Unemployment Insurance Fund (UIF) assistance

Published by Peet Pieterse

May 29, 2023

We would like to provide you with important information regarding the Unemployment Insurance Fund (UIF) and how we can assist you in ensuring compliance and resolving issues that may arise. Please take a moment to review the following details.

1. What is UIF?

The UIF is an integral part of the Department of Labour and serves as an institution designed to provide unemployment benefits to eligible individuals.

2. Mandatory UIF Registration and Reporting

As per legal requirements, it is mandatory for every employer to register with the UIF. Additionally, employers must regularly update the UIF with employee information and remuneration details on a monthly basis. Furthermore, a breakdown of the UIF amounts paid for each month should be provided.

3. SARS’ Role in UIF Collection

SARS has been appointed by the Department of Labour as an authorized agent responsible for collecting the prescribed UIF payments from employers. This is facilitated through the UIF section of your EMP201 monthly return. The collected amounts are then forwarded to the UIF by SARS.

4. How PPHC Global Can Assist You

We are pleased to offer the following services to our clients, although they are not accounting-related:

a) UIF Employer Registration: We can assist you in registering as an employer with the UIF.

b) UIF Tax Type Registration with SARS: We can facilitate your registration with SARS for the UIF tax type.

c) Monthly Payroll Report Submission: We can prepare and submit your monthly payroll report, including a detailed breakdown of UIF payments, to the designated email address at the UIF

5. Addressing Current Challenges

Recently, we have identified a concerning issue with the UIF’s record-keeping practices. Despite submitting the required payroll reports, we have observed a lack of regular updates to employee records. Consequently, this inconsistency has resulted in complications when employees attempt to claim benefits from the fund. Claims are being rejected due to incomplete personal records on the UIF systems.

6. Resolving the Issue

To rectify this issue, it is necessary to manually update the relevant employee information within the UIF system. However, it is important to note that the UIF system’s stability has been unreliable and prone to unavailability. Although this falls outside our typical scope of services, we understand the frustrations experienced by both employees and employers. Therefore, we have made the decision to assist employers on a case-by-case basis. If you require manual updates to an individual’s record in the U-Filing system, please contact us. Please be aware that an additional charge based on an hourly rate will apply due to the system challenges encountered with the UIF system.

Alternatively, clients have the option to manually update their staff’s details directly on the U-Filing system periodically. Kindly note that this is not a recurring service provided by PPHC Global.

Should you require assistance or have any inquiries regarding the UIF, please do not hesitate to contact us.

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