Labour minister paints four bleak scenarios for the UIF if layoffs go above 41%

rietrot

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In a reply to a Democratic Alliance question in Parliament, Nxesi warned that the fund would become “financially unsound” in the event of continuing heavy job losses.
Surging unemployment will have the dual effect of reducing the fund’s income and placing new demands on it for payouts. The minister set out four scenarios of the UIF’s growing financial weakness and reliance on external funding if joblessness rises beyond the 41% mark.
 

rietrot

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Socialists running out of other people's money?

I am shocked.
UIF could be non socialist if it is voluntary.

You can have voluntary group schemes like insurance for if you lose your job.

I'm actually surprised at how well managed the UIF fund is. They haven't run out of other people's money yet, They haven't even run out of their own money(members contributions) yet.
 

MightyQuin

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Maybe divert some of those SDL billions to UIF...

It's impossible to get a cent of that money out of SETA anyway.
 

NarrowBandFtw

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the fund would become “financially unsound” in the event of continuing heavy job losses
when did it become "sound" anyway? thought UIF has been bankrupt for decades, or is it suddenly solvent because "emergency covid funding"?
 

grok

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Are we even able to say bleak anymore?

I mean, sensitivities and all that..
 

tin4444

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UIF is one of the better run systems. There was even talk of reducing premiums paid into it a few years ago and extending payout terms for those that need it.

That being said, in this climate, the money there will also run out rather quickly.
 

Shaun108

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The Skills Development Lie is sucking up billions from our salaries. What happened ...
 

supersunbird

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UIF is one of the better run systems. There was even talk of reducing premiums paid into it a few years ago and extending payout terms for those that need it.

That being said, in this climate, the money there will also run out rather quickly.
They did increase benefits received a year or 2 ago, longer payout period for example.
 

surface

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UIF is one of the better run systems. There was even talk of reducing premiums paid into it a few years ago and extending payout terms for those that need it.

That being said, in this climate, the money there will also run out rather quickly.
Perhaps from a money distribution sense. I sent email to ufilingsupport@labour.gov.za 7 working days ago and haven't even received acknowledgment. Call centre directs me to send mail after clicking many options and there is no way to contact.
 

Mystic Twilight

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UIF is one of the better run systems. There was even talk of reducing premiums paid into it a few years ago and extending payout terms for those that need it.

That being said, in this climate, the money there will also run out rather quickly.
The only better run systems are the ones that take money from you, anything that involves anything else like giving back doesn't work.
 

vigras rojara

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In other words you have no ****ing clue. Thought so.
Well how would I have a ****ing clue? Government paid internships exist and many companies take advantage of this.

If you had the remotest idea of the employment framework and running a business in SA you'd know this.
 
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