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<\/a><\/figure>\n\n\n\nFollowing their inclusion as formal employees, giving access to a Compensation Fund and UIF, stakeholders are now calling for domestic workers to qualify for pensions in South Africa.\u00a0<\/p>\n\n\n\n
In 2023, the government included domestic workers as formal employees due to the prevalence of the domestic sector in South Africa.<\/p>\n\n\n\n
This means anyone who employs or wants to employ a domestic worker in South Africa must follow the Basic Conditions of Employment Act (BCEA) and the Sectoral Determination for Domestic Workers (SDDW).<\/p>\n\n\n\n
These amended regulations also mean domestic workers are eligible for the Unemployment Insurance Fund (UIF) and the Compensation for Occupational Injuries and Diseases Act (COIDA), and should be registered for such. <\/p>\n\n\n\n
The UIF applies to any worker earning over R1,000 a month, so a minimum-wage domestic worker qualifies.<\/p>\n\n\n\n
With UIF, employers must deduct 1% of each employee\u2019s remuneration and match this amount, totalling 2% of the employee\u2019s remuneration.<\/p>\n\n\n\n
Despite this progress, domestic workers are not benefiting, mainly due to the lack of awareness and administrative burden for employers. <\/p>\n\n\n\n
Domestic worker platform SweepSouth noted that in 2024, only 7% of workers in its annual survey were registered for UIF. In addition, most (59%) of workers had never heard of COIDA or its implications.<\/p>\n\n\n\n
According to Stats SA, about 850,000 people, most of them women, are employed as domestic workers in South Africa, contributing 5.2% to total employment.<\/p>\n\n\n\n
\u201cEmployers still don\u2019t see themselves in a formal position when hiring a domestic worker. That mindset needs to change,\u201d said Progressive Domestic Workers Union of SA (Prodwusa)’s secretary general, Thato Maleka. <\/p>\n\n\n\n
\u201cThese are recognised workers with rights, and employers must understand their obligations\u2014starting with contracts, UIF registration, and more.\u201d<\/p>\n\n\n\n
Prodwusa pointed out that pensions are a significant concern among domestic workers’ challenges. <\/p>\n\n\n\n
“Domestic workers work in informal or sometimes isolated settings where there’s little job security or access to benefits such as pensions,” said Thato Maleka. <\/p>\n\n\n\n
“Despite working many years and dedicating their lives to this work, most domestic workers retire with nothing or very little to show for it.”<\/p>\n\n\n\n
As a result, Prodwusa has decided to call on the government to take meaningful action to secure the futures of domestic workers by creating pension funds for them. <\/p>\n\n\n\n
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