South Africa: Minister Thulas Nxesi On UIF COVID-19 Lockdown Payments

(File photo).
press release

UIF makes good progress on promise to capture and process may lockdown payments with R1-billion already processed for payment

As the Minister of Employment and Labour Thulas Nxesi promised last week, the Unemployment Insurance Fund (UIF) is making good progress on its promise to earnestly start capturing and processing May COVID-19 relief benefits applications.

Today, a total of R1-billion has already been processed for payment for 252 378 workers represented by 26 648 employers. At the same time, the Fund has also processed and paid R 331 530 550.90 for 79 507 workers represented by 13 503 employers which is part of the outstanding payments for April.

"As we indicated when we addressed the country last Friday, we are committed to ensuring that to the extent possible, the department through the UIF plays its role in shielding workers from the worst effects of the pandemic. We are doing this by providing cash payments to workers who may have found themselves in the lurch as a result of lockdown. The payments have been significant in saving at least 3-million workers from poverty", said Minister Nxesi.

The Minister also added that the UIF is also working around the clock to ensure that the outstanding payments are processed as soon as possible. Payments this time around should be a lot quicker as the UIF already has the details for most of the claimants.

The new enhanced system which kicked into gear last week will make it easy to resubmit because in cases where the information has not changed, the claim will be processed immediately on confirmation by the employer. But if information has changed, employers will still be required to capture employee' details directly on the system or attach the CSV file.

The following documents must be attached for the May submission to be successful;

Proof of TERS payment to employees for April such as electronic bank statement, a letter of acknowledgement of payment between employer and employee (Mandatory),

Re - upload employer bank confirmation letter or latest bank statement,

Signed approval or acceptance letter from the UIF for April payments between employer and employee, and

Proof of refund to the UIF attached if applicable.

"I have been assured that we would realise significant improvements in terms of payment turnaround time from claim submission. Already, with all the information supplied, the UIF was able to pay some claim in 24 hours at best or 48 at worst which is far more from when we started around April 16 ", said Minister Nxesi.

Excluding the R1-billion that is in the pipeline for payment for May claims, the UIF has paid more than R16.5-billion (R16 559440 404.28) for the benefit of 3 290 625 workers represented by 279 111 employers. Of this amount, R442-million has been paid through direct deposits to 99 269 workers' bank accounts . The claims were submitted by 6 374 employers.

For further information, log on to our website or reach the UIF on the toll-free number 0800 030 007.

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