Baldwin Fudumele from Katlehong, Ekurhuleni is having problems getting his provident fund payout and UIF payments after his father died in 2002. Baldwin said he applied for the UIF and the provident benefits as he is a beneficiary. He was told he needed to get a letter of authority, which he only received this year. When he went back to follow up on his claim and to submit the letter for the payouts, he was told he couldn’t claim because the benefits had lapsed.
WHAT I DID
I spoke to SCORPION LEGAL PROTECTION SERVICES lawyers to find out what Baldwin should do.
In terms of the old UIF Act which was in place at the time when Baldwin’s father passed away, Baldwin, his siblings or his mother should have applied for the benefits within six months after the father’s death. The UIF is administered by the Department of Labour.
Unfortunately, as Baldwin didn’t apply within six months the benefits have lapses and he can no longer claim the funds. Provident fund benefits do not lapse, unless the fund which was administering the benefits is bankrupt.
Usually with provident fund benefits a worker, in this case, Baldwin’s father, will nominate beneficiaries to receive the benefits. If the beneficiaries have not come forward the trustees of the fund will try to trace the beneficiaries. If they can’t trace them, the trustees will place the money in a preservation fund. Baldwin needs to find out who the provident fund administrator was and contact them.
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