South African law requires all employers to register with the Unemployment Insurance Fund (UIF) and contribute towards the fund for employees that work more than 24 hours per month. UIF is a form of insurance that makes sure South African employees are provided for in the case of involuntary unemployment.
Important note: Once we have completed your UIF Registration we will provide you with the U-file login details to enable you to upload your employee information.
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When your employer terminates your service, you can apply to the Unemployment Insurance Fund (UIF) for benefits. The benefits are only available to you if you have and your employer have been contributing to the UIF while employed. You cannot claim if you have resigned, been suspended or absconded from work.
Any employee, including a domestic worker, who works for you for more than 24 hours per month must be registered with the Unemployment Insurance Fund (UIF) and the employer is legally obliged to make monthly payments to UIF.
Payments are a 1% contribution from the employer plus a 1% deduction from the employee’s wages.
The UIF Certificate of Compliance confirms that your Company is in ‘good standing’ with its UIF contributions. A UIF Certificate of Compliance has recently become a compulsory compliance document for all Government Service Providers and Tender Applications.
UIF can be claimed for 12 months, provided that you have full credit days. Credits accrue as follows: for every four days that you work as a contributor, you receive one day’s credit, subject to a maximum of 12 months.