farm worker
12 June 2007
The elderly farm worker whose future looked bleak because his employer of
almost 50 years would not pay him the due retirement package, can now look
forward to a brighter outlook, thanks to Labour Department interventions. On
learning through media reports last week that the North West farm employee was
released with only R1 000 cash and a packet of tobacco after 47 years of
service, the Unemployment Insurance Fund (UIF) moved swiftly to have the
situation corrected. As a result, the employer has since agreed to pay out
Molungu Moalodi a decent severance package plus all due benefits.
Following this, the UIF today, Tuesday urged workers in both the business
and domestic sector to report any non-compliance with the laws that govern it.
In terms of the Unemployment Insurance Act and the Unemployment Insurance
Contributions Act, every employer is required to register his/her business with
the UIF. The law further compels employers to register every employee who works
for 24 hours or more per month with the UIF. Kgomotso Sebetso, UIF spokesperson
reminded employers that it was part of their obligation to make the 2%
deductions every month.
"It is not an excuse to claim that an employee did not want the UIF
coverage. UIF is compulsory for every worker who is employed for 24 hours or
more in a month. Employers who fail to effect the necessary monthly deductions,
let alone failing to register with the fund, risk severe penalties," Sebetso
warned. He said the UIF has been established to provide relief to workers who
were left with limited means or no means of support at all in the event of
their services being terminated. "We therefore would like to urge workers to
report at any Labour Department offices employers who fail to comply with the
law. Such information can also be provided by dropping our call centre a line
on 012 337 1680," he added.
Sebetso said although on average the UIF approved more than 40 000
applications for benefits every month, the fund was still concerned with the
number of unemployed workers who struggle to immediately access their benefits
because they were not registered with the fund. "It pains us to see desperate
unemployed workers being informed in a time of real need that their
applications for benefits could not be immediately processed due to the fact
that their employers had not made any attempt to register with the UIF. This
leads to unnecessary delays in their applications as we try to follow-up on
those errant employers," he said.
The Fund commended employers who continue to comply with the law, adding
more than 3 000 new employers and over 12 000 new workers in the business
sector were registered in April alone. "Currently we have the records of more
than 7,2 million workers from both the business and domestic sectors registered
by a million employers on our database," he concluded.
Enquiries:
Kgomotso Sebetso
Cell: 073 269 9870
E-mail: kgomotso.sebetso@labour.gov.za
Issued by: Department of Labour
12 June 2007
Source: Department of Labour (http://www.labour.gov.za)
