UASA Media Release: 27 January 2026
Image source: National Employers’ Association of South Africa.
Statement by Abigail Moyo, spokesperson of the trade union UASA:
UASA welcomes the recent decision by the Minister of Employment and Labour to strengthen the protection of workers’ pension and provident fund contributions in South Africa.
Previously, labour inspectors could not enforce the seven-day payment requirement for retirement fund contributions to the respective retirement fund by employers.
For years, many workers have been disadvantaged by employers who deduct pension or provident fund contributions from salaries but fail to pay these funds on time or at all. This unlawful practice has left workers vulnerable, often only discovering the shortfall when leaving employment, accessing two pot withdrawals or trying to access their benefits.
On 13 January 2026, the Minister issued a section 50(9)(a) notice withdrawing the 2003 exclusion. Section 34A of the Basic Conditions of Employment Act (BCEA) now applies immediately to benefit funds governed by the Pension Funds Act.
The withdrawal of the long-standing exemption now allows labour inspectors to monitor, investigate, and enforce the payment of benefit fund contributions. This is a critical step in closing an enforcement gap that has affected workers for many years.
Workers contribute to pension and provident funds expecting their savings to be available when needed, yet many have been disappointed after years of contributions. It is encouraging that these enforcement measures send a clear message that non-compliant employers will be held accountable.
UASA believes this development will protect workers’ hard-earned retirement savings, enforce employer accountability, and strengthen confidence in the retirement fund system.
UASA members and workers are encouraged to remain vigilant, review their benefit fund statements, and report any irregularities to the labour department.
For further enquiries or to set up a personal interview, contact Abigail Moyo at 065 170 0162.
