Labour Relations Act, 1995 (Act No. 66 of 1995)

Notices

Bargaining Council for the Furniture Manufacturing Industry

KwaZulu Natal

Extension to Non-Parties of the Provident Fund and Mortality Benefit Association Collective Agreement

Chapter lll

19. Mortality benefits

Purchase

Upon the death of a member who had not attained the age of 65 years at the time of his death and on behalf of whom the Mortality Benefit Association received the contributions up to the day of his death, or who had not attained the age of 65 years and who ceased to contribute to the Association prior to his death for the reasons specified in sub-clauses 17(3)(a) and (b), the mortality benefits payable to the dependant shall, subject to sub-clause 19(6), be in accordance with Column A of the table below. Likewise, upon the death of a wife or child of a member where the Mortality Benefit Association had received contributions up to the date of such death, the mortality benefits payable to the member shall, subject to sub-clause 19(6), be in accordance with Column B and/or C of the following schedule:

SCHEDULE

Period of Member contribution	MEMBER A	SPOUSE B	EACH CHILD C
Up to 2 years	1,020	-	-
2 years plus	1,500	600	400
3 years plus	1,980	600	400
4 years plus	3,000	600	400
5 years plus	3,600	800	480
6 years plus	4,200	800	560
7 years plus	4,800	800	640
8 years plus	5,400	900	720
9 years plus	6,000	900	800
10 years plus	6,600	1,000	960
11 years plus	7,200	1,000	960
12 years plus	7,800	1,200	1,040
13 years plus	8,200	1,300	1,120
14 years plus	9,000	1,400	1,200
15 years plus	9,600	1,500	1,280
16 years plus	10,200	1,600	1,360
17 years plus	10,800	1,700	1,440
18 years plus	11,400	1,800	1,520
19 years plus	12,000	1,900	1,600
20 years plus	12,600	2,000	1,680

Should a deceased member have no dependant(s), the Management Committee may, in its discretion, consider an application for an ex gratia payment in respect of the burial costs of such deceased member : Provided that should the Management Committee decide to make such payment, it shall not exceed the amount of R250 in the case of members referred to in sub-clause 19(1). The Management Committee's decision in regard to such application shall be final.

Where a deceased member has no dependant(s), the Management Committee shall transfer such amount as the deceased member would have received had he had dependants, less any ex gratia payments made in terms of sub -clause 19(2), to a reserve fund created for the payment of benefits to the dependants of non-contributing members who at the time of their death were not contributing to the Mortality Benefit Association for reasons specified in clause 17(3).

Depending upon such surplus as may have accrued to the non-contributory members' reserve fund created in terms of sub -clause 19(3), the Management Committee shall upon the death of a non-contributory member referred to in that sub-clause decide in relation to such deceased member's period of contributory membership, upon the mortality benefits to be paid, at the entire discretion of the Management Committee to the dependant(s) of such member, which amount shall not exceed R1,000.

If at any time the amount to the credit of the non -contributory members' reserve fund falls below R1,000, payment in terms of sub-clause 19(4) shall cease. Payment of any benefits in terms of sub -clause 19(4) shall not be resumed until the amount to the credit of the non -contributory members' reserve fund exceeds R2,000.

Notwithstanding the provisions of sub -clause 19(5), should the amount in the non-contributory members' reserve fund exceed R1,000, but the total amount to the credit of the Mortality Benefit Association fall below R6,000, no payment shall be made until the requirements of clause 20(3) have been complied with.

The Management Committee may in its discretion transfer monies, in addition to the monies referred to in sub-clause 19(3), from the Mortality Benefit Association's accumulated funds to the non-contributory members' reserve fund should this reserve fund not be able to meet the commitments : Provided that the Association's accumulated monies shall not by such transfer be reduced to an amount of less than R15,000.