Since the Unemployment Insurance Fund (UIF) began dispersing payments as part of the Temporary Employee Relief Scheme, the system has been beset by fraud.
As a result the UIF has had to implement a few new measures to the system to combat instances of fraud.
Moving forward, applicants will be required to enter either the Enterprise number (CK/CIPC) or the ID number of the bank account holder in the TERS portal. This is required to verify banking details against the claimant.
“This requirement which may seem onerous is critical to ensure banking details are verified before any TERS payment is authorized. Failure to populate the system properly will unfortunately lead to more delays in the payment process,” UIF Commissioner, Teboho Maruping explains.
The commissioner says that reports of fraud have prompted the organisation to take further action. The unfortunate product of this is that payments may now be delayed.
“This situation has created a need for us to do an upfront account verification and validation before the payment is made, and we expect this to increase our turnaround time by two days as the accounts are verified and validated to ensure that fraud at company level is eliminated and reduced as far as possible,” Maruping added.
To date the UIF has paid over R30 billion which covers nearly 7 million workers from 539 953 employers.