POLITICS

Workers are paying highest price for UIF’s alleged corruption – NUMSA

Union says many families’ have been suffering without any kind of income since June

Workers are paying the highest price for the UIF’s alleged corruption

19 September 2020

The National Union of Metalworkers of South Africa (NUMSA) is deeply concerned about workers in the aviation sector who have not been paid their money from the UIFs Temporary Employee Relief Scheme (TERS) for the months of July and August. Workers at Airchefs, BidAir services, Swissport and also Menzies Aviation have all not received TERS payments for the months of July and August.

The UIF has confirmed in a media statement dated the 11th of September 2020 that due to evidence of corruption and financial mismanagement in the disbursement of TERS funds at the UIF that payments have been temporarily stopped, in order to correct the weaknesses in the system. It said the following:

“The payments for the new and outstanding applications for the COVID-19 TERS relief benefits has been halted while the Department of Employment and Labour and the Unemployment Insurance Fund (UIF) improve controls as urged by the Auditor General of South Africa.”

The AG’s report into corruption at the UIF has led to the UIF Commissioner Teboho Maruping being placed on suspension. The UIF says the temporary halt in payments is necessary in order to implement changes to tighten financial controls. However, they did not say when they will begin to disburse TERS payments again and this is extremely worrying. We urge the department to speedily resolve its processes and to begin to effect TERS payments urgently. Our members are suffering. Some have had their vehicles repossessed, other have been evicted, and they are unable to basic foodstuffs. It is wrong that workers who had nothing to do with the irregular, and corrupt activities in the department are paying the highest price

Meanwhile the TERS benefit will continue to pay out until the Disaster Management Act expires at the end of October. The department has also given new dates for TERS claims and they are broken down as follows:

Covid-19 TERS benefit applications for March 2020 to May 2020 will close on September 25, 2020.

Covid-19 Ters benefit applications for June 2020 will close on October 15, 2020.

Covid-19 Ters benefit applications for July to September 15, 2020 shall close on October 30, 2020.

No further applications for the above periods will be accepted beyond the cut-off dates given.

The department has said in its statement that the closing date will not affect claims that have already been submitted, as they will be processed and paid once the outstanding information is finally submitted to the fund.

Our members and their families’ have been suffering without any kind of income since June. It is unfair that the alleged corruption of UIF officials results in the delay in payment and in workers going without any financial relief. From the time that government raised the proposal of TERS payments being made by the UIF we raised concerns about the possibilities of the system failing workers because of inefficiencies we had experienced from the department in the past. We have unfortunately been proven correct. The department has a duty to correct these flaws in the system, without prejudicing workers and causing them to suffer at the same time.

Aluta continua!

The struggle continues!

Issued by Phakamile Hlubi-Majola, NUMSA National spokesperson, 19 September 2020