Demand for UIF Payment Increases

April 15 - Thousands of South Africans lost their jobs last year due to the economic recession, and the country's Unemployment Insurance Fund (UIF) is reporting that more people are lining up to receive benefits as a result.

The UIF reported that the number of people requiring UIF payouts doubled in the past year, despite the fact that nearly 160,000 more people were contributing to the fund compared to last year.

At present, 7.7 million South African workers are paying into the UIF.

Another statistic worth noting is that over 745,000 beneficiaries are being handed R5.3 billion worth of  payouts.

This shows over an over 70% increase in benefit payments when comparing this year's statistics to last year's.

Membathisi Mdladlana, the Labour Minister, noted that these statistics were a clear indication of the impact of the current economic crisis and the job losses of the past year.

Mdladlana also said that the Labour department intends looking into ways of improving benefits from the current eight months to a full year.

Civil servants would also be possibly included in the UIF.

"We have also committed to saving jobs and finding alternative employment pathways for those workers unfortunate enough to be retrenched," he said. "Working together with our social partners through NEDLAC, we have put in place a training layoff scheme,"

Four training layoff agreements have already been concluded, incorporating 2,100 workers in various industries.