claims
6 March 2007
The Unemployment Insurance Fund has warned that workers could face up to a
five year suspension if they continue to draw unemployment benefits despite
having secured new jobs.
Speaking in Pretoria today, UIF spokesperson, Kgomotso Sebetso, said it was
not only against the law to continue to draw UIF benefits, but a person also
jeopardises chances of receiving any future UIF payments.
"It is considered fraud for one to continue to receive benefits despite
being employed. We want to issue a stern warning to workers to desist from such
practice," he said.
Sebetso said the UIF prides itself of being an important social security arm
of government in that on an annual basis it brought relief to 800 000
unemployed workers. "We pay more than R3 billion in short-term insurance to the
unemployed," he added.
"Since 2004 to date about R45 million in fraudulent claims caused by people
working and drawing benefits have been made against the UIF. Even though the
money that we are losing on fraudulent claims is just a fraction of what we are
paying out, it is still a serious matter because we are dealing here with
public funds," Sebetso emphasised.
"To date we have recovered just under R10 million and this is further proof
that we are serious when we say we will follow-up on such cases," he added.
He said workers who continue to engage in such unlawful actions would be
severely dealt with in terms of the Unemployment Insurance Act of 2001. "We
have had cases where workers have been suspended from receiving UIF benefits
because of this and the UIF will continue to identify such people and punish
them," he said.
"What some of the workers do not realise is that it is employers who draw
our attention to such practices because they are compelled by law to update
details of the workers on a regular basis," Sebetso added.
He concluded by urging people to report anyone who is engaged in such
unlawful actions on the UIF Fraud Hotline at 0800 601 148 or the UIF e-mail
hotline at fraud@uif.gov.za.
Enquiries:
Kgomotso Sebetso
Cell: 073 269 9870
Issued by: Department of Labour
6 March 2007
