Zipho works at Cell Petroleum (Pty) Ltd (Cell Petroleum) as a truck driver delivering petrol to gas stations in South Africa. Due to the sanctions imposed on Russia as a result of the war with Ukraine, the shipping of petroleum products to South Africa has stopped. As a direct result, Cell Petroleum closed down temporarily, leaving Zipho unemployed.

1. Advise whether Zipho will be able to claim under the Unemployment Insurance Act 63 of 2001 for the time he is unemployed? If so, explain how the Unemployment Insurance Fund (UIF) contributions will be paid to the South African Revenue Services (SARS).

After two months of being unemployed Zipho's friend John, who works as a manager at a refinery in Mozambique, tells him that it is possible to import petroleum products from Mozambique. Zipho quickly informs his manager at Cell Petroleum of the possible importation of petroleum from Mozambique. Further, he proposes an agreement between himself and Cell Petroleum in which he undertakes to start his own fuel transportation business to transport the fuel from Mozambique to South Africa on behalf of Cell Petroleum. Cell Petroleum agrees. To assist with transporting the fuel, Zipho employs one driver, Kuhle. Zipho will pay Kuhle R240 000 per annum for his work

1.2 While Zipho is an experienced truck driver, he does not have experience in starting a business and is not familiar with the formalities required. Therefore, you are required to advise him on the following: 1.2.1 The types of business structures available to him in 2022. (3) 1.2.2 Which of the business structures in 1.2.1 above would be most beneficial for Zipho, considering that he wants to avoid losing his personal possessions to creditors if the business fails or more looting occurs. If the business structures in 1.2.1 are not suitable, also state the reasons for this. (13) 1.2.3 Whether the transportation business will require a business licence to trade

Now that Zipho has set up his business, what steps must he take before his business can operate? (6) 1.4 Draft the employment contract between Zipho and Kuhle, indicating the minimum terms and fabricating facts where necessary. (10) 1.5 Calculate the total amount that must be paid to the Unemployment Insurance Fund (UIF) during the 12-month period. (5) 1.6 Provide an overview of the process that Kuhle can follow if he has a dispute with his employer. (9) 1.7 How is a bargaining council formed and what are its functions? (6) 1.8 Suppose that the employment contract between Zipho and Kuhle is a fixed-term contract for a period of 12 months. This contract can be renewed after it expires. Under which circumstances can Kuhle (the employee) claim that the renewal of the contract amounts to abuse of the employment relationship, and what remedy can he claim? (