A basic guide to UIF Unemployment Benefits

(Shutterstock)

Our summary of the basic guide to key topics about UIF Unemployment Benefits within the labour legislation according to The South African Department of Labour.

The Department of Labour offers basic guides to key topics within labour legislation. Read on for our summary of UIF Unemployment Benefits. Workers who become unemployed have the right to claim from the UIF. Workers must apply and will be paid at the labour centre of their choice.

Who does the UIF Unemployment Benefits apply to?

The Unemployment Insurance Act and Unemployment Insurance Contributions Act apply to all employers and workers, but not to:
 - workers working less than 24 hours a month for an employer
 - learners
 - public servants
 - foreigners working on contract to be repatriated at the end of their contract
 - Employees in receipt of an old age pension are; since 07/02/2007, no longer excluded from contributing towards UIF or workers who only earn commission
 - Domestic employers and their workers are included under the Act since 01 April 2003

Claiming

Who can claim:

You cannot claim if you get:
 - benefits from the Compensation Fund
 - benefits from an unemployment fund under the Labour Relations Act 

or if they:
 - are suspended from claiming because of fraud
 - quit their job
 - do not report at set dates and times
 - refuse training and advice

Workers can claim if their:
 - employers are bankrupt
 - contracts are ended; or if they are fired

Domestic workers can also claim if:
 - they work for more than 1 employer, and lose their job at one of the employers
 - or if their employer dies

Workers must register as worker-seekers and be available for work.

When must I claim?

Workers must claim within six months after they stopped working.

How long can I claim for?

Workers can claim from the day they stopped working until their benefits are used up or they start working again.

How do I claim?

Workers must fill in the application forms and, together with other required documents, hand it in at a labour centre.

Benefit payments

How will I be paid?

Benefit payments will be paid to the contributor’s bank account.

Tax:

No tax is payable on the benefits.

Over payments:

If you get more money than you should, you must pay back the extra money.

When the UIF May Refuse to Pay:

The UIF may stop paying you benefits if you refuse to:
 - accept a job
 - go for training
 - go for advice

Source: South African Department of Labour