The UIF fund pays out set amounts in the case of unemployment, maternity, illness, dependent benefits and adoption benefits.
UIF – Is a monthly payment of 2% of the value of the employee’s monthly pay to the fund. The amount is split between the employer and employee, each pay 1%. The employer must pay this full amount to the fund each month. You may not deduct more than 1% from the employees’s salary. You cannot deduct amounts of money to “catch up” if you fall behind in payments and you are not allowed to charge a fee for deducting and paying UIF.
UIF applies to all employees and workers (including domestic), but do not apply to –
- workers working less than 24 hours a month for an employer;
- public servants;
- foreigners working on contract;
- Employees in receipt of an old age pension are, since 07/2/2007, no longer excluded from contributing towards UIF; or
- workers who only earn commission.
For how to register or more details on UIF, please email [email protected]