and Diseases Act (COIDA), have all annual Return of Earnings (ROE) submitted on time, and maintain a fully paid assessment account (or an approved, active payment arrangement).
Once your account is fully compliant, you can generate and download your official Letter of Good Standing immediately online through the Department of Employment and Labour’s CompEasy portal. The document itself carries no administrative fee beyond settling your required statutory assessment fees.
This guide provides step-by-step instructions for business owners, contractors, and admin teams navigating Business Requirements South Africa within the COIDA and Good Standing Requirements South Africa framework.
Who This Requirement Applies To
A Letter of Good Standing is an official compliance certificate issued by the Compensation Commissioner. It confirms that your business actively complies with statutory workplace injury insurance rules and that your employee assessment fees are up to date.
This requirement applies to:
- Employers with full-time, part-time, or casual staff: Any entity employing one or more workers in South Africa must register for COIDA.
- Government and municipal tender applicants: Most public sector procurement frameworks require a valid Letter of Good Standing before evaluating bids.
- Corporate vendors and sub-contractors: Large private companies, particularly in mining, construction, and logistics, require contractors to submit valid compliance certificates before granting site access or issuing purchase orders.
- Licensing and industry bodies: Certain regulated sectors (such as private security and transport) require proof of COIDA compliance for annual licence renewals.
If your business is not yet registered with the Compensation Fund, review the COIDA Registration Requirements before attempting to obtain a Letter of Good Standing.
Eligibility Requirements
Understanding How to Get Letter of Good Standing eligibility rules prevents unexpected portal rejections. To qualify for immediate letter generation, your business must meet four core compliance pillars:
| Compliance Pillar | Requirement Details |
| Active Registration | Your business must have an active COIDA registration number linked to the Department of Employment and Labour. |
| Up-to-Date ROE Submissions | Annual Return of Earnings must be submitted for all required assessment years during the official filing window. |
| Zero Outstanding Balances | All assessment invoices generated by the Compensation Fund must be paid in full, or covered by an official installment plan. |
| Reported Incidents | Any workplace injuries or occupational diseases must be reported and accounted for in accordance with COIDA guidelines. |
Note: Even if your business has zero active employees or temporary zero-payroll during a specific season, you must still file a zero-return ROE to maintain eligibility.
For deeper background on specific compliance thresholds, see our complete guide on Letter of Good Standing Requirements.
Documents You May Need
While the application is processed online, gathering your How to Get Letter of Good Standing documents in advance ensures a smooth submission process.
Required Documentation Checklist
- COIDA Registration Number / Reference Code: The official reference number assigned upon initial registration.
- Company Registration Documents: CIPC registration certificate (CoR 14.3 / CK documents) or trustee/ID documentation for sole proprietors.
- Latest Return of Earnings (ROE) Acknowledgment: Proof that your annual payroll figures were submitted to the Compensation Commissioner.
- Proof of Assessment Payment: Bank deposit receipt or electronic funds transfer (EFT) confirmation matching your COIDA assessment invoice reference.
Conditional Documents
- Approved Installment Agreement: If you are paying off accumulated COIDA debt, a copy of the formal payment plan approved by the Compensation Fund.
- Payroll & Salary Summaries: EMP201 statements or payroll reports in the event of an account audit or assessment query.
If you are setting up your compliance files for the first time, check the comprehensive breakdown of Documents Needed for COIDA Registration.
Steps to Apply or Prepare
Follow these How to Get Letter of Good Standing application steps to access and issue your compliance certificate.
1.Confirm Your COIDA Registration & Portal Access:Prerequisite step.
Ensure your business has an active COIDA account and that your profile is registered on the Department of Employment and Labour’s online portal (CompEasy / ROE Online System).
2.Submit Your Annual Return of Earnings (ROE):
Log into the portal during the annual filing season (typically opening in March/April) and declare actual employee earnings for the past year alongside estimated earnings for the upcoming year.
3.Receive and Settle Your Assessment Invoice:
Once your ROE is submitted, the system calculates your annual assessment fee based on your industry risk class. Pay the invoice using the exact payment reference generated on the notice.
4.Allow for Payment Allocation:
Wait for the bank clearance and portal update (typically 1 to 3 business days for electronic payments). Ensure your account balance reflects zero outstanding fees.
5.Generate and Download Your Letter of Good Standing:
Navigate to the ‘Letter of Good Standing’ tab on the portal. Select your company profile and click ‘Generate’. Download and save the PDF certificate for your records.
Costs, Processing Times and Validity
Understanding the operational timelines and costs helps avoid tender deadline bottlenecks.
| Metric | Details |
| Government Application Fee | R0 (The letter itself is issued free of charge). |
| Associated Costs | Statutory assessment fees based on employee earnings and risk class. |
| Processing Time (Online) | Immediate download once payments are reconciled. |
| Processing Time (Manual Verification) | 3 to 10 business days if manual account reconciliation or audit is required. |
| Validity Period | Valid until 30 April of each year, coinciding with the start of the new ROE assessment cycle. |
Important: Regardless of when your letter is issued during the year, all standard COIDA Letters of Good Standing expire annually on 30 April. You must file your new ROE and settle assessments each season to maintain uninterrupted coverage.
Common Mistakes and Delays
Admin teams frequently encounter avoidable delays when requesting certificates. Keep these practical pitfalls in mind:
- Incorrect Payment Reference Numbers: Paying assessment fees using an incorrect bank reference prevents automatic system reconciliation, leaving your account marked as “unpaid.”
- Missing the ROE Filing Window: Failing to submit your annual return on time automatically locks your account from generating compliance letters.
- Confusing CIPC, SARS, and COIDA Clearances: A CIPC annual return or SARS Tax Clearance Certificate does not substitute for a COIDA Letter of Good Standing.
- Unreported Workplace Injuries: Unresolved injury claims or outstanding statutory accident reports can trigger temporary compliance holds on your account.
- Assuming Vendor Third-Parties Issue Letters Directly: Only the Compensation Commissioner (or authorized licensing bodies) can issue legitimate compliance documents.
Where to Confirm Official Requirements
Because statutory regulations, portal addresses, and assessment tariffs can change, always verify current requirements with official channels:
- Official Department Portal: Access the online system via the official Department of Employment and Labour website (
labour.gov.za). - Compensation Fund Customer Care: Contact the Compensation Fund call centre or visit your local Labour Centre for manual account queries.
- Official Circulars: Review the annual Gazette notices published by the Compensation Commissioner regarding assessment rates and submission deadlines.
Disclaimer: Requirements.co.za provides general administrative and requirements information. Official rules, forms, and fees are set by the Department of Employment and Labour and are subject to change.
Frequently Asked Questions
What are the requirements for How to Get Letter of Good Standing?
You need an active COIDA registration number, fully submitted annual Return of Earnings (ROE), zero outstanding assessment balances with the Compensation Fund, and an active online profile on the official labor portal.
What documents are needed for How to Get Letter of Good Standing?
Core documents include your COIDA registration reference, company registration details (CIPC), proof of submitted ROE, and proof of assessment payment. Conditional items include approved debt payment agreements if applicable.
How long does it take for How to Get Letter of Good Standing?
If your account is up to date and payments have cleared, generation is instantaneous on the online portal. If payment allocation or manual account adjustments are required, it can take between 3 and 10 business days.
Where can I confirm the latest official requirements for How to Get Letter of Good Standing?
Official guidelines and portal access are available through the Department of Employment and Labour’s official website (labour.gov.za) or at any regional Labour Centre.
Which documents should I prepare for How to Get Letter of Good Standing?
Prepare your company registration documents, COIDA account number, recent payroll summaries, and bank payment confirmation for your latest assessment invoice.