The Department of Labour and Employment on Monday said not only did the Uniondale Integrated Empowerment Project (UNIEP) apply for the funds illegally, but it also kept part of the proceeds in the name of bank charges.
During an inspection, officials found the electronics manufacturer wasn't following some of the basic guidelines of the Occupational Health and Safety Act.
Last week Nxesi said that to date, his department has only received over 103,000 applications from employers for the Unemployment Insurance Fund.
Domestic workers in South Africa often live on the premises of their employers, in subpar conditions, without job security, and on low wages.
If implemented, the act will put into motion measures to address the high non-compliance rate with the law, giving powers to the labour minister to regulate sector targets.
