Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19

 
Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19
UNEMPLOYMENT INSURANCE FUND

                 Annual Performance Plan
                __________________________________________________________
                             MTEF and Annual Performance Plan 2018/19

UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19
First published in 2018, by the Unemployment Insurance Fund (UIF)

    Copyright © 2018

    Directorate: Communication & Marketing

    Pretoria, South Africa

    ISBN: 978-0-621-46181-7

    RP78-2018

2
                                         UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                             2018/19
Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19
TABLE OF CONTENTS
                Foreword by Minister                                                 4
                Foreword by the Accounting Authority                                 5
                Commissioner’s Statement                                             6
                Official Sign-Off                                                    8

       PART A: STRATEGIC OVERVIEW

       1. Situational Analysis                                                   10
          1.1    Performance Delivery Environment
          1.2    Organisational Environment

       		        1.2.1 Vision, Mission, Strategic Objectives, Outputs,
       			              Key Performance Indicators, Critical Success Factors &
       			Values                                                                  11
       		        1.2.2 Current Organizational Structure                          12
       		        1.2.3 Organizational structure description per programme        13
       2. Revision to Legislative and Other mandates                             15
       3. Overview of the 2018/19 Budget and MTEF Estimates                      16
          3.1    Expenditure Estimates

       PART B: PROGRAMME AND SUB-PROGRAMME PLANS
       2018/19-2020/21
       SERVICE DELIVERY OUTCOMES AND STRATEGIC
       GOALS                                                                     18

       4.
        Programme Performance Indicators                                         19
        4.1   Strategic Objective and annual targets for MTEF and APP
       		2018/2019
        4.2   Quarterly Performance Target for 2018/19                           23

       Technical Indicator Descriptions (ANNEXURE A)                             28

                                                                                 3
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19
FOREWORD BY MINISTER
                                                       •        Realising an efficient, effective and
                                                                development orientated public service
                                                                and an empowered and inclusive
                                                                citizenship; and,
                                                       •        An inclusive and responsive
                                                                social protection system.

                                                       The UIF has aligned its objectives and
                                                       resources to contribute in making these
                                                       outcomes a reality. Over the next year, we will
                                                       work very closely with our stakeholders in order
                                                       to leverage and enhance service
                                                       delivery.

                                                       We have set ourselves challenging
                                                       milestones through this APP and we commit to
                                                       the implementation thereof, working very closely
                                                       with all our social partners. We also look for-
                                                       ward to the stewardship and guidance from the
                                                       Members of Parliament as they go about in their
                                                       oversight activities working very closely with all
                                                       our social partners.
The Annual Performance Plan (APP) is guided
by the Strategic Plan (SP) of the Unemployment
Insurance Fund (UIF) and it is an instrument that
is designed to give real meaning to the strategic
programme of action of the department and by
extension, government. The APP for the
period 2018/19-2020/21 contains UIF’s set of
action plans to give effect to the strategic
priorities that are set by the Department of
Labour (DoL) for this period. The strategic
objectives and outputs contained in this APP are
central to the UIF’s
activities and are geared towards enhancing
service delivery outcomes such as:

•       The creation of decent employment
        through inclusive economic growth;

Signed:
______________________________________

MN OLIPHANT, MP
MINISTER OF LABOUR
(EXECUTIVE AUTHORITY OF THE DEPARTMENT OF LABOUR)

    4
                                                    UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                        2018/19
Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19
FOREWORD BY THE ACCOUNTING AUTHORITY
                                                                         •     Collaborate with stakeholders to
                                                                               improve compliance with UIF Acts;
                                                                         •     Provide easy to use services through
                                                                               multiple access points; and
                                                                         •     Enhance employability of UIF
                                                                               beneficiaries, enable entrepreneurship
                                                                               and preserve jobs.

                                                                         These strategic objectives were derived from the
                                                                         four strategic outcomes targeted over the five
                                                                         year strategic plan period which are informed by
                                                                         three of the fourteen government outcomes:
                                                                         (i)     Decent employment through inclusive
                                                                                 economic growth;
                                                                         (ii)    An efficient, effective and development
                                                                                 orientated public service and an
                                                                                 empowered inclusive citizenship; and
                                                                         (iii)   An inclusive and responsive social
                                                                                 protection services.

       The Unemployment Insurance Fund (UIF) is a                        UIF has targeted the following strategic outcome
       public entity of the Department of Labour (DoL)                   oriented goals:
       and is one of the key social security agencies in                 •      Improve revenue collection from
       the country. In pursuing its mandate, the UIF’s                          employers;
       Annual Performance Plan (APP) is guided by its                    •      Improve benefit payment to
       strategic plan which reflects plans for the periods                      beneficiaries;
       2018/19 - 2022/23.                                                •      Participate in government initiatives of
                                                                                creating and sustaining decent
       OVERVIEW OF THE UIF STRATEGY                                             employment; and
       In the next five years UIF will pursue the                        •      Ensure effective administration of UIF
       following six strategic objectives:                                      operations.

       •                                      The UIF recognises that to achieve its objectives
                Ensure financial sustainability;
       •                                      it must develop performance measures for each
                Strengthen institutional capacity of
                the Fund;                     financial year and constantly monitor and
       •        Improve service delivery;     evaluate its performance. The Auditor
                                              General has identified gaps in the reporting
                                              methods applied on UIF investments and in some
                                              areas relating to performance information, which
                                              led to the Fund obtaining a disclaimer audit
                                              opinion. The department has raised a concern
                                              with the Commissioner in relation to the
       Signed:
       ______________________________________ disclaimer, and he has shared a plan aptly called
                                              “Operation Clean Audit” to improve the situation.
       TM. LAMATI
                                                                         UIF has also developed the Service Delivery
       DIRECTOR GENERAL                                                  Action Plan that is anticipated to radically
                                                                         improve service delivery during the 2018/19
                                                                         financial year and beyond. Progress on the
                                                                         implementation of this plan and “Operation Clean
                                                                         Audit” will be monitored through governance
                                                                         structures of the department.

                                                                                                                      5
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19
COMMISSIONER’S STATEMENT
                                                •        Provide easy to use services through
                                                         multiple access points; and
                                                •        Enhance employability of UIF
                                                         beneficiaries, enable entrepreneurship
                                                         and preserve jobs.

                                                The number of people who benefit from the
                                                Fund increases every year and in the
                                                previous financial year we have been able
                                                cushion more than 750 000 beneficiaries
                                                against the pangs of hunger through benefits
                                                payment of more than R 8,47 billion.
                                                According to StatsSA unemployment rate
                                                remained high at 27.7% in the third quarter
                                                of 2017 and with several companies putting
                                                section 189 notices during the year, it is clear
                                                that claims for the unemployment benefit are
                                                set to increase significantly by the end of the
                                                2017/18 financial year.

                                                However, UIF is our equal to the task and
                                                contributors can rest assured that we will
                                                be able to meet our claims obligations and
                                                continue to fund poverty alleviation schemes
                                                that assist to re-skill them to increase their
                                                prospects of re-employment. The Fund has
The Unemployment Insurance Fund                 reviewed its mission, vision and objectives in
continues to play a critical role in providing  order to reposition itself as a caring,
social security in South Africa. Our new        customer-centric organisation. The
vision as the UIF is to be a caring, accessible repositioning of the Fund places the
and customer centric UIF that contributes       customer at the centre of its all activities and
towards poverty alleviation. This vision is bornthis has necessitated a major shake - up of
out of a need to improve the service we offer   our business processes, standard operating
to our customers, we want them to               guides, policies, annual targets, and service
experience a caring and courteous treatment     delivery models. A key component of this
when interacting with UIF and receive their     development is the Service Delivery Action
well - deserved benefits and the right time     Plan, which outlines key activities to be
every time.                                     embarked on to improve service delivery
Therefore the Annual Performance Plan is        within the UIF.
aligned to the following strategic objectives
that the Fund will continue to pursue in the For the first time in ten years the Fund re-
next five years:                                 ceived a disclaimer from the Auditor General.
                                                 This negative audit opinion was largely due
•      Ensure financial sustainability;          to unreliability of information on investments,
•      Strengthen institutional capacity of the and we were also found wanting in some
       Fund;                                     areas of our performance. Although this is a
•      Improve service delivery;                 blight on previous glorious performances of
•      Collaborate with stakeholders to          the Fund, we delight at the learning oppor-
       improve compliance with UIF Acts;         tunity this adversity has presented to us. UIF
                                                 management has committed to turn things
                                                 around through the “Project Clean Audit”
 6
                                               UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                   2018/19
Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19
, which outlines vigorous actions to be taken                     unemployed and those who are
      to address the AG’s findings. We are going                        retrenched. Therefore in this APP we
      to work closer with our investment partners                       have drastically increased the target to
      and the AG to address the findings and we                         450 000 in order to achieve high levels of
      are well equipped to perform better in the                        impact, while ensuring that we reach out
      next financial year and beyond.
                                                                        to as many people as possible.
      We are aware that workers are waiting in
                                                                        Sustaining sound financial performance
      bated breath for the implementation of
                                                                        and position of the UIF is dependent on
      the Unemployment Insurance
                                                                        investment intelligence in the market. The
      Amendment Act of 2016 that was
                                                                        Fund’s investment portfolio is subject to
      approved by the president. UIF has been
                                                                        market risks that we need to be
      working on regulations that are
                                                                        concerned about. The reshuffling of
      necessary to effective implementation of
                                                                        cabinet in December 2015 and the
      this Amendment Act and we are
                                                                        recent Steinhoff debacle are two
      delighted to announce that the
                                                                        examples of such market risks. The two
      regulations have been approved by the
                                                                        incidents have had a huge negative
      Minister of Labour, and sections of the
                                                                        impact on the Fund’s investments,
      Amendment Act that were taken for
                                                                        therefore it is imperative for our
      review have been approved by Parliament.
                                                                        investment strategy to be subjected to
      We anticipate that promulgation for
                                                                        constant review to ensure that we
      implementation to be announced
                                                                        respond positively to economic conditions
      before the end of the fourth quarter of
                                                                        and maximise investment returns.
      the 2018/19 financial year.
                                                                        The success of any organisation is
      The Fund is still committed to the
                                                                        dependent largely on its people and
      national imperative of job creation and
                                                                        systems. To monitor organizational
      providing skills for UIF beneficiaries in
                                                                        performance, the UIF continues on
      order to increase their chances of
                                                                        improving the performance management
      re-employment. In the previous financial
                                                                        system. In line with the government’s
      year about 6700 beneficiaries participated
                                                                        increased focus on managing
      in various poverty alleviation schemes at a
                                                                        performance information, monitoring and
      cost of more than R 160 million. Although
                                                                        evaluation the UIF is implementing
      commendable, we feel 6 700 is very low
                                                                        improved procedures to ensure
      considering the number of people who
                                                                        compliance with the National Treasury
      are...
                                                                        and Auditor General recommendations.

       ______________________________________

       T. MARUPING
       UNEMPLOYMENT INSURANCE COMMISSIONER

                                                                                                               7
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
Annual Performance Plan - UNEMPLOYMENT INSURANCE FUND MTEF and Annual Performance Plan 2018/19
OFFICIAL SIGN-OFF
It is hereby certified that this Annual Performance Plan:

•       Was developed by the management of the Unemployment Insurance Fund
        under the guidance of the Minister of Labour, MN Oliphant and Deputy
        Minister, S P Holomisa;
•       Was prepared in line with the Strategic Plan of the Unemployment Insurance
        Fund; and
•       Accurately reflects the performance targets which the Unemployment
        Insurance Fund will endeavour to achieve given the resources made available in
        the budget for 2018/19 fiscal year.

H. MHLONGO
CHIEF DIRECTOR: CORPORATE SERVICES

SIGNATURE:__________________________

NB. MNCONYWA
CHIEF DIRECTOR: LABOUR ACTIVATION PROGRAMME

SIGNATURE:__________________________

F. PUZI
CHIEF FINANCIAL OFFICER

SIGNATURE:__________________________

J. KUMBI
CHIEF DIRECTOR: OPERATIONS

SIGNATURE:__________________________

    8
                                           UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                               2018/19
T. MARUPING
       UNEMPLOYEMENT INSURANCE COMMISSIONER

       SIGNATURE:__________________________

       T. LAMATI
       DIRECTOR-GENERAL: LABOUR

       SIGNATURE:__________________________

       P. HOLOMISA, MP
       DEPUTY MINISTER: LABOUR

       SIGNATURE:__________________________

       APPROVED BY:
       M. OLIPHANT
       MINISTER OF LABOUR

       SIGNATURE:__________________________

                                                                             9
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
PART A: STRATEGIC OVERVIEW
1.      SITUATIONAL ANALYSIS

 1.1 PERFORMANCE DELIVERY
		ENVIRONMENT.

There have been no changes to the UIF’s performance delivery environment. The
Fund’s strategic and policy approach will continue to be derived from the policy
directives of the Department of Labour, Minister of Labour’s Programme of
Action and Performance Delivery Agreements. The performance target and indicators
for the current financial year were aligned with the recommendations of the Auditor
General and the National Treasury’s Framework for Managing Performance
Information and the Framework for Annual Performance and Strategic Plans as
issued by National Treasury.

This alignment has resulted in outputs, performance targets and indicators,
meeting the recommended criteria of being SMART (Specific, Measurable,
Achievable, Reliable and Time Bound). The performance indicators have also been
improved to ensure that they meet the criteria of being Reliable, Well-Defined,
Verifiable, Cost Effective, Appropriate and Relevant.

The Unemployment Insurance Board recommends to both the Minister (Executive
Authority) and the Director General Labour (Accounting Authority) the approval of
the Fund’s Strategic Plan and the Annual Performance Plan.

The Unemployment Insurance Board has overseen the process of planning and
budget preparations.

        1.2   ORGANISATIONAL ENVIRONMENT

		 1.2.1 VISION, MISSION, STRATEGIC OBJECTIVES, OUTPUTS, KEY
			      PERFORMANCE INDICATORS, CRITICAL SUCCESS FACTORS &
			VALUES.

                  VISION                                               MISSION
       A caring, accessible and customer                Through multiple channels, we will
      centric UIF that contributes towards           deliver both financial and social relief, to
               poverty alleviation                   the right person, at the right time, every
                                                                       time.

                                         VALUES
     Transparency, Mutual respect, Client-centered services, Integrity, Accountability, Team
                                 work, Caring for our people

 10
                                               UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                   2018/19
STRATEGIC OBJECTIVES

     Ensure                 Strengthen                 Improve              Collaborate      Provide easy          Enhance
    financial              institutional                service          with stakeholders to use services      employability of
  sustainability          capacity of the              delivery             to improve     through multiple           UIF
                               Fund.                                     compliance with     access points       beneficiaries,
                                                                             UIF Acts                               enable
                                                                                                               entrepreneurship
                                                                                                               and preserve jobs

                                                              OUTPUTS
    Sound                 Maintain Staff            Improve client             Improved          Improved         Enhanced
   financial              establishment                service                compliance        Technology      employability,
  management                                                                                                    preserve jobs.
                                                    Ease of doing
      Social                                          business
   responsible
   investment

                                    CRITICAL SUCCESS FACTORS

  80% of Social            Vacancy rate               90% of                  65 000 new        Free WI-FI          450 000
   Responsible              reduced to            benefits claims              registered       in 126 sites      beneficiaries
   investment                 ≤ 10%              processed within              employers                         provided with
                                                 15% working days                                SAP release    learning and/or
       100%                                                                   250 000 new      1 implemented       work place
   of invoices                                      95% of new                 employees                           experience
 paid within 30                                     companies                registered with
  calendar days                                     issued with                 the Fund                            90% of
 after receipt by                                   registration                                               Training Lay-Off
     the UIF                                     document within                                                   Scheme
                                                  2 working days                                               approved within
                                                                                                               20 working days

                                                                                                                     11
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
1.2.2 CURRENT ORGANISATIONAL STRUCTURE

                   UNEMPLOYMENT INSURANCE COMMISSIONER

                                     CHIEF                                              CHIEF
DIRECTORATE:                                                  CHIEF                 DIRECTORATE:                CHIEF
                DIRECTORATE:     DIRECTORATE:
    RISK                                                  DIRECTORATE:                 LABOUR                 FINANCIAL
               INTERNAL AUDIT     CORPORATE
MANAGEMENT                                                OPERATIONS                 ACTIVATION                OFFICER
                                   SERVICES
                                                                                    PROGRAMME

                                                                                                              Directorate:
                                Directorate: Human           Directorate:         Directorate: Labour
                                                                                                               Investment
                                     Resource                Operations                Activation
                                                                                                            Management and
                                   Management                                         Programme
                                                                                                            Actuarial Services

                                   Directorate:                                   Directorate: Labour     Directorate: Budget
                                Communications and           Directorate:
                                                                                       Activation          Expanditure and
                                   Marketing                 Compliance
                                                                                      Programme           Bank Reconciliation

                                    Directorate:                                  Directorate: Labour
                                                             Directorate:                                 Directorate: Supply
                                   Organisational                                      Activation
                                                          Provincial Support                              Chain Management
                                   Effectiveness                                      Programme

                                 Directorate: Legal
                                                                                                          Directorate: Income
                                      Services

                                     Directorate:
                                Policy Development,
                                 Strategic Planning,                                                      Directorate: Financial
                                    Monitoring &                                                                Reporting
                                     Evaluation

                                    Directorate:
                                  Information and
                                  Communication
                                    Technology

                                   Directorate:
                                  Board Services

    12
                                                      UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                          2018/19
1.2.3 ORGANISATIONAL STRUCTURE DESCRIPTION PER
       			PROGRAMME.
       A.		 PROGRAMME 1: ADMINISTRATION
       Programme purpose: To provide management, strategic and
       				               administrative support to the fund

  OFFICE OF THE CORPORATE SERVICES                                                                   CHIEF FINANCIAL
  COMMISSIONER To provide support and an enabling environment for the Fund to
                meet its strategic objectives through placing the right people at
                                                                                                     OFFICER
  Provide strategic                                                                                  Provide financial governance on
                               the right time.
  leadership and overall                                                                             financial management and
  management ragarding                                                                               accounting services of the Fund.
  the administration and
  overall operations of the
                              HUMAN RESOURCE
                                                                BOARD SERVICES
  Fund                        MANAGEMENT                        •Enhance good governance of
                              •Training and development of                                     INVESTMENT
                                                                 the organisation;
                               staff;
                                                                •Board support and
                                                                                               MANAGEMENT
                              •Maintaining sound labour                                        Provide financial governance on
  INTERNAL                     relations;                        administration;               financial management and
  AUDIT                       •Promoting equality in the        •Compliance management &       accounting services of the Fund.
  Independently                Fund;                             Governance;
  focus on reviewing the      •Performance management;          •Security management services.
  internal controls of the    •Recruitment and selection; &      Policy management
                              •Provision of service condition
                                                                                               FINANCIAL REPORTING
  Fund;                                                                                              •Compilation and submission of the
  reviewing risk               and benefits.
                                                                                                      Annual Financial Statement and
  management,                 •Protection of vulnerable
                                                                                                      Auditor General as well as
  governance processes         workers.
                                                                 LEGAL SERVICES                       publication of AFS in the annual
  and programs of the                                            •Provision of legal services         report.
  Fund                        ORGANISATIONAL                                                         •Management of financial reporting;
                                                                                                      and
                              EFFECTIVENESS                                                          •Provision of financial systems
                              •Job design and evaluation;
                                                                                                      support.
                              •Change management; and
  RISK                        •Business process
                               development and mapping
  MANAGEMENT                                                                                         EXPENDITURE, BUDGET,
  Enterprise wide risk
  management; and fraud       COMMUNICATION &                                                        AND BANK
  investigations              MARKETING                                                              RECONCILIATIONS
                              •Provision of communication                                            •Creditor and expenditure
                               services;                                                              management.
                              •Provision of marketing                                                •Claims payments;
                               services; and                                                         •Reconciliation of bank accounts; &
                              •Advertising, branding and                                             •Intergated budget planning and
                               publications.                                                          management.

                               INFORMATION &
                               COMMUNICATION                                                        SUPPLY CHAIN
                                                                  INCOME                            MANAGEMENT AND
                               TECHNOLOGY
                               •Manage the Funds projects;        MANAGEMENT                        AUXILIARY SERVICES
                               and Develop and implement          •Management of revenue & debt
                                                                                                   •Enhance supply chain
                               ICT governance model.              collection process & management
                                                                                                    management processes and
                                                                  of payroll audits & enforcement.
                                                                                                    systems to be in line with the
                                                                                                    regulatory framework and
                                                                                                    governance best practices.
                                                                                                   •Provision of intergrated financial
                                                                                                    administration and supply chain
                                                                                                    management services
                                                                                                   •Records management; &
                                                                                                   •Assets facilities management.

                                                                                                                               13
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
ABSA TOWERS, TSHWANE
                   UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                       2018/19
B.		              PROGRAMME 2: BUSINESS OPERATIONS
       Programme purpose: To collect contributions and pay benefits.
       The programme consists of the below sub-programmes:

       Chief Directorate: Operations
       •     Management and administration of benefits payments;
       •     Management and administration of declaration processes;
       •     Monitoring of provincial office performance;
       •     Provision of Call Centre services; and
       •     Registration of employers.

       C.		 PROGRAMME 3: LABOUR ACTIVATION
       		PROGRAMME
       Programme purpose: Provide strategic leadership and guidance on
       the implementation of the Labour Activation Programmes.
       Chief Directorate: Labour Activation Programme
       •     Develop strategies and policies to guide the monitoring of Labour Activation
             Programmes.
       •     Maintain partnership and network with relevant stakeholders involved in
             Labour Activation Programmes.
       •     Provide funding to the institutions identified with the responsibility of
             executing Labour Activation Programmes.

       2. REVISION TO LEGISLATIVE AND OTHER MANDATES

       There have been no significant changes to the Unemployment Insurance Fund’s
       legislative and other mandates.

                                                                                       15
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
3. OVERVIEW OF THE 2018/19 BUDGET AND MTEF ESTIMATES

     3.1 EXPENDITURE ESTIMATES

Administrative Budget of the Unemployment Insurance Fund per Programme

              TOTAL ADMINISTRATION BUDGET PER PROGRAMME

                     PROGRAMME 1: ADMINISTRATION

                       2017/2018            2018/2019                 2019/2020                 2020/2021
                      (Revised Estimate)

     Budget               R’000                R’000                     R’000                      R’000

                      R1 844 206           R2 138 262                R2 037 965                 R2 154 648

                  PROGRAMME 2: BUSINESS OPERATIONS

                       2017/2018            2018/2019                 2019/2020                 2020/2021
                      (Revised Estimate)

     Budget               R’000                R’000                     R’000                      R’000

                      R1 658 270           R1 737 722                R1 846 525                  R1 960 331

              PROGRAMME 3: LABOUR ACTIVATION PROGRAMME

                       2017/2018            2018/2019                 2019/2020                 2020/2021
                      (Revised Estimate)

     Budget               R’000                R’000                     R’000                      R’000

                         R3 124               R6 497                    R6 861                     R7 238

                       2017/2018            2018/2019                 2019/2020                 2020/2021
                      (Revised Estimate)

 Total Budget             R’000                R’000                     R’000                      R’000
                      R3 505 600           R3 882 481                 R3 891 351                 R4 122 217

16
                                           UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                               2018/19
OVERVIEW OF THE 2018/19 BUDGET AND MTEF ESTIMATES

            Programmes                            2017/2018           2018/2019    2019/2020    2020/2021
                                                 (Revised Estimate)

          Programme 1:
                                                 R1 844 206           R2 138 262   R2 037 965   R2 154 648
          Administration
      Strategic Objective:                       R1 844 206           R2 138 267   R2 037 965   R2 154 648
      Ensure Financial Stability

       Programme 2:
                                                 R1 658 270           R1 737 722   R1 846 525   R1 960 331
     Business Operations
      Strategic Objective:
       Improve Service Delivery
                                                 R1 647 980           R1 723 120   R1 831 105   R1 944 063

    Improve Compliance To The
   Unemployment Insurance Act                      R10 290              R14 602     R15 420      R16 268

           Programme 3:
                                                    R3 124              R6 497       R6 861      R7 238
    Labour Activation Programmes

      Strategic Objective:
   Enhance employability of UIF beneficiaries,      R3 124              R6 497       R6 861      R7 238
   enable entreprneurship and preserve jobs.

          Grand Total for
                                                 R3 505 600           R3 882 481   R3 891 351   R4 122 217
           Programmes:

                                                                                                     17
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
PART B: PROGRAMME AND SUBPROGRAMME PLANS
2018/19-2020/21
SERVICE DELIVERY OUTCOMES AND STARETEGIC
GOALS

In the medium term, the UIF will contribute mainly on the following outcomes:

•        Outcome 4: Decent employment through an inclusive economic growth;
•        Outcome 12: An efficient, effective and development oriented public service
         and an empowered and inclusive citizenship; and
•        Outcome 13: An inclusive and responsive social protection system.

The Fund will contribute mainly to the following strategic objectives of the
Department of Labour:

•        Contribute to decent employment creation
         (DOL strategic objective 1, Outcome 4);

•        Strengthening social protection
         (DOL strategic objective 5, Outcome 13); and

•        Strengthening institutional capacity of the Department of labour
         (DOL strategic objective 8, Outcome 12).

Unemployment Insurance Fund’s strategic objectives:

•        Ensure financial sustainability
         (DOL strategic objective 8, Outcome 12);

•        Strengthen institutional capacity of the Fund
         (DOL strategic objective 8, Outcome 12).

•        Improve service delivery
         (DOL strategic objective 5, Outcome 13);

•        Collaborate with stakeholders to improve compliance with UIF Acts
         (DOL strategic objective 3 & 5, Outcome 13);

•        Provide easy to use services through multiple access points
         (DOL strategic objective 3 & 5, Outcome 13);and

•        Enhance employability of UIF beneficiaries, enable entrepreneurship
         and preserve jobs
         (DOL strategic objective 6, Outcome 4);

    18
                                            UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                2018/19
4.        PROGRAMME PERFORMANCE INDICATORS

        4.1 STRATEGIC OBJECTIVE AND ANNUAL TARGETS FOR MTEF AND
       		APP 2018/2019

       PROGRAMME 1: ADMINISTRATION

       Purpose: provide management, strategic and administrative support services to the
       Fund.

       There are no changes to the budget structure.

       Strategic Objective 1: Ensure Financial Sustainability

                  PROGRAMME
                                           AUDITED/ACTUAL                                      ESTIMATED
                                                                                                                 MEDIUM TERM TARGETS
 OUTPUT          PERFORMANCE                PERFORMANCE                                      PERFORMANCE

                   INDICATOR
                                       2014/15 2015/16 2016/17                               2017/18            2018/19        2019/20        2020/21
                 Percentage of
                                          10%             9.9%             11.1%   ≤ 15% by   ≤ 15% by   ≤ 15% by                              ≤ 15% by
                 Administrative
                  expenditure                                           (2038016/ March 2018 March 2018 March 2018                            March 2018
                   (excluding                                           18239065
                     capex)                                              x100) of
  Sound                                                                   admin
                  maintained
 financial                                                             expenditure
management                                                             as at March
                                                                           2017

                   Percentage of       New Indicator   New Indicator    New Indicator        New Indicator     100% within 30 100% within 30 100% within 30
                 valid invoices paid                                                                            calendar days  calendar days  calendar days
                 within 30 calendar                                                                            by March 2019 by March 2020 by March 2021
                 days after receipt
                     by the Fund

             Percentage of 85% (R7 930m)               68% ( Total             85%          80% by March 80% by March 80% by March 80% by March
                                                                         (R 20 935 691
                  total       of the total              invested/                               2018         2019        2020          2021
                                                                          043/24704
    Social     mandated     mandated So-               Committed          553x100) of
                 Social    cial Responsible
 responsible                  Investment
                                                       R7 688m)         total mandated
                                                                       social responsible
 investment Responsible       invested by                              investment com-
              Investment     March 2014                                mitted by March
              committed                                                       2017.

       Strategic Objective 2: Strengthen Institutional Capacity of The Fund

                  PROGRAMME
                                           AUDITED/ACTUAL                                      ESTIMATED
                                                                                                                 MEDIUM TERM TARGETS
 OUTPUT          PERFORMANCE                PERFORMANCE                                      PERFORMANCE

                   INDICATOR
                                       2014/15 2015/16 2016/17                               2017/18            2018/19        2019/20        2020/21
                                          14.7%           20.3%             22.9%            Vacancy rate       Vacancy rate   Vacancy rate   Vacancy rate
     Staff        Percentage of                                                               reduced by         reduced to     reduced to     reduced to
 establishment     vacancy rate                                                              10% byMarch          ≤ 10% by       ≤ 10% by       ≤ 10% by
  maintained         reduced.                                                               2018 (Baseline      March 2019     March 2020     March 2021
                                                                                            is 22.9 as at 31
                                                                                              Mach 2017)

                                                                                                                                              19
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
PROGRAMME 2: BUSINESS OPERATIONS

      Purpose: To collect contributions and pay benefits.

      There are no changes to the budget structure.

      Strategic Objective 3: Improve Service Delivery

                                                    AUDITED/ACTUAL
                     PROGRAMME
                                                     PERFORMANCE
                                                                                   ESTIMATED
                                                                                 PERFORMANCE       MEDIUM TERM TARGETS
OUTPUT              PERFORMANCE
                      INDICATOR
                                            2014/15 2015/16         2016/17       2017/18        2018/19         2019/20          2020/21
                   Percentage of valid        90%         84%         89%        90% within      90% within      90% within       90% within
                 claims (Unemployment
                 benefit) with complete                                          15 working      15 working      10 working       10 working
                  information approved                                             days by         days by         days by          days by
                    or rejected within                                           March 2018      March 2019      March 2020       March 2021
                 specified time frames.

                    Percentage of valid       92%         88%         87%       90% within 5     90% within      90% within 5     90% within 5
                     claims (In-service                                         working days     10 working      working days     working days
                   benefits; Maternity,
                   illness and adoption
                                                                                 by March          days by        by March         by March
                 benefits) with complete                                           2018          March 2019         2020             2021
                  information approved
                     or rejected within
                  specified time frames.
  Improved
Client Service      Percentage of valid
                                              91%         82%         89%        90% within 10 90% within 20      90% within      90% within 15
                     claims (Deceased
                                                                                  working days  working days      20 working       working days
                  benefit) with complete
                 information approved or                                         by March 2018 by March 2019     days by March    by March 2021
                      rejected within                                                                                2020
                  specified time frames.

                                                                                     95% of
                  Percentage of benefit                                                           95% within 6    95% within 4    95% within 3
                  payment documents
                                              New         New         New           payment
                                                                                                  working days    working days    working days
                   created after receipt    indicator   indicator   indicator      documents
                                                                                                 by March 2019         by              by
                  within specified time                                            processed
                                                                                                                  March 2020      March 2021
                          frame.                                                 within within 7
                                                                                 working days
                                                                                  of receipt by
                                                                                 31 March 2018

                    Percentage of new         New         New         New        90% within 2     95% within 2  100% within 2     100% within 2
                    companies created                                            working days     working days working days by     working days
                           with a           indicator   indicator   indicator
                                                                                 by 31 March     by March 2019 March 2020         by March 2021
                  registration document
                                                                                     2018
                 (UI54) within 2 working
                           days.

Ease of doing
  business            Percentage of
                     applications with
                                              New         New         New            New        90% within 10    95% within 10   100% within 10
                  complete information      indicator   indicator   indicator      indicator     working days    working days     working days
                 issued with compliance                                                         by March 2019         by               by
                   certificates or tender                                                                         March 2020      March 2021
                 letter within 10 working
                            days

       20
                                                                     UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                                         2018/19
Strategic Objective 4: Collaborate With Stakeholders To Improve Compliance With
       UIF Acts

                                                 AUDITED/ACTUAL
                 PROGRAMME
                                                  PERFORMANCE
                                                                                                ESTIMATED
                                                                                              PERFORMANCE         MEDIUM TERM TARGETS
 OUTPUT         PERFORMANCE
                  INDICATOR
                                     2014/15            2015/16             2016/17           2017/18            2018/19            2019/20             2020/21
                Number of newly      4 % (61,198) by   3.49% (53 261) by   58 531 by March   60 000 by March   65 000 by March        70 000 by           75 000 by
                  registered          March 2015.         March 2016.            2017             2018              2019             March 2020           March 2021
                 employers per
                     year

  Improved
 compliance
                Number of newly      New indicator      New indicator       New indicator     New indicator    250 000 by March 250 000 by March 250 000 by March
                  registered                                                                                         2019             2020             2021
                employees with
                  the Fund.

       Strategic Objective 5: Provide Easy To Use Services Through Multiple Access Points

                                                 AUDITED/ACTUAL
                 PROGRAMME
                                                  PERFORMANCE
                                                                                                ESTIMATED
                                                                                              PERFORMANCE         MEDIUM TERM TARGETS
 OUTPUT         PERFORMANCE
                  INDICATOR
                                     2014/15            2015/16             2016/17           2017/18            2018/19            2019/20             2020/21
                    Number of        New indicator      New indicator       New indicator     New indicator     126 provincial     50 provincial sites 50 provincial sites
                  provincial sites                                                                              sites by March      by March 2020       by March 2021
                  upgraded with                                                                                       2019
                   free Wi-Fi to
                     access UIF
                      systems.

  Improved
 Technology
                 Integrated claims   New indicator      New indicator       New indicator     New indicator    Develop, test and   Develop, test and     Implement in
                    management                                                                                 deploy release 1    deploy release 2     all provinces by
                  System (ICMS)                                                                                 by March 2019       by March 2020         March 2021
                   implemented.

                                                                                                                                                        21
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
PROGRAMME 3: LABOUR ACTIVATION PROGRAMMES

      Purpose: To enhance employability.

      There are no changes to the budget structure.

      Strategic Objective 6: Enhance Employability of UIF Beneficiaries, Enable
      Entrepreneurship and Preserve Jobs.

                                              AUDITED/ACTUAL
                 PROGRAMME
                                               PERFORMANCE
                                                                                            ESTIMATED
                                                                                          PERFORMANCE         MEDIUM TERM TARGETS
OUTPUT          PERFORMANCE
                  INDICATOR
                                   2014/15          2015/16          2016/17             2017/18             2018/19          2019/20           2020/21
                 Number of UIF        5084 UI         3258 UI            6 000               5 000         450 000 by March    1 000 000 by      2 000 000 by
                   beneficiaries   beneficiaries/   beneficiaries                                                2019          March 2020         March 2021
 Enhanced         provided with    In-training by     trained
                 learning and/or    March 2015
employability
                    work place
                    experience
                  opportunities

                 Percentage of     New indicator    New indicator     5 applications     100% within 20      90% within 20     90% within 15     95% within 15
                Training Lay-off                                        received 2       working days by    working days by   working days by   working days by
    Job          Scheme (TLS)                                        approved and 3        March 2018.        March 2019        March 2020        March 2021
preservation      applications                                      rejected within 30
                 with complete                                             days.
                  information
                  approved or
                rejected by the
                   delegated
                authority within
                    specified
                  timeframes.

      22
                                                                           UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                                               2018/19
4.2       QUARTERLY PERFORMANCE TARGETS FOR 2018/2019

       PROGRAMME 1: ADMINISTRATION

       Strategic Objective 1: Ensure Financial Sustainability

                                                                                         ANNUAL
                               PROGRAMME                                  REPORTING                                 QUARTELY TARGETS
 OUTPUT                                                                                  TARGET
                          PERFORMANCE INDICATOR                             PERIOD
                                                                                       2018/19              1st           2nd             3rd            4th
                                                                          QUARTERLY      ≤ 15% by           ≤ 15%          ≤ 15%          ≤ 15%          ≤ 15%
                    1.1     Percentage of administrative expenditure                    March 2019
                                 (excluding capex) maintained
 Sound financial
  management
                                                                          QUARTERLY    100% within 30    100% within    100% within    100% within     100% within
                    1.2     Percentage of valid invoices paid within 30               calendar days by   30 calendar    30 calendar    30 calendar     30 calendar
                             calendar days after receipt by the Fund.                    March 2019         days           days           days            days

      Social                   Percentage of total mandated social        QUARTERLY    80% by March         20%            40%            60%              80%
                    1.3         responsible investment committed
   responsible                                                                             2019
   investment

        Strategic Objective 2: Strengthen Institutional Capacity of The Fund

                                                                                         ANNUAL
                               PROGRAMME                                  REPORTING                                 QUARTELY TARGETS
 OUTPUT                                                                                  TARGET
                          PERFORMANCE INDICATOR                             PERIOD
                                                                                       2018/19              1st           2nd             3rd            4th
      Staff                    Percentage of vacancy rate reduced.        QUARTERLY     Vacancy rate       Reduce         Reduce         Reduce          Reduce
                    1.4                                                               reduced to ≤ 10%   vacancy rate                  vacancy rate   vacancy rate
  establishment                                                                                                         vacancy rate
   maintained                                                                          by March 2019       to ≤ 15%       to ≤ 13%       to ≤ 11%       to ≤ 10%

                                                                                                                                                      23
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
PROGRAMME 2: BUSINESS OPERATIONS

      Strategic Objective 3: Improve Service Delivery

                                                                                           ANNUAL
                             PROGRAMME                                     REPORTING                                 QUARTELY TARGETS
OUTPUT                                                                                     TARGET
                        PERFORMANCE INDICATOR                                PERIOD
                                                                                          2018/19              1st           2nd             3rd             4th
                          Percentage of valid claims (Unemployment                        90% within 15  90% within 15    90% within 15   90% within 15   90% within 15
                         benefit) with complete information approved       QUARTERLY
                                                                                         working days by working days     working days    working days    working days
                           or rejected within specified time frames                        March 2019

                  2.1

                             Percentage of valid claims (In-service        QUARTERLY      90% within 10 90% within 10     90% within 10   90% within 10   90% within 10
                                 benefits; Maternity, illness and                        working days by working days     working days    working days    working days
                               adoption benefits) with complete                            March 2019
                            information approved or rejected within
                  2.2                specified time frames

Improved Client
    Service
                            Percentage of valid claims (Deceased                          90% within 20 90% within 20 90% within 20 90% within 20 90% within 20
                         benefit) with complete information approved        QUARTERLY
                                                                                         working days by working days working days working days working days
                           or rejected within specified time frames                        March 2019

                  2.3

                          Percentage of benefit payment documents                         95% within 6     95% within 6   95% within 6    95% within 6    95% within 6
                          created after receipt within specified time       QUARTERLY
                                                                                         working days by   working days   working days    working days    working days
                                            frame.                                        March 2019

                  2.4

      Strategic Objective 3: Improve Service Delivery

                                                                                           ANNUAL
                             PROGRAMME                                     REPORTING                                 QUARTELY TARGETS
OUTPUT                                                                                     TARGET
                        PERFORMANCE INDICATOR                                PERIOD
                                                                                          2018/19              1st           2nd             3rd             4th
                         Percentage of new companies created with          QUARTERLY                       95% within 2   95% within 2    95% within 2    95% within 2
                                                                                         95% within 2
                          a registration document (UI54) within 2                                          working days   working days    working days    working days
                                                                                        working days by
                                        working days.
                  2.5                                                                    March 2019

Ease of Doing
  Business
                          Percentage of applications with complete         QUARTERLY     90% within 10  90% within 10     90% within 10   90% within 10 90% within 10
                              information issued with compliance                        working days by working days      working days    working days working days
                  2.6    certificates or tender letter within 10 working                  March 2019
                                              days

       24
                                                                                 UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                                                     2018/19
Strategic Objective 4: Collaborate with Stakeholders To Improve Compliance With
       UIF Acts

                                                                                    ANNUAL
                            PROGRAMME                               REPORTING                                  QUARTELY TARGETS
 OUTPUT                                                                             TARGET
                       PERFORMANCE INDICATOR                          PERIOD
                                                                                  2018/19                1st           2nd          3rd            4th
                         Number of newly registered employers per    QUARTERLY     65 000 by            15 000         20 000       15 000        15 000
                                           year                                    March 2019

                  2.7

    Improve
   compliance

                         Number of newly registered employees by     QUARTERLY     250 000 by           60 000         80 000       60 000        50 000
                                       the Fund                                    March 2019

                  2.8

       Strategic Objective 5: Provide Easy To Use Services Through Multiple Access Points

                                                                                   ANNUAL
                         PROGRAMME                                  REPORTING                                  QUARTELY TARGETS
 OUTPUT                                                                            TARGET
                    PERFORMANCE INDICATOR                             PERIOD
                                                                                 2018/19                 1st           2nd          3rd           4th
                         Number of provincial sites upgraded with   QUARTERLY     126 provincial          32             48           20            26
                            free Wi-Fi to access UIF systems                     sites by March
                                                                                       2019
                 2.9

    Improved
   Technology
                          Integrated claims management System                      Develop, test         Reports      Developed    Release 1   Post Go- Live
                                   (ICMS) implemented               QUARTERLY
                                                                                    and deploy        requirements    and tested   Go - Live    support and
                                                                                 release 1 reports         and          reports                maintenance
                 2.10                                                             by March 2019       specification
                                                                                                     confirmed and
                                                                                                        signed off

                                                                                                                                               25
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
PROGRAMME 2: LABOUR ACTIVATION PROGRAMMES

       Strategic Objective 6: Enhance Employability of UIF Beneficiaries, Enable
       Entrepreneurship and Preserve Jobs

                                                                                       ANNUAL
                              PROGRAMME                                 REPORTING                             QUARTELY TARGETS
OUTPUT                                                                                 TARGET
                         PERFORMANCE INDICATOR                            PERIOD
                                                                                     2018/19            1st          2nd            3rd           4th
                             Number of UIF beneficiaries provided                       450 000        10 000        300 000       100 000       40 000
                                                                        QUARTERLY
                           with learning and/or work place experience
   Enhanced                               opportunities
 employability,
    enabled        3.1
entrepreneurship
 and preserved
      jobs

                           Percentage of Training Lay-off Scheme                      90% within 20 90% within 20 90% within 20 90% within 20 90% within 20
                               (TLS) applications with complete         QUARTERLY    working days by working days working days working days working days
                           information approved or rejected by the                     March 2019
                             delegated authority within specified
Job preservation   3.2                   timeframes.

        26
                                                                             UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                                                 2018/19
27
UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
ANNEXURE A
   TECHNICAL INDICATOR DESCRIPTIONS: PROGRAMME 1.

   1.1
Indicator title             Percentage of Administrative expenditure ( excluding capex)
                            maintained
Short definition            Measure the administrative expenditure as a percentage of
                            revenue.
Purpose/importance          To maintain administrative expenditure at ≤ 15% of revenue
Source/collection of data   Monthly Financial Statement and Trial Balance
Evidence to be submitted    Signed calculation of administrative expenditure (exculding capex)
                            as a percentage of revenue in a PDF format
Method of calculation       Total administration expenditure (breakdown of all figures) divided
                            total revenue multiplied by 100%
Data limitations            None
Type of indicator           Output
Calculation type            Non-cumulative
Reporting cycle             Quarterly
New indicator               No
Desired performance         Administration expenditure to be ≤ 15%
Indicator responsibility    Chief Financial Officer
   1.2
Indicator title             Percentage of valid invoices paid within 30 calendar days after
                            receipt by the Fund.
Short definition            Measures the percentage and turnaround time to pay suppliers
                            with valid invoices. (Valid invoice means certification of the invoice
                            by the SCM. All valid invoices paid within 30 days of receipt as per
                            PFMA and Treasury Regulations.
Purpose/importance          To pay all valid invoices in compliance with the PFMA and Treasury
                            Regulations
Source/collection of data   Computron financial system – AP Trade sub-module
Evidence to be submitted    Age analysis report from the financial systems and signed off
                            summary of age invoices in a PDF format.
Method of calculation       Count the number of invoices paid within 30 days divided by the
                            number of invoices received by the fund multiplied by 100.
                            Invoice received date by the Fund (SCM) (As per date stamp)
Data limitations            None
Type of indicator           Output
Calculation type            Non-cumulative
Reporting cycle             Quarterly
New indicator               No
Desired performance         Compliance with Prescripts by paying valid invoices within 30 days
Indicator responsibility    Chief Financial Officer

    28                                        UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                  2018/19
1.3
  Indicator title                              Percentage of total mandated social responsible investment
                                               committed
  Short definition                             Percentage of the approved asset allocation committed in a social
                                               responsible investment. This is the percentage of the total market
                                               value of the Fund’s portfolio as at the beginning of the financial
                                               year. Closing balance as at 31 March 2017 multiplied by 20% =
                                               mandated social responsible investment.
                                               Committed means a specific amount of money budget for
                                               particular project.
  Purpose/importance                           Tracks how much of the fund’s total investments are committed to
                                               achieve a desired level of social impact.
  Source/collection of data                    Investment report from Public Investment Corporation
  Evidence to be submitted                     Signed report of the transferred amount in a PDF format and proof
                                               of payment dated within the period under review.
  Method of calculation                        Mandated social responsible investment multiplied by 80% = the
                                               annual amount to be invested.
                                               Cumulative amount invested for the period under review divided by
                                               mandated social responsible investment multiplied by 100.
  Data limitations                             None
  Type of indicator                            Output
  Calculation type                             Cumulative
  Reporting cycle                              Quarterly
  New indicator                                No
  Desired performance                          80% of total mandated social responsible investment committed
  Indicator responsibility                     Chief Financial Officer

       1.4
  Indicator title                              Percentage of vacancy rate reduced.
  Short definition                             Percentage of vacant funded posts on the establishment of the
                                               Unemployment Insurance Fund reduced
  Purpose/importance                           To reduce the vacancy rate of the Fund
  Source/collection of data                    Persal system
  Evidence to be submitted                     Persal report as on the last day of the month
  Method of calculation                        Vacancy rate = total number of funded vacant posts divided by the
                                               total staff complement multiplied by 100
  Data limitations                             None
  Type of indicator                            Output
  Calculation type                             Cumulative
  Reporting cycle                              Quarterly
  New indicator                                Yes
  Desired performance                          Vacant funded posts on the establishment of the Unemployment
                                               Insurance Fund reduced to ≤ 10% by March 2019
  Indicator responsibility                     Chief Director: Corporate Services

UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
                                                                                                         29
TECHNICAL INDICATOR DESCRIPTIONS: PROGRAMME 2

   2.1
Indicator title             Percentage of valid claims (Unemployment benefit) with complete
                            information approved or rejected within specified time frames.
Short definition            A percentage of total valid claims with complete information
                            received are approved or rejected within 15 working days (excluding
                            weekends and public holidays).
Purpose/importance          The indicator tracks how long it takes to approve or reject a valid
                            claim with complete information.
Source/collection of data   SIYAYA operations system/Oracle
Evidence to be submitted    ICT PDF report
Method of calculation       Number of valid claims with complete information approved or
                            rejected within 15 working days (excluding weekends and public
                            holidays) divided by total number of valid claims with complete
                            information received for the period multiplied by 100. Counting will
                            be done based on the following two scenarios:

                            I:    If the employment history/last supporting document receipt
                                  date is after application date, we use the employment
                                  history/last supporting document receipt date to calculate
                                  the turnaround time.
                            II:   If the employment history/last supporting document receipt
                                  date is before or equal to the application date, we use the
                                  application date to calculate the turnaround time.
Data limitations            Access to system limited to certain IT personnel.
Type of indicator           Output
Calculation type            Cumulative
Reporting cycle             Quarterly
New indicator               No
Desired performance         90% of total valid claims with complete information received are
                            approved or rejected within 15 working days (excluding weekends
                            and public holidays).
Indicator responsibility    Chief Director: Operations

    2.2
Indicator title             Percentage of valid claims (In-service benefits; Maternity, illness
                            and adoption benefits) with complete information approved or
                            rejected within specified time frames.
Short definition            A percentage of total valid claims with complete information
                            received are approved or rejected within 10 working days (excluding
                            weekends and public holidays).
Purpose/importance          The indicator tracks how long it takes to approve or reject a valid
                            claim with complete information.
Source/collection of data   SIYAYA operations system/Oracle
Evidence to be submitted    ICT PDF report

    30                                       UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                 2018/19
Method of calculation                        Number of valid claims with complete information approved or
                                               rejected within 10 working days (excluding weekends and public
                                               holidays) divided by total number of valid claims with complete
                                               information received for the period multiplied by 100. Counting will
                                               be done based on the following two scenarios:

                                               I:    If the employment history/last supporting document receipt
                                                     date is after application date, we use the employment
                                                     history/last supporting document receipt date to calculate
                                                     the turnaround time.
                                               II:   If the employment history/last supporting document receipt
                                                     date is before or equal to the application date, we use the
                                                     application date to calculate the turnaround time.
  Data limitations                             Access to system limited to certain IT personnel.
  Type of indicator                            Output
  Calculation type                             Cumulative
  Reporting cycle                              Quarterly
  New indicator                                No
  Desired performance                          90% of total valid claims with complete information received are
                                               approved or rejected within 15 working days (excluding weekends
                                               and public holidays).
  Indicator responsibility                     Chief Director: Operations

       2.3
  Indicator title                              Percentage of valid claims (Deceased benefit) with complete
                                               information approved or rejected within specified time frames.
  Short definition                             A percentage of total valid claims with complete information
                                               received are approved or rejected within 20 working days
                                               (excluding weekends and public holidays).
  Purpose/importance                           The indicator tracks how long it takes to approve or reject a valid
                                               claim with complete information.
  Source/collection of data                    SIYAYA operations system/Oracle
  Evidence to be submitted                     ICT PDF report
  Method of calculation                        Number of valid claims with complete information approved or
                                               rejected within 20 working days (excluding weekends and public
                                               holidays) divided by total number of valid claims with complete
                                               information received for the period multiplied by 100. Counting will
                                               be done based on the following two scenarios:

                                               I:    If the employment history/last supporting document receipt
                                                     date is after application date, we use the employment
                                                     history/last supporting document receipt date to calculate
                                                     the turnaround time.
                                               II:   If the employment history/last supporting document receipt
                                                     date is before or equal to the application date, we use the
                                                     application date to calculate the turnaround time.
  Data limitations                             Access to system limited to certain IT personnel.
  Type of indicator                            Output

UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
                                                                                                            31
Calculation type            Cumulative
Reporting cycle             Quarterly
New indicator               No
Desired performance         90% of total valid claims with complete information received are
                            approved or rejected within 15 working days (excluding weekends
                            and public holidays).
Indicator responsibility    Chief Director: Operations

   2.4
Indicator title             Percentage of benefit payment documents created after receipt
                            within specified time frame.
Short definition            What percentage of payment documents are created within 6
                            working days (excluding weekends and public holidays) of receipt.
                            Payment documents are: UI-3; UI-4; UI-5; UI-6A
Purpose/ importance         Benchmark enables the fund to track the created of payment
                            documents after receipt
Source/collection of data   Siyaya Operating system/Oracle and SAP
Evidence to be submitted    ICT PDF report
Method of calculation       The payment documents receipt date is compared against the
                            capture date. The numbers of payments documents created on the
                            siyaya system within six working days (excluding weekends and
                            public holidays) from receipt date are divided by total number of
                            payment documents received for the period and the quotient is
                            multiplied by 100.
                            (total payments documents excludes documents for first payments
                            in respect of In Service benefits, Death Benefits and re-issues)
Data limitations            Access is limited to certain personnel
Type of indicator           Output
Calculation type            Cumulative
Reporting cycle             Quarterly
New indicator               Yes
Desired performance         95% of payment documents are created within 6 working days
                            (excluding weekends and public holidays) of receipt.
Indicator responsibility    Chief Director: Operations

   2.5

Indicator title             Percentage of new companies created with a registration
                            document (UI54) within 2 working days.
Short definition            Tracks the percentage and turnaround time to create registration
                            document (UI54) to new companies after receipt of documents.
                            Registration document is a UI 54 document.
Purpose/importance          Capture or create registration document to new companies on
                            time.

    32                                       UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                 2018/19
Source/collection of data                    Siyaya Operating system/Oracle
  Evidence to be submitted                     ICT PDF report
  Method of calculation                        The number of new companies created with a registration
                                               document (UI54) within 2 working days after receipt of complete
                                               documents divided by the total number of new companies created
                                               issued with registrations documents multiplied by 100. The
                                               counting will start from Receipt date until the create date on the
                                               system.
  Data limitations                             Access is limited to certain personnel
  Type of indicator                            Output
  Calculation type                             Cumulative
  Reporting cycle                              Quarterly
  New indicator                                No
  Desired performance                          95% of new companies with complete information created with
                                               registration document within 2 working days.
  Indicator responsibility                     Chief Director: Operations

       2.6

  Indicator title                              Percentage of applications with complete information issued with
                                               compliance certificates or tender letter within 10 working days
  Short definition                             Issue compliance certificates or tender letters for applications
                                               received that contain complete information, e.g. all required
                                               documentation provided and declarations and contributions are
                                               up to date on the date of application. The response can either be
                                               compliant or non-compliant.
  Purpose/importance                           To issue compliance certificates or tender letters to complying
                                               applicants within the stipulated turnaround time.
  Source/collection of data                    Allocation registers
  Evidence to be submitted                     Manual registers
  Method of calculation                        The number of applications with complete information issued with
                                               compliance certificates or tender letter within 10 working days
                                               divided by the total applications with complete information
                                               received multiplied by 100. Counting starts from the date (working
                                               Date) an email is received by the fund until the date the certificate
                                               or letter is issued.
  Data limitations                             None
  Type of indicator                            Output
  Calculation type                             Cumulative
  Reporting cycle                              Quarterly
  New indicator                                Yes
  Desired performance                          90% of applications with complete information issued with
                                               compliance certificates or tender letter within 10 working days
  Indicator responsibility                     Chief Director: Operations

UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
                                                                                                            33
2.7

Indicator title             Number of newly registered employers per year
Short definition            Number of new employers registered with the Fund for the first
                            time
Purpose/importance          Track the number of new employers registered with the Fund
Source/collection of data   SIYAYA System//Oracle
Evidence to be submitted    ICT PDF report
Method of calculation       A count of new employers registered with the Fund for the first
                            time during the financial year (1 April to 31 March)
Data limitations            None
Type of indicator           Output
Calculation type            Non-Cumulative
Reporting cycle             Quarterly
New indicator               No
Desired performance         65 000 newly registered employers
Indicator responsibility    Chief Director: Operations

   2.8
Indicator title             Number of newly registered employees with the Fund
Short definition            The indicator is to determine the coverage of employees in the
                            country registered by the UIF
Purpose/importance          The indicator tracks the number of people registered by
                            Unemployment Insurance as defined in the UI Act.
Source/collection of data   Siyaya system/Oracle
Evidence to be submitted    ICT PDF report
Method of calculation       A count of new employees registering with the Fund for the first
                            time during the financial year (1 April to 31 March).
Data limitations            Employer declarations
Type of indicator           Output
Calculation type            Non-Cumulative
Reporting cycle             Quarterly
New indicator               Yes
Desired performance         250 000 newly registered employees
Indicator responsibility    Chief Director: Operations

   2.9
Indicator title             Number of provincial sites upgraded with free Wi-Fi to access UIF
                            systems
Short definition            The indicator is about the network upgrade at provincial sites which
                            includes (labour centres, visiting points and satellite offices).
Purpose/importance          To improve network speed when accessing UIF systems.
Source/collection of data   Test certificates and Sign-off certificates from provinces.

    34                                       UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                 2018/19
Evidence to be submitted                     Sign-off certificate per each site approved by the Chief Director
                                               Provincial Operations/ Provincial representative
  Method of calculation                        Simple count
  Data limitations                             Procurement processes
  Type of indicator                            Activity
  Calculation type                             Non-cumulative
  Reporting cycle                              Quarterly
  New indicator                                Yes
  Desired performance                          Upgrade 126 ICT infrastructures on provincial sites and free WiFi to
                                               access UIF systems.
  Indicator responsibility                     Director: ICT

      2.10

 Indicator title                              Integrated claims management System (ICMS) implemented
 Short definition                             Implementation of SAP: Enterprise Resource Plan system

 Purpose/importance                           To improve turnaround time of processing claims
 Source/collection of data                    SAP:ERP system
 Evidence to be submitted                     Finance reports generated from the SAP:ERP system
 Method of calculation                        None

 Data limitations                             Procurement systems and business not supporting / committing on
                                              a go-live date.
 Type of indicator                            Output
 Calculation type                             Non-Cumulative
 Reporting cycle                              Quarterly
 New indicator                                Yes
 Desired performance                          Integrated claims management System (ICMS) implemented
 Indicator responsibility                     Director: ICT

       TECHNICAL INDICATOR DESCRIPTIONS: PROGRAMME 3.

       3.1.
  Indicator title                              Number of UIF beneficiaries provided with learning and/or work
                                               place experience opportunities
  Short definition                             Learning and/or work place experience opportunities provided to:
                                               •      ≥ 70% UIF contributors; and
                                               •      ≤ 30% non- UIF contributors.
  Purpose/importance                           To support employment intervention measures (include but not
                                               limited to Enhancing employability jobs preservation and enterprise
                                               development etc.)
  Source/collection of data                    Different stakeholder information (external e. g. TVET, SETAs, etc.)

UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
2018/19
                                                                                                           35
Evidence to be submitted    Enrolment or placement list from the contracted institution’s
                            system
Method of calculation       Count the number of UIF beneficiaries provided with learning and/
                            or work place experience opportunities as per approved project in
                            line with the 70%/30% split.
Data limitations            None
Type of indicator           Output
Calculation type            Non-Cumulative
Reporting cycle             Quarterly
New indicator               Yes
Desired performance         450 000 UIF beneficiaries provided with learning and/or work
                            place experience opportunities
Indicator responsibility    Chief Director: Labour Activation

   3.2

Indicator title             Percentage of Training Lay-off Scheme (TLS) applications with
                            complete information approved or rejected by the delegated
                            authority within specified timeframes.
Short definition            Percentage of complete applications from companies
                            approved or rejected by the delegated authority within 20 working
                            days. Complete information is when CFO has supported the
                            recieved information.
Purpose/importance          The indicator tracks the percentage and turnaround time to
                            approve or reject the applications for approval by delegated
                            authority. The approval of TLS applications will assist companies in
                            preserving jobs.
Source/collection of data   Checklist and the supporting documents.
Evidence to be submitted    Signed by delegated authority.
Method of calculation       Number of TLS applications with complete information approved or
                            rejected by delegated authority within 20 working days divided by
                            total number of complete applications recieved multiplied by 100.
                            Counting of 20 days commence upon the CFO’s signature to the
                            approval / reject by delegated authority.
Data limitations            Turnaround time to get required documentation from the company
                            and the endorsement from the SETA.
Type of indicator           Output
Calculation type            Cumulative
Reporting cycle             Quarterly
New indicator               Yes
Desired performance         90% of applications with complete information approved / rejected
                            within 20 working days.
Indicator responsibility    Chief Director: LAP

    36                                       UNEMPLOYMENT INSURANCE FUND ANNUAL PERFORMANCE PLAN FOR THE FINANCIAL YEAR
                                                                                                                 2018/19
You can also read
NEXT SLIDES ... Cancel