labour

The Department of Labour inspectors found that half of employers in Cape Town did not comply with labour legislation. PHOTO: Flickr.com/Gilbert Sopakuwa

Half of Western Cape employers not complying with labour laws

Employers are found to not pay their worker’s UIF contributions and instead keep it for themselves, which goes against labour legislation.

labour

The Department of Labour inspectors found that half of employers in Cape Town did not comply with labour legislation. PHOTO: Flickr.com/Gilbert Sopakuwa

Half of the employers in the Western Cape are not complying with labour legislation. This was determined by inspectors of the Department of Employment and Labour.

UIF COMPLIANCE IS A CHALLENGE ACROSS ALL SECTORS

50% of the employers inspected by the Department of Employment and Labour inspectors in the Western Cape were found to not be compliant during the 2021/2022 financial year.

Statistics related to this were revealed during the Unemployment Insurance Fund (UIF) Commissioner’s breakfast session with employers at the Cape Town International Convention Centre on Friday.

Employer Audit Specialist at the Labour Department in the Western Cape Hlanganisa Dalasile reported that there were challenges surrounding compliance with the UIF across all sectors.

ALSO RAND: UIF: Employers urged to pay contributions and declare workers

These challenges include employers not registering employees with the UIF as soon as the business commences.

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The Department of Employment and Labour found that a lot of employers did not contribute to the UIF. PHOTO: Twitter/@UIFBenefits

Another challenge is employers not declaring employees on a monthly basis and not paying UIF contributions monthly, before the seventh day of each month as stated by law.

The third issue, Dalasile said, is employers who want to be compliant only when they require a Letter of Compliance to get tenders.

“When conducting our audits, we have picked up that many employers are deducting money from employees but don’t pay it over to the Fund, which is wrong. You can’t deduct money then keep it in your investment account to accumulate interest while the workers suffer.”

Hlanganisa Dalasile

EMPLOYERS ARE URGED TO DO THE RIGHT THING WHEN IT COMES TO LABOUR LAW

Dalasile urged employers who “really care” about workers to abide by labour laws.

“We urge you to do the right thing. Deduct the money and pay it over to the Fund so that when the employees are losing their employment in the near future, they are not found wanting,” he said.

But compliance with the Fund is essential. It is for the benefit of both the employer and employees, said UIF Commissioner Teboho Maruping.

“It is possible that, as a collective, we can address these matters, but we need to come up with viable solutions. Let’s find solutions together and meet each other halfway as the Fund, employers and organised labour,” Maruping said.

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