Unemployment Insurance Act, 2001 (Act No. 63 of 2001)

Chapter 3 : Claiming Benefits

Part A : Right to benefits

13. Calculation of benefits

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(1)Subject to subsection (2), for purposes of calculating the benefits payable to a contributor, the daily rate of remuneration of a contributor, subject to the prescribed maximum, must be determined—
(a)if paid monthly, by multiplying the monthly remuneration by 12 and dividing it by 365;
(b)if paid weekly, by multiplying the weekly remuneration by 52 and dividing it by 365.

 

(2)If the contributor’s remuneration fluctuates significantly from period to period, the calculation must be based on the average remuneration of that contributor over the previous six months.

 

(3)
(a)Subject to subsections (5) and (5A), a contributor’s entitlement to benefits in terms of this Chapter accrues at a rate of one day’s benefit for every completed four days of employment as a contributor subject to a maximum accrual of 365 days benefit in the four year period immediately preceding the day after the date of ending of the period of employment in terms of this Chapter.
(b)Unemployment benefits must be paid to the unemployed contributor regardless of whether or not the contributor has received benefits within that four year cycle, if the contributor has credits.

[Section 13(3) substituted by section 9(a) of Notice No. 1305, GG 42062, dated 27 November 2018 (Labour Laws Amendment Act, 2018) - effective 1 March 2019]

 

(4)For purposes of determining completed days of employment as contemplated in subsection (3), the period includes –
(a)the day that a contributor commenced employment and runs up to and including the day on which employment was terminated; and
(b)any period in respect of which—
(i)an employee was paid remuneration in lieu of notice;
(ii)a merchant seaman received remuneration in terms of section 140 of the Merchant Shipping Act, 1951 (Act No. 57 of 1951).

 

(5)
(a)The days of benefits that a contributor is entitled to in terms of subsection (3) may not be reduced by the payment of maternity benefits in terms of Part D of this Chapter.
(b)The payment of maternity benefits may not affect the payment of unemployment benefits.

[Section 13(5) substituted by section 5(b) of Notice No. 35, GG 40557, dated 19 January 2017 (Unemployment Insurance Amendment Act, 2016)]

 

(5A)

(a)The days of benefits that a contributor is entitled to in terms of subsection (3) may not be reduced by the payment of—
(i)parental benefits in terms of Part DA;
(ii)adoption benefits in terms of Part E; or
(iii)commissioning parental benefits in terms of Part EA, of this Chapter.
(b)The payment of parental benefits, adoption benefits or commissioning parental benefits may not affect the payment of unemployment benefits.

[Section 13(5A) inserted by section 9(b) of Notice No. 1305, GG 42062, dated 27 November 2018 (Labour Laws Amendment Act, 2018)]

 

(6)If an application for benefits is made within the four year cycle of a previous claim, the Fund must subtract the number of days in respect of which benefits have already been paid in that cycle.

[Section 13(6) substituted by section 5(c) of Notice No. 35, GG 40557, dated 19 January 2017 (Unemployment Insurance Amendment Act, 2016)]