The Unemployment Insurance Fund (UIF) is taking decisive action to address delays in stipend payments for participants in the Labour Activation Programme (LAP), which have been attributed to administrative discrepancies and attempts at fraud by some partnering companies. A recent review conducted by the UIF has identified opportunities for improving administrative accuracy, prompting the organization to enhance its review processes for invoices and attendance records submitted by these partners. This proactive approach is expected to lead to more reliable and timely distribution of stipends to beneficiaries.
In addition to strengthening its review processes, the UIF is streamlining stipend payments by implementing an electronic payment system and hiring short-term contractors to assist with invoice processing. Internal resources have also been reallocated to provide additional support to the Labour Activation Programme. The UIF is committed to closely investigating any discrepancies and will take necessary action against any partnering companies suspected of engaging in unscrupulous practices.
Acting Director General Jacky Molisane has assured beneficiaries that a sufficient budget has been allocated for stipend payments for employability programmes in the current financial year. She emphasized that stipends will be disbursed in accordance with established procedures, reinforcing the Department's commitment to ensuring that all qualifying beneficiaries receive their payments promptly and efficiently.
Ms. Molisane also cautioned beneficiaries against resorting to violence or vandalism as a means of expressing their concerns, as such actions could have serious repercussions and hinder their integration into the labour activation programme and the broader job market. The Department is dedicated to adhering strictly to the processes of the Labour Activation Programme and reserves the right to take legal action against any party that undermines or contravenes established protocols as outlined in existing agreements.
Participants and stakeholders are reminded that the programme must remain impartial and free from external influence. Efforts to involve individuals who do not meet eligibility criteria compromise the integrity of the process and should be avoided to ensure that the programme's objectives are achieved without undue pressure.