Government has approved the Unemployment Insurance Fund’s relief scheme for workers whose companies were impacted by the recent civil unrest in KwaZulu-Natal and Gauteng.
UIF’s Destroyed, Affected or Looted Workplaces: Temporary Financial Relief Scheme was created to help workers whose workplaces have been closed due to recent unrest.
The Department of Employment and Labour said employers who are not registered with UIF will have to register first to benefit from the relief scheme.
Employers that qualify will be required to apply on behalf of their employees through a process that the UIF will specify.
Employers will also be required to meet the following conditions:
- closure of the business must be directly linked to the destruction, damage or looting of its workplace
- details of the destruction, closure, or damage to, or looting and proof of a report to the South African Police Services, with a case number must be submitted
- If the business is insured, proof of submission and acknowledgement of receipt of the insurance claim is required
- confirmation in writing, or electronically, that the employer accepts the terms of the scheme and any procedure document issued by UIF
- submit any other information that the minister or delegated authority may require to assess eligibility of claim.
Payment of the temporary financial relief will only be made directly into the worker’s bank account unless the UIF Commissioner specifies other conditions.
The financial relief will be paid based on the income replacement rate calculated on the sliding scale of 38%-60%, based on the employee’s remuneration.
The maximum payment will not exceed R 6 700 and the minimum will be not less than R3 500 per month, or a flat rate as the minister or accounting authority may decide.
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