Unemployment Fund Bill extends coverage to civil servants and period of payment
The Department of Labour has on Tuesday briefed the Portfolio Committee on the amendments to the Unemployment Insurance Amendment Bill before it is passed into law.
The Bill has already been approved by Cabinet with Nedlac concluding deliberations on it in November last year.
Thembinkosi Mkalipi, Acting Deputy Director-General: Labour policy and Industrial Relations, told the committee in Cape Town that the overall aim the amendments was to improve service delivery by among other things, addressing the issue of workers who are presently excluded in the Act. He said so doing enabled the country to “conform with the International Labour Organisation’s (ILO) standards – improve payment of benefits to contributors and extend the period within which benefits are payable.’’
He said in order to comply with the constitution of South Africa, the Bill had to address the exclusion of civil servants in the current legislation.
Mkalipi said the proposed amendments to the Act deal with issues such as:
- including learners, public servants and foreign workers who are currently not covered in terms of the provisions of the UI Act;
- extending the period of payment of benefits to the contributor from eight to 12 months;
- increasing the period in which a contributor can lodge a claim (from six month to twelve months).
- allowing beneficiaries to claim if they have credits regardless of when they submitted a claim.
- providing for the nomination of beneficiaries in case of death benefits.
- assisting in financing the employment promotion projects by the Public Employment Services, and
- giving the Minister the power to vary the income replacement rate through regulations.
Enquiries:
Page Boikanyo, Departmental Spokesperson
Cell: 082 809 3195
