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advantage and disadvantage of the unemployment insurance act

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  • The UIF provides benefits (such as unemployment, maternity, etc.) to workers who have been working and become unemployed for various reasons, so the business is not solely responsible to make provision in this regard.
  • Businesses only contribute 1% (of a total of 2%) towards UIF, therefore reducing the expenses of providing UIF benefits themselves.
  • Affordable contributions may make it possible for businesses to appoint substitute workers in some instances.
  • As the UIF also pays out to dependants of deceased contributors, the business cannot be held responsible in this regard.
answered by Master (629k points)