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The Citizen reports that the Select Committee on Economic Development and Trade has called on the government to step in as company closures trigger a domino effect of retrenchments.
The latest company to announce retrenchments is beverage giant Coca-Cola, which plans to close down its plants in Bloemfontein and East London, resulting in the retrenchment of at least 680 employees. Affected workers held a consultation meeting on Friday with the company’s management under the auspices of the CCMA. The Food and Allied Workers Union’s Dominique Swartz indicated that they could not presently provide an update on the matter.
Noting that a number of companies have already reduced operations, resulting in widespread job losses, Sonja Boshoff, chairperson of the committee, said: “Unless urgent and coordinated action is taken, the damage to our economy, communities, and industrial base will be irreversible. The stakes are high, and these job losses will push families into greater precarity, further eroding trust in our economic stability.” She added that regions such as the Eastern Cape, Bloemfontein, East London, Newcastle, Vanderbijlpark, and others were already vulnerable, and these retrenchments would only amplify socio-economic stress. Boshoff urged government to convene an emergency multi-stakeholder summit with affected companies, labour unions, and provincial governments to develop concrete interventions that protect jobs, stabilise industries, and restore investor confidence.
- Read the full original of the report in the above regard by Tshehla Cornelius Koteli at The Citizen
- Read too, Urgent call for a multi-stakeholder summit to address job losses in SA, at Sunday Tribune
Get other news reports at the SA LabourNews home page