JOHANNESBURG - Business Unity South Africa (BUSA) has withdrawn from the Unemployment Insurance Fund (UIF) board.
It is also pulling out of all NEDLAC's UIF structures.
BUSA says this is due to little progress after years of efforts to address governance and operational failures.
It says repeated reform efforts through Nedlac have failed to produce meaningful change.
It says this leaves contributors continuously facing delays in accessing benefits.
The group is now calling on the Labour Minister, Nomakhosazana Meth to place the fund under administration.
BUSA says there should be a full investigation to protect vulnerable workers.
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It says workers cannot be expected to continue funding a system that fails to deliver when it is most needed.
The call comes as labour federations COSATU, SAFTU and NACTU also urge interventions at the UIF.