[DATE OF COMMENCEMENT: 1 APRIL, 2002]ACT

To establish the Unemployment Insurance Fund;

to provide for the payment from the Fund of unemployment benefits to certain employees, and for the payment of illness, maternity, adoption and dependant’s benefits related to the unemployment of such employees;

to provide for the establishment of the Unemployment Insurance Board, the functions of the Board and the designation of the Unemployment Insurance Commissioner; and to provide for matters connected therewith.

3. Application of this Act.

(1) This Act applies to all employers and employees, other than

(a) employees employed for less than 24 hours a month with a particular employer, and their employers;

(b) employees under a contract of employment contemplated in section 18(2) of the Skills Development Act, 1998 (Act No. 97 of 1998), and their employers;

(c) employees in the national and provincial spheres of government who are officers or employees as defined in section 1 (1) of the Public Service Act, 1994 (Proclamation No. 103 of 1994), and their employers;

(d) persons who enter the Republic for the purpose of carrying out a contract of service, apprenticeship or learnership within the Republic if upon the termination thereof the employer is required by law or by the contract of service, apprenticeship or learnership, as the case may be, or by any other agreement or undertaking, to repatriate that person, or that person is so required to leave the Republic, and their employers; and

(e) persons who receive a monthly pension as contemplated in section 14(a)(i) and their employers.

CHAPTER 2

UNEMPLOYMENT INSURANCE FUND

4. Establishment of Unemployment Insurance Fund.

(1) The Unemployment Insurance Fund is hereby established.

(2) The Fund consists of-

(a) the contributions made by employers and employees and collected by the Commissioner of the South African Revenue Service in terms of the Unemployment Insurance Contributions Act;

(b) the contributions made by employers and employees and collected by the Commissioner in terms of the Unemployment Insurance Contributions Act;

(c) money appropriated by Parliament;

(d) any penalties and fines imposed in terms of this Act other than by a court of law;

(e) any interest or return on investment made by the Fund;

(f) any money paid erroneously to the Fund which, in the opinion of the Director-General, cannot be refunded;

(g) any bequest or donation received by the Fund;

(h) any movable or immovable property purchased or otherwise acquired by the Fund; and

(i) any other money to which the Fund may become entitled.

5. Application of Fund.

The Fund must be used for the-

(a) payment of benefits in terms of this Act;

(b) reimbursement of excess contributions to employers;

(c) payment of-

(i) remuneration and allowances to members of the Unemployment Insurance Board and its committees; and

(ii) any other expenditure reasonably incurred and relating to the application of this Act.