Short time should be used as an alternative to retrenchment, meaning that the employee continues to work for the employer and earn an income, even though it is reduced. It is meant to be a temporary measure only, although the law does not specify exactly how long it can be used, so it could be for a few days, a week, or months.
Can I claim UIF for being put on short time?
Yes. You can claim part of the benefits you would have received if you were completely unemployed.
This also counts, for example, for workers like domestic workers and gardeners who have more than one employer and then lose their job at one of the employers – i.e., they work Mondays at Mr A’s house and Tuesdays at Mr B’s house and Mr A has now said he can no longer afford to employ them and must let them go. They still have employment at other houses, but have lost a portion of their employment and will be able to claim from UIF because of this.
Remember though that you need to have been contributing to the UIF in order to claim from it.
How much UIF will I get?
Your payout is calculated by the Fund based on what you were earning, as well as a sliding scale that has a maximum income threshold. If you earned less than the maximum, you can get a percentage of your income. If you earned more than the maximum, you can only get a percentage of the threshold amount. According to SARS, the current maximum threshold is R17 712 per month or R212 544 annually (since 1 June 2021). However, your industry may have sectoral determinations or collective agreements in place, so be sure to check these as well.
Scorpion members can ask our lawyers all the questions they want and get help with UIF. Join Scorpion by going to www.scorpion.biz or leave a comment on our Facebook page.
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* This is only basic legal advice and cannot be relied on solely. The information is correct at the time of being sent to publishing.