The Unemployment Insurance Act and Unemployment Insurance Contributions Act applies to all employers and workers, but not to workers working less than 24 hours a month for an employer; learners; public servants; and foreigners working on contract to be repatriated at the end of their contract.
The purpose of the Unemployment Insurance Act No. 63 of 2001 is to provide security to employees when they become unemployed.
You cannot claim if you receive benefits from the Compensation Fund; if you receive benefits from an unemployment fund under the Labour Relations Act. Employees can also not claim if they resign from their job, refuse training and advice from the Fund, or are suspended from claiming due to fraud. The Department of Labour often offers training to unemployed individuals, in order to ensure that they are employable.
Unemployment Insurance can be claimed by employees if their employers are bankrupt, if their contract have ended and if they are dismissed.
Employees have to claim within six months after they stopped working, and will receive payment until their benefit is depleted or start working again.
Payments are made into the claimant’s bank account, and no tax is payable on the benefit.
In a nutshell, employees are not entitled to Unemployment Insurance Benefits when they resign.
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