Many employers often face compliance orders relating to issues such as underpayment and others that affect their relations with employees or former workers. If you are not compliant with statutory provisions of the labour laws, you will be served with a compliance order. For instance, you may be served with this order if you don’t register your employees for the unemployment insurance fund (UIF). To avoid such a scenario, you can get a certificate of compliance. Read on to learn how to apply for a UIF certificate of compliance.
What Is Proof of Compliance With UIF?
Proof of compliance with UIF is a certificate or UIF letter of good standing which confirms that the employer is complying with the requirements at the time of issuance of the document. UIF has certain requirements that should be met by every employer. For example, if you are an employer, you should ensure that all employees are registered for UIF, have their banking details, and contribute monthly to the fund on their behalf.
When you apply for a certificate of compliance, UIF will verify whether you are adhering to a set of requirements that should guide the operations of all employees. A certificate of compliance is a legal statement showing that the employer has met the required criteria.
The certificates are designed to protect the interests of the employees and employers. If the employer is UIF compliant, they reduce the risk of litigation from disgruntled employees. However, some employers often commit fraud by deducting UIF from employees but fail to pay it over to SARS.
How to Apply for a UIF Certificate of Compliance?
If you are an employer, you need to visit your nearest Department of Labour office and obtain the UI-8 or UI-8D and UI-19 forms. Complete the forms, including relevant sections for employees. You must have a reference number and include it on each form. You can leave the part open if you do not have a reference number. The UIF will create a reference number and send it to the employer.
You need to download the application letter for good standing or a certificate of compliance. When you complete the necessary forms, you should submit them together with the application letter to your nearest labour centre. Double-check all the details to ensure accuracy.
Alternatively, you can get your UIF certificate of compliance online. Applying online is a simple process, and the service can be used by employers, tax practitioners, and agents. To apply online, visit the UIF compliance certificate website at the following address: uifcompliance.labour.gov.za. You will be directed to the site’s homepage. Remember that you should be registered for uFiling to use the free online service to apply for a letter of good standing.
When you are directed to the homepage, click on the “Login” option, which will prompt you to enter your ID number, password, and reference number. Without a UIF reference number
When you are done, the system will generate your certificate. You can print it as a document or download it as a PDF. The process of generating a UIF certificate online is fast and convenient since it takes about 10 minutes.
How Long Does It Take To Get a UIF Certificate?
There are two options you can consider to apply for a UIF certificate. If you choose to do it manually, you will get your letter of good standing within 10 working days from the date of submission of the request. UIF first verifies if your declarations and contributions for your workers are correct and up to date. Manual verification of documents usually takes time since UIF may need to contact other third parties.
If the information you provide is not up to date, UIF will request you to update it within 30 calendar days. If you fail to provide correct details, your matter will be referred for an audit at the UIF’s Employer Audit Services. This will delay the issuance of your UIF certificate of compliance.
The online application method has significantly reduced the time to process the certificate. You can perform the entire process in the comfort of your home, and your letter of good standing will be ready within 10 minutes. You must register on the system using your UIF certificate number to be able to apply for the document.
What Proof Is Required as Evidence of Compliance?
All employers must gather the necessary information required to support the application for a UIF compliance certificate. You must provide employees’ details such as ID numbers, banking details, period of employment, addresses, and contribution status. You also need to provide your details, which can include your ID number, address, banking details, phone number, and UIF reference number. When you gather all the necessary documents, you must present them to the UIF representative for verification before you are issued the certificate.
Employers with commercial or domestic workers must register them for the unemployment insurance fund (UIF). The fund is designed to provide financial assistance to registered and contributing members when they lose their jobs or apply for maternity or adoption leave. Therefore, employers are expected to be compliant with the regulations to protect the interests of the employees. One way of doing this is to apply for a UIF certificate of compliance.