UIF for domestic workers
7 May 2003
If you employ a domestic worker for 24 hours or more a month, you are required by law to register your employee with the Unemployment Insurance Fund - or face stiff penalties. But don't stress. You can do it all - repeat, all - over the telephone or electronically via the Internet.
The labour department has set up a UIF call centre to speed up the registration process. Employers can call the number - 012 337 1680 - from 8am to 6.30pm on weekdays, and from 8am to 12 noon on Saturdays, to register their domestic workers.
All domestic workers who put in 24 hours or more per month - including seasonal workers, gardeners, and workers who work for more than one employee - were due to be registered by 1 May, with the first payment of UIF contributions due on 7 May.
There are approximately 800 000 domestic workers in the country, and according to UIF Commissioner Shakes Mkhonto, over 330 000 employees had been registered with the UIF by the
April 30 deadline.
Mkhonto has assured employers that they would not be prosecuted if they registered their employees after the deadline - although they would be liable for late payment penalties.
Failure to register a worker with the fund, on the other hand, could see employers facing a R5 000 fine or possible jail time.
Employers can register their workers at any labour centre, UIF offices or multi-purpose community centre countrywide - or simply by phoning the UIF call centre or logging on to the UIF web site (click on "Domestic Employer Registration", and don't be put off by the lengthy legal disclaimer!).
The entire process of registering can be completed telephonically or electronically, after which the department of labour will send each employer a letter with a reference number, along
with instructions on how and where to pay monthly UIF contributions.
More convenient six-monthly or 12-monthly advance payments can also be arranged.
In terms of the new UIF Act, a domestic worker who earns (for example) R800 a month will contribute R8 per month - one percent of his or her monthly income - while his or her employee will contribute the same amount to the UIF.
The Fund provides short-term relief to workers who become partially or fully unemployed through dismissal, retrenchment or illness - provided they have contributed to the Fund. The Fund also provides maternity and adoption benefits, and offers relief to dependants of deceased contributors
Benefits are only paid if unemployment, or the period of illness, is for more than 14 days. Application for maternity benefits must be made at least eight weeks before confinement, or within six months of the birth of the child. Workers who become partially or fully unemployed can claim benefits after
14 days after their last day of work.
Frequently Asked Questions
If a domestic worker works for three different employers, do all three employers have to register with the UIF?
Yes, all three have to register with the UIF - and their domestic workers should insist that they do so.
How much should a domestic worker contribute towards the UIF?
One percent of his or her gross salary per monthly. So if a worker is paid R600 per month, he or she will contribute R6 per month to the Fund.
How much should an employer contribute towards the UIF?
One percent of his or her worker's gross salary per month. This means that the total contribution is 2% of the worker's gross monthly salary. One percent is paid by the worker and one percent by the employer.
How long must a worker contribute to the UIF in order to be able to claim?
Domestic workers accumulate credits with the UIF at a rate of
one day's benefit for every six days worked as a contributor.
How much money will a domestic worker receive if he or she becomes unemployed?
If she or he works for three months, she or he will be eligible to receive benefits equivalent to 15 days of work.
What if an employer does not want to register a domestic worker with the UIF?
Employers must register with the UIF, it is the law. Domestic workers should contact the nearest office of the department of labour if an employer refuses to register with the UIF.
What steps should a domestic worker take when she/he becomes unemployed?
Domestic workers should visit their nearest labour centre with their bar-coded ID book and proof of employment.
What other benefits are domestic workers entitled to under the UIF?
If domestic workers contribute to the UIF, they will be eligible to claim illness, maternity, adoption and dependents benefits.
What does a
domestic worker need when applying for benefits from the UIF?
This depends on the type of benefit - unemployment, illness, maternity, and so on - being applied for. For the list of documents required, including downloadable forms, click here.
Where can one get more information about domestic workers and the UIF?
Visit your nearest labour centre, call the UIF on (012) 337 1700/ 1680, log on to the UIF web site, or e-mail domestics@uif.gov.za.
SouthAfrica.info reporter

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