New COIDA Laws in South Africa: What Employers and Households Must Know in 2026

South Africa has introduced major labour law changes that directly affect anyone employing a domestic worker, following the commencement of new sections of the Compensation for Occupational Injuries and Diseases Amendment Act (COIDA).

President Cyril Ramaphosa gazetted the implementation of key provisions on Friday, 23 January 2026. Although the COIDA Amendment Act was signed into law in April 2023, several sections had remained inactive until now. With this latest move, enforcement shifts sharply toward stricter compliance and tougher financial penalties for employers.

Importantly, the amendments apply not only to corporate employers but also to private households that employ domestic workers. Domestic workers officially came under COIDA protection in 2023, and the latest commencement now strengthens their coverage.

Overall, the changes tighten employer responsibilities, extend injury-claim timelines, and grant inspectors wider enforcement powers. At the same time, the law prioritises rehabilitation and safer returns to work for injured employees.

Legal experts say employers must act quickly. According to law firm Webber Wentzel, the amendments significantly raise compliance expectations across all sectors, including domestic employment.

“Employers must urgently update record-keeping systems, improve accident reporting, and prepare for increased inspections,” the firm said. “They should also audit disability payment processes, strengthen contractor onboarding, and review transport arrangements to ensure full compliance.”

The amendments will not take effect at once. Instead, sections will commence in phases during February and April 2026. Webber Wentzel highlighted six key areas employers need to understand.

First, the law replaces criminal prosecution with immediate administrative fines. Previously, violations often required lengthy court processes. Now, authorities can impose substantial penalties without delay. If an employer fails to report an accident within seven days, they may have to cover the full cost of the employee’s compensation. In addition, employers who fail to pay temporary disability compensation for the first three months of recovery will face penalties equal to the full amount owed, plus interest.

Second, injured workers now have more time to file claims. The claims window has expanded from 12 months to three years. As a result, employers must keep accident and employment records for much longer, since older incidents can still trigger claims.

Third, the law increases employer liability for transport-related accidents. When an employer arranges transport, such as a staff shuttle, liability applies from pickup to drop-off. Even if a third-party driver causes the accident, the employer remains responsible. Employers must also keep transport records for five years and report accidents within seven days.

Fourth, employers now carry greater responsibility for subcontracted workers. When a subcontractor fails to pay COIDA insurance premiums, the law treats their workers as the employer’s own employees. In such cases, the employer becomes liable for unpaid premiums and related obligations.

Fifth, inspectors now have expanded enforcement powers. Inspectors may enter workplaces without prior notice. For domestic workers, this includes private homes and residential properties. Inspectors can demand documents, question employers under oath, and issue compliance orders enforceable by the Labour Court.

Finally, the amendments place strong emphasis on rehabilitation rather than compensation alone. Chapter VIIA of the Act requires the Compensation Fund, or individually liable employers, to support injured workers through clinical, vocational, and social rehabilitation. This may include covering medical care, adjusting work duties, and supporting gradual reintegration into employment.

Notably, employers who make meaningful efforts to support rehabilitation may qualify for assessment rebates. These incentives could reduce future compensation fees.

As enforcement begins in 2026, experts warn that non-compliance will carry serious financial and legal consequences. For households employing domestic workers, the message is clear: domestic employment now carries the same legal weight as any other workplace in South Africa.