DA not confident about government’s ability to pay UIF claims

There is a voice note making the rounds on social media of the DA’s shadow Minister of Labour Michael Bagraim saying UIF claims will not be paid out by the end of April because the state’s system is not equipped to carry the millions of claims.

He based his statements on a statement the Minister of Employment and Labour, Thulas Nxesi, made that the UIF call centre initially experienced systematic problems due to an influx of calls.

He said government had enough money to facilitate the pay-outs, however, the UIF system would hold back the processes.

Bagraim said the government’s system was not equipped to facilitate the huge amount of claims and many people would go “hungry” because of a “delay” in pay-outs.

He said government’s decision to go into lockdown suggested it would be able facilitate the economic woes.

“Clearly the department of employment and labour has not done its homework.”

Bagraim said should government not pay the claims, small businesses would be hit the hardest.

He called for SARS to take over the processes and “ensure” that people get paid.

“I think our government has lied to the people, the minister (Nxesi) said people would get paid their salaries, he was wrong.

“The law states quite clearly, no work no pay.”

DA spokesperson Azola Mboniswa confirmed the legitimacy of the voice note.

On Monday Nxesi visited the UIF labour centre handling “massive numbers” of claims from companies whose employees are in financial distress due to the Covid-19 lockdown.

Nxesi said due to the influx of calls from laid-off workers and employers in distress, the centre initially experienced system failures.

He said the department received assistance from a call center agency, Harambee, and since then the system has improved.

Nxesi was confident that the department’s initiatives in beefing up the call center capacity would be able to carry the millions of claims.

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