The Unemployment Insurance Fund will start accepting applications for the Workers Affected by Unrest (WABU): Temporary Financial Relief Scheme from 25 August 2021.

The financial relief scheme has been established to assist workers whose workplaces have been closed due to recent unrest in KwaZulu-Natal and Gauteng, resulting in workers receiving partial renumeration or no pay at all.

According to the recently published Directive employers will be required to apply on behalf of affected workers, and they will have to meet the following qualifying conditions:

 

• the employer will have to register or be registered with the Unemployment Insurance Fund;

 

 

• the employer’s closure must be directly linked to the destruction, damage or looting of its workplace;

 

 

• the employer must provide details of the destruction, closure, or damage to, or looting of, its workplace and submit documentary proof of a report to the South African Police Services, with proof that a case has been opened by providing a case number, and, if insured, proof of submission and acknowledgement of receipt of the insurance claim.

 

 

• the employer must confirm in writing or electronically that – he/she accepts the terms of the Scheme herein and any procedure document issued by Unemployment Insurance Fund, and

 

 

• submit any other information that the Minister or UIF Commissioner may require to assess eligibility of claim.

 

Payment of the WABU: Temporary Financial Relief will be directly into the worker’s bank account unless the UIF Commissioner specifies the conditions under which payments can be made into the employer’s account.

"Therefore, as the UIF we urge employers to ensure that banking details of employees are correct and that they are also declared on our database to avoid delays with payments," said Advocate Mzie Yawa, acting UIF Commissioner.

The relief will be paid at a flat rate of R3　500.00 to ensure that the UIF envelope is stretched to cover all affected workers. The benefit is de-linked from the UIF’s normal benefits, therefore the normal rule that for every 4 (four) days worked, the employee accumulates a one-day credit, and the maximum credit days’ payable is 365 for every 4 (four) years, does not apply.　 This will enable workers who have no credits to receive financial support whilst their workplaces are in the process of rebuilding or reopening.

Employers would be required to submit claims via the TERS Online portal (uifecc.labour.gov.za) once the system goes live next Wednesday midnight.

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