Business for SA says the auditor-general is looking into system integrity problems at the UIF, which funds the scheme
The payment of the government's
Business for SA on Wednesday said its representatives at the National Economic Development and Labour Council informed it of the suspension of payments and that it was understood that the auditor-general was looking into system integrity problems at the Unemployment Insurance Fund , which funds the Temporary Employer/Employee Relief Scheme .
However, the opening of applications was delayed because a government directive had not been signed and published. This was not the first time applications had been delayed since the implementation of the scheme.The UIF has been adamant there is no backlog in paying the benefits, despite workers and employers left waiting for payments. By mid-July, some workers and employers were still waiting for payments from April and May.
“However, the unilateral halting of all payments, and the very poor communication of the situation by the UIF leadership, is grossly unfair to all employees and their employers who have legitimate claims. That the UIF system is incapable of remedying the relatively small number of fraudulent claims without disadvantaging the millions of legitimate claimants is an indictment on the UIF system.”
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