What happens to my UIF contributions if I resign

Last Updated on September 21, 2023 by ufiling

UIF stands for Unemployment Insurance Fund, which is a fund established by the South African government to provide temporary relief to workers who become unemployed, either through retrenchment or dismissal. As a worker, you contribute 1% of your salary to the UIF fund, while your employer contributes an equal amount on your behalf.

If you resign from your job, you may be wondering what happens to your UIF contributions. Firstly, it’s important to note that you are not entitled to UIF benefits if you resign voluntarily. UIF benefits are only available to workers who lose their jobs due to retrenchment or dismissal. Therefore, when you resign, your UIF contributions will remain in the fund, and you will not be able to claim any benefits from it.

However, there is an exception to this rule. If you resign due to circumstances beyond your control, such as a serious illness or a death in the family, you may be eligible to claim UIF benefits. In such cases, you will need to provide evidence to support your claim, such as medical certificates or death certificates.

In summary, if you resign from your job, your UIF contributions will remain in the fund, and you will not be able to claim any benefits from it unless you resign due to circumstances beyond your control. It’s important to keep in mind that UIF benefits are intended to provide temporary relief to workers who have lost their jobs involuntarily, and they should not be seen as a substitute for a regular income.

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