COVID-19 UIF Quick Reference Guide
Should you have any queries over the content or processes to follow within this blog, please contact our support team via support@simplepay.co.za.
Update 21 April: The Department of Employment and Labour has opened a dedicated UIF toll free hotline, running 8am – 10pm Monday to Friday. The number is 0800 030 007.
7 April 2020: Closure of the labour offices for in person applications. Rechannelling of applications to interactive methods.
Update 3 April: Functionality has been added for the production of individual UI 19 forms.
In an effort to alleviate payroll strain and to simplify the various UIF codes and forms for employers to understand, we have put together a summary of how these all work.
UIF CODES
The Unemployment Insurance Fund (UIF) has allowed for existing Employment Status Codes, 10, 14 and 17, to be used when submitting the monthly UIF declaration for employees whose employment has been negatively impacted by the COVID-19 pandemic. The below table outlines when these codes should be used in relation to COVID-19, but does not outline how these codes are used for employees not impacted by COVID-19.
Employment Status Code | When to Use It | Additional Information |
UIF 10 – Illness leave |
– The employee is diagnosed by a medical practitioner as having COVID-19 and is unable to work. – On agreement between the employer and employee, the employee has self-isolated to remove themselves from society (for 14 days) and is unable to work from home. |
|
UIF 14 – Business Closed |
– There is a complete cessation of employment. i.e. even after the 21 day lockdown, the employee will not be returning to work. |
This will normally be the case when the business ceases to operate. |
UIF 17 – Reduced Working Time |
– The employee is put on reduced hours due to lockdown or business needs. – The employee has been sent home for the 21-day lockdown period, but is expected to return to work when the lockdown is lifted. |
It does not have to be certain that they will return at the point that lockdown ends, this merely has to be the original intention. It is advisable that if you intend to reopen and it seems likely at the time of ending an employee’s service, employers should go for this over code 14, as it means that employees can rely on the 3 months of UIF payments. |
The above codes can be used when ending an employee’s service, permanently or temporarily, due to COVID-19. When ending an employee’s service with codes 10 or 17, please also immediately capture their reinstatement using the date on which you foresee the employee returning to work. This will allow SimplePay to populate the correct date ranges and amounts when generating individual UI-19s and UI2.7s (functionality coming soon). For more information on ending an employee’s service on SimplePay, refer to the following help pages:
UIF Forms
We have listed the various forms below that need to be completed when applying for employee UIF benefits.
Employees can submit applications themselves via uFiling or can use the contact details listed in the Easy Aid Guide.
It is worth noting that if the employer has all the relevant documents from the employee, they will be able to file the application on their employee’s behalf, by emailing the completed documents to their provincial UIF processing centre, which are listed in the Easy Aid Guide above.
SimplePay currently generates the consolidated UI 19 for monthly submission to the UIF. We are glad to inform you that we have now also created the individual version of this form, which employers will be able to complete and provide to their employees to claim the UIF benefit.
Temporary Closure / Reduced Hours
Document | Purpose | Information Required | Completed by |
UI 19 (individual version) | An individual version is submitted by the employee when applying for benefits. |
– Employer details: UIF employer reference number, PAYE ref number, business name & Address, contact info. – Employee details: Name, ID number, gross remuneration paid (monthly), hours worked, employment start and end date, reason for termination, contributor? |
Employer |
UI 2.1 | Application form for UIF by employee |
– ID / passport number – DOB – Name & address – Contact number, email – Occupation – Signature |
Employee |
UI 2.7 | Remuneration of employee whilst still employed |
– Name of the employee – ID number of employee – Employer’s UIF ref. number – Date the employee has been on leave since – Remuneration in date ranges leading up to leave. – Expected return date – Actual return date – Employer signature |
Employer |
UI 2.8 | Application to pay benefits into a bank account |
– Name of employee – Identity number – Signed and dated – Proof of bank account This needs to be stamped by the bank. Most straightforward is to get a stamped statement. |
Employee’s bank |
Letter by employer | Confirming company shutdown due to COVID-19 |
Diagnosed with or Suspected of Contracting COVID-19
Document | Purpose | Information Required | Completed by |
Employer confirmation letter | Agreement that employee must self quarantine |
– Employer name and ID number – Employee name and UIF reference number – Date range – Signature |
Employer |
Employee declaration letter | Agreement that employee must self quarantine |
– Employer name and ID number – Employee name and UIF reference number – Date range – Signature |
Employee |
UI 2.2 | Application for illness benefit |
– Employee full name, ID, DOB, gender – Address, contact number & email – Tick box and signature |
Employee, UIF official |
UI 2.7 | Remuneration of employee whilst still employed |
– Name of the employee – ID number of employee – Employer’s UIF ref. number – Date the employee has been on leave since – Remuneration in date ranges leading up to leave. – Expected return date – Actual return date – Employer signature |
Employer |
UI 2.8 | Application to pay benefits into a bank account |
– Name of employee – Identity number – Signed and dated – Proof of bank account This needs to be stamped by the bank. Most straightforward is to get a stamped statement. |
Employee’s bank |
Procedure to Claim UIF Benefits
For more information on the steps required to claim UIF benefits, refer to the following sections in our COVID-19 Lockdown – 27 March to 16 April 2020 blog:
- Procedure for Healthy Employees Impacted by Reduced Hours or Temporary Closure to Claim UIF benefits
- Procedure for Employees who are Suspected or Diagnosed with COVID-19 to Claim UIF benefits
Should you have any queries over the content or processes to follow within this blog, please contact our support team via support@simplepay.co.za.