UNEMPLOYMENT INSURANCE FUND AMENDMENT BILL PRESENTATION TO PORTFOLIO COMMITTEE ON LABOUR 25 AUGUST 2003

Section 1 w The Amendment aims to delete the definitions of “CCMA” in order to comply with changes in Section 37, where the UIF and the Regional Appeals Committees will take over the adjudication of appeals. w The CCMA will no longer have jurisdiction over UIF appeals

Section 1 cont. w The Amendment aims to delete the definition of “Seasonal Worker” in order to eliminate the unintended exclusions contained in the current definition. w The amendment aims to bring back into coverage those workers who are currently excluded because they worked for an aggregate period of less than 3 months

Section 3.1(b) w The current legislation excludes from coverage all workers/employees who receive renumeration under a learnership agreement. w The amendment aims to exclude from coverage only those employees who enter learnerships in terms of Section 18(2) of the Skills Development Act 97 of 1998 i.e. Learners who were not in the employment of the employer when the agreement was concluded.

Section 3.1(c) w The amendment seeks to exclude those officers or employees as defined under Secton 1(1) of the Public Service Act,1994; in other words, Public Servants.

Section 3.1(e) w Current provision provide that all employees including those in receipt of a monthly state social pension contribute to the fund, but Section 14.1(a) explicitly excludes those employees in receipt of a state social pension from accessing benefits. w The amendment is aimed at eliminating this contradiction by excluding those employees in receipt of a monthly state social pension from contributing while they are unable to access benefits

Section 11 w This amendment is aimed at correcting a mistake in which the Minister, instead of the Commissioner is expected in terms to the law to prepare a business plan. w This amendment streamlines the provisions of this law with those of the PFMA

Section 12 w The present legislation does not take into account the situation of multiple employement relationships and as a result fails to cater for those workers work for multiple employers and who in the process of their employment lose one or more jobs. w The amendment addresses the above situation by insertion a new provision that recognises above situaton and brings in a concept of “partial unemployment” for those workers with multiple employers in Section 12(5) and 12(6)

Section 16(iv) w This amendment is intended to bring in a provision that recognises that in the case of domestic workers, unemployment may arise as a result of the death of the employer of that domestic worker.

Sections 21,24 and 27 w The current provisions in Sections 21,24 and 27 provides for two benefit regimes which were not intended. w The amendment is aimed at streamlining the benefits to allow claims officers to top-up benefits for those employees who continue to receive income from their employers whilst unemployed as result of maternity, ill-health or are required by law to take adoption leave.

Section 37 w This amendment is brought in to replace the jurisdiction of the CCMA over UIF matters and to provide that the Minister after consultation with the UIF Board appoint Regional Appeals Committees to adjudicate all complaints arising out of the decision of the claims officer/s.A decision by the National Appeals Committee will be final.