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  • Employer Compliance

How Long Does It Take to Get a COIDA Letter of Good standing? Timelines Explained

We breakdown the letter of good standing renewal process and other COIDA timelines in South Africa

When looking to acquire tenders and contracts, a Letter of Good Standing (LOGS) from COIDA (Compensation for Occupational Injuries and Diseases) can be a game-changer for South African businesses. However, there are a lot of steps involved that may seem daunting, and the time it takes to receive one might vary greatly depending on the season, your industry, Labour Department operations, and how accurate your submission is.

In this article, we will touch on all the necessary information you need to become COIDA compliant with a Letter of Good Standing so that you can confidently pursue your business goals in 2026.

What is a COIDA Letter of Good Standing?

To verify that a company is registered with COIDA, the South African Department of Labour Compensation Fund issues a Letter of Good Standing. It shows that your company is registered with COIDA, pays its contributions on time, and will compensate workers with Workmans Compensation if they are injured or get an illness due to their job, which is good for your clients, partners, and regulators.

A COIDA letter of good standing will allow you to claim from the compensation fund but it can take months to payout

Please note that the compensation paid to employees is subject to specific calculations from the Department of Labour and can take a significant time to pay out if approved.

Why Your Business Needs a Letter of Good Standing

Businesses in South Africa, particularly those operating in hazardous areas/industries such as Construction, steelwork, fishing, or bidding on contracts with the public sector, must have a LOGS. By doing this, your company shows stakeholders that it prioritises employee safety and is prepared to address any challenges it may face in the future. Not to mention that it saves you from financial liability if someone gets injured on duty.

Wondering about the importance of a letter of good standing registration online
  • Applying for Tenders and Contracts: A LOGS is usually a standard prerequisite when bidding on public sector or large private contracts.
  • Securing Partnerships: To secure a partnership, a company must demonstrate compliance with workplace health and safety requirements, which is a requirement of many respectable businesses, particularly multinationals. It can even be requested during the sale of a company and a Section 197 process as per the Labour Relations Act.
  • Protecting Your Employees: COIDA compliance protects both your team with coverage in case of workplace injuries and also your company because it reduces legal and financial risks for your business. Imagine paying over R1 million rand in medical bills to one of your employees.

How to Apply for a Letter of Good Standing?

There are several steps to applying for a Letter of Good Standing, and if done right, the process will be more efficient and dependable. This means you don’t have to stress if you will receive your letter in time to submit that life-changing contract. To make it easier for you, we have put this guide on why your business needs a COIDA Letter of Good Standing.

COIDA Registration

To start off with the basics, be sure to register with COIDA and Department of Labour if you’re starting a business or haven’t registered with COID in the past yet. It’s crucial, for any employer, with one employee to get this registration done to stay compliant and covered by the COIDA. Remember that a working director is seen as an employee and will require you to register.

Submit Your ROE Report Annually

Every year, you must submit your annual repor,t known as the Return of Earnings (ROE), which is required by law (between 1 April and 30 June). This report provides information on the salaries of all the staff. The information in this report is used to calculate the amount your company is liable to pay to the Workmans Compensation Fund. Because mistakes or omissions can cause delays in your LOGS, ensuring this submission is accurate is absolutely critical. You don’t want to end up fighting with the Department, as it could take years to resolve.

Pay Your COIDA Assessment Fees

Any fees that are still outstanding will be invoiced by COIDA once your Return of Earnings is submitted. A Letter of Good Standing cannot be granted until this fee is paid in full, so it’s best not to delay in making the payment.

Get a quick overview of what you will need to pay for your letter of good standing renewal in South Africa

Our innovative COIDA Return of Earnings Calculator simplifies the process of calculating assessment fees. It takes less than 5 minutes to finish. Discover how our COIDA Calculator works today and make your ROE as easy as 1–2–3.

Submit Your LOGS Application

You are eligible to apply for the Letter of Good Standing once you have completed your COIDA registration, submitted your Return of Earnings, and paid the costs. While you can submit your application through the Department’s website, it is recommended that you collaborate with seasoned experts to guarantee a speedy and accurate processing of your application.

How Long Does It Take to Get a Letter of Good Standing?

It usually takes 5 to 10 working days to receive a LOGS once all the necessary paperwork is submitted correctly, and the costs are paid. But take note: this timeframe is subject to change depending on a number of things, including:

  • Increased Application Numbers: At certain times of the year, such as the beginning of a fiscal year, it could cause delays due to seasonal demand.
  • Verification of Information: To keep the waiting time to a minimum, it is important to verify that all paperwork is filled out accurately to avoid unnecessary correspondence with the Department of Employment and Labour that can stretch out the process and cause a lot of frustration.
  • Departmental Processing Time: Processing timelines may differ from one department to another due to circumstances within the Department of Employment and Labour. Up to 15 business days may pass during peak processing times.

Common Causes of Delay in LOGS Applications

While it is possible that you can get your LOGS application completed and approved in a few weeks, there are a few things that can cause delays. You would want to avoid the following common reasons for delays.

  • Outstanding Fees: The Department will not issue your LOGS until you settle all outstanding COID costs. Verify that all of the necessary paperwork for your payment is included. It is recommended that you either go directly to a local Department Branch or have an expert determine if any fees are outstanding. Making use of the provided email address and phone numbers, we have found, rarely yields results.
  • Incomplete Return of Earnings (ROE) Filing: Mistakes or incomplete ROE filings can cause major delays. This is why it’s very important for you to keep track of all of your salaries and report them accurately in accordance with COIDA regulations.
  • Late Applications: Don’t wait until the last minute to apply for a LOGS, particularly if the deadline for the tender is drawing near. Rather, avoid any surprises, and make sure your LOGS are up-to-date and prepared in advance. We have seen it time and time again where it is left up to the last minute, and then businesses lose Tender opportunities due to poor planning.
letter of good standing renewal timelines to take into account

Here are a few important deadlines for ROE filing to keep in mind.

  • 1 April - 30 June annually: Return of Earnings (ROE) submission.
  • 30 days from the invoice date: payment of the COIDA invoice.
  • Within 7 days of Employment: Report any changes to employees to the Workmans Compensation Fund.

Renewing Your Letter of Good Standing

A COIDA Letter of Good Standing (LOGS) is not permanent. Its validity depends on your Return of Earnings (ROE) submission and payment status.

  • Standard validity: Usually 12 months, running from April to the following April, provided your ROE is submitted correctly and your COIDA assessment is paid in full.

  • Payment plans: If your business is on an approved instalment arrangement, the LOGS may only be valid for one month at a time and must be renewed as payments are made.

  • Exceptional extensions: Extensions (such as the 2023/2024 LOGS extension to 30 June 2025) are once-off measures and should not be relied on for future compliance.

Let’s use an example: Let’s say Thomas owns a small plumbing business and recently obtained a Letter of Good Standing (LOGS) in July 2025 after submitting his Return of Earnings Report (ROE). His LOGS will expire 30 April 2026.

So, as April 2026 approaches, Thomas must renew his LOGS in order to remain compliant and avoid any company disruptions. By planning his renewal before the expiration date, he ensures that his company remains operating and eligible for contracts that require proof of good standing.

Visit here for more information on understanding COIDA and ROE submission.

Expert Advice on LOGS Renewals

Start Early with the Renewal Process: In order to anticipate and prepare for possible processing delays, begin the process as early as possible.

Review and Stay Up To Date with the Latest COIDA Requirements: The ROE filing and COIDA fees may change based on changes in staff numbers and earnings, thus it is important to review requirements at least annually to make the renewal process easier without unexpected surprises.

Your coida letter of good standing can be verified by the department of labour should a client require it

If you want to reassure your clients and business associates that your company is in good standing with COIDA, you can use the Department's online verification system to confirm the legitimacy of your LOGS.

Why Choose Company Partners for Your LOGS Needs?

When it comes to obtaining Letters of Good Standing and navigating COIDA compliance, Company Partners is your go-to company. We understand that business owners are busy people who could use some help getting their company into compliance quickly and easily.

Benefits of Working with Us:

  • Assisting Businesses with COIDA Compliance: We take care of everything involved in ensuring your business remains compliant with COIDA, from initial registration to ROE submissions and annual renewals. Just like we did with over 4000 companies since the start of 2025.
  • Simplified Procedure: We coordinate with the Labour Department on your behalf, checking paperwork for accuracy and completeness to expedite the processing time.
  • Fast-track Service: To ensure that you receive your LOGS fast, we use our experts to provide expedited services to help reduce processing delays.
  • Trusted by South African Businesses: Thousands of businesses have already benefited from our compliance services since we started in 2006. We make your company’s potential for growth our top priority by taking care of all your business compliance needs, offering over 120 services anywhere in South Africa.

Conclusion

A Letter of Good Standing is not just a necessity—it can also help you get more business, resulting in better working conditions and more opportunities for advancement for your employees. At the same time, it also provides you with peace of mind should something unforeseen take place. That’s why it’s so important to grasp the timing and process of getting a LOGS to keep your business compliant and secure in a competitive setting.

Jumpstart your journey towards meeting COIDA compliance with the support of our team of LOGS and ROE Specialists at Company Partners by your side as trusted partners. You can rely on our knowledge and skills to help you navigate the world of regulations so you can focus on expanding your business. Get in touch with us today and kick off the process of securing and keeping your Letter of Good Standing without any worries. Let our friendly team of experts handle your Letter of Good Standing registration online, as well as your Letter of Good Standing renewals.

For more information on our Letter of Good Standing services, visit our dedicated LOGS page or explore our other COIDA-related offerings, such as our Return of Earnings service.

Contact us today!

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