• M2M money train

    SA's biggest mobile operators have found a new revenue stream, says Gugu Lourie.

  • Customers as experts

    Some M4Jam micro jobbers are now helping others to refine their ability to make money.

  • Sticking it to Sanral

    The time is now for citizen-centric leadership to stop the road to ruin, says Mandi Smallhorne.

Data provided by iNet BFA
Loading...
See More

UIF posts R9bn surplus

Jul 29 2011 16:19 I-Net Bridge

Related Articles

UIF payments ease after recession

UIF plans to extend benefit period

Unemployment claims rocket

UIF benefits thousands in Limpopo

Cosatu tackles SA's economic ills

Cosatu: Jobless trends bleak

 
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
NEXT ON FIN24X

 
 
 

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
0 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

Small Business

Expanding your business requires capital and banks have stringent lending criteria in place.
 

Money Clinic

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