• Fin24's biz quiz

    Test your business news in 30 seconds with this Fin24 quiz.

  • Inside Labour

    Brexit should send warning signals to worker organisations everywhere, says Terry Bell.

  • Racial redress

    The next adult generation is at risk of being polarised on the basis of skin colour, says Solly Moeng.

All data is delayed
See More

UIF posts R9bn surplus

Jul 29 2011 16:19
I-Net Bridge
Pretoria - The Unemployment Insurance Fund (UIF), a division of the Department of Labour, posted a R9bn surplus in the year to March, said Boas Seruwe, the fund's commissioner, in Pretoria on Friday.

The result far exceeded the fund's target of R3bn.

One of the major reasons for the increased surplus is the Department of Labour's tough stance on compliance and the enforcement of labour laws regarding registration and payment of contributions to the fund. Seruwe said this had resulted in more companies complying with the law.

The fund also took a strategic policy decision two years ago to expose itself to the equity market. Seruwe said the initial investment amount of R1.3bn in equities had grown to R8bn. The fund had investments in government bonds, parastatal bonds and financial institutions.

Seruwe said that, despite this stellar performance, a number of challenges still existed. "We cannot afford to drop our guard. The fund needs to continually devise innovative strategies to do better," he said.

The decentralisation of the fund has managed to reduce the turnaround time in settling claims from seven weeks to five weeks.

"This approach will enable both employers and employees to lodge claims electronically without the effort of going to the offices. This will also enable the department to deal with backlogs in claims as it allows for work to be moved from one labour centre to another without fuss," Seruwe said.

At the end of March 2010, the fund's total assets were sitting at R44bn, and these have grown to a phenomenal R56bn in March. The UIF has 7.6 million people registered on its database, ranging from chief executives and other professionals to gardeners and domestic workers.
department of labour  |  uif  |  sa economy


Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

We're talking about:


Debt is one of the biggest financial issues facing South Africans today. Find out how you can avoid and manage your debt with Fin24 and Debt Rescue.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

Labour’s call for a cap on salary of high earners is?

Previous results · Suggest a vote