As South Africa’s unemployment rate continues to tick higher, the Unemployment Insurance Fund is looking to crack down on non-compliant companies.The UIF is designed to give short-term financial relief to workers when they become unemployed or are unable to work because of maternity, adoption and parental leave, or illness. It also provides relief to the dependants of a deceased contributor.
Between April and June 2024, an estimated 158,000 people lost their jobs, bringing the number of unemployed to 8.4 million – or 33.5%. Maruping said that while the UIF “has the funds for the people that are contributing,” it will likely not be able to stomach the increasing dependents as a result of South Africa’s worsening unemployment.
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