Do Casual Workers Pay UIF Contributions? Searches have it that many employers refuse to register their employees for the Unemployment Insurance Fund (UIF). On that of casual employees, employers partially ignore the attempt to register them for UIF.
Well, on a more serious note, the labour law frowns at such acts executed by some employers within the country. The law further indicates that any employer who refuses to register its employees might pay some penalties when caught.
The Unemployment Insurance Fund basically serves as a security to applicants and beneficiaries when they go on maternity leave or are unemployed.
Contributing to UIF is very essential to the extent that nobody knows when a man shall fall since life is full of uncertainties.
The South African labour department initiated this keen policy to reduce the rate of unemployment and high dependency rate in the country.
In this article, we will enlighten you on who is supposed to pay for UIF contributions and other frequently asked questions on UIF.
Table of Contents
Do Casual Workers Pay UIF Contributions?
Yes, casual workers pay UIF contributions. As the law says, any worker who works more than 24 hours within a month is entitled to pay his/her UIF contribution.
Frequently Asked Questions (FAQs)
Does UIF Pay if Your Contract is Terminated?
It’s a big yes, UIF pays if your contract is terminated or canceled. This is because if you had been paying your contributions to the fund as you worked, UIF will pay you out only if your credit days are due for payout.
That is working more than 24 hours a month for 12 months.
Has the South African Government Increased the UIF Contributions?
Yes, the government through the Minister for Finance has increased the Unemployment Insurance Fund. The monthly maximum remuneration has been increased from R14,87 to R17, 712.
How many times does UIF payout?
You should start earning something after eight weeks of registering. Your money will then be paid every four weeks.
How To Register For UIF Online?
Now let us go through the processes of registering for UIF online without visiting any nearby labour office for manual assistance.
- Select “Registration/register” after you visit the menu on the left of the uFiling screen.
- Register as a commercial employer or a domestic employer. Complete the rest of the form as you follow the prompts.
- After these steps, you would receive UIF registration confirmation once registration is completed.
From here, you are good to go without walking any step to the labour office.
Does UIF Pay a lump sum?
Yes, this is calculated depending on the issue at hand and the number of years you have contributed to the fund.
It’s mostly paid to beneficiaries of a contributor to UIF when he/she passes away.
Are all benefits paid from the UIF tax-free?
Yes, all benefits paid from the fund to its contributors are tax-free.
Important links on UIF
- Claim UIF Benefits Online – Step-By-Step Guide
- Why Your SASSA R350 Grant Declined? – Answer
- Check My UIF Balance Online
- Check Sassa R350 Grant Status
In this article, we were able to let you know categorically that casual workers are eligible to contribute to UIF and other frequently asked questions on UIF.