One job loss is too many, but 125 is a crisis.
That is 125 families that will feel the effect as ContiTech Africa moves to shut down its conveyor belt operation in Kariega.
It is another grim reminder of the precarious state of SA’s manufacturing sector.
The sector is crucial to SA’s economy, contributing to GDP, employment, and exports.
However, it is not looking good for the sector.
The decision to move for the closure of Continental’s ContiTech Africa follows significant losses that affected the sustainability of its conveyor belt manufacturing operations in SA.
ContiTech develops, manufactures and markets products, systems and components made of rubber, plastic, metal and fabric.
The company, with 142 employees, will maintain a non-manufacturing presence in SA with an office in Johannesburg.
If the proposed measures are implemented, 117 manufacturing employees will lose their jobs.
A further eight jobs in shared services, including human resources and IT, will also be affected.
The closure of operations in Kariega was revealed in a Section 189 notice sent to unions on January 24.
It highlights the intense pressure faced by local manufacturers, who struggle to compete with low-cost imports from Asian markets.
Nelson Mandela Bay Business Chamber CEO Denise van Huyssteen emphasised the need for urgent action to address key enablers, such as efficient logistics and reliable energy supply, to retain manufacturing in SA.
The unions — Numsa and Solidarity — have vowed to explore alternatives to prevent or at least mitigate the effect of job losses.
This is a noble decision but the business is just no longer sustainable.
A Section 189 notice obtained by The Herald reveals there will be no space for the workers in the company.
A job loss affects not only a family’s income but also its stability.
This is why there is an urgent need for policy interventions to support local manufacturers.
As global markets shift and technology evolves, SA and our city must position itself as a competitive manufacturing hub.
The Herald
Nelson Mandela Bay must create manufacturing jobs, not lose them
None
Image: EUGENE COETZEE
One job loss is too many, but 125 is a crisis.
That is 125 families that will feel the effect as ContiTech Africa moves to shut down its conveyor belt operation in Kariega.
It is another grim reminder of the precarious state of SA’s manufacturing sector.
The sector is crucial to SA’s economy, contributing to GDP, employment, and exports.
However, it is not looking good for the sector.
The decision to move for the closure of Continental’s ContiTech Africa follows significant losses that affected the sustainability of its conveyor belt manufacturing operations in SA.
ContiTech develops, manufactures and markets products, systems and components made of rubber, plastic, metal and fabric.
The company, with 142 employees, will maintain a non-manufacturing presence in SA with an office in Johannesburg.
If the proposed measures are implemented, 117 manufacturing employees will lose their jobs.
A further eight jobs in shared services, including human resources and IT, will also be affected.
The closure of operations in Kariega was revealed in a Section 189 notice sent to unions on January 24.
It highlights the intense pressure faced by local manufacturers, who struggle to compete with low-cost imports from Asian markets.
Nelson Mandela Bay Business Chamber CEO Denise van Huyssteen emphasised the need for urgent action to address key enablers, such as efficient logistics and reliable energy supply, to retain manufacturing in SA.
The unions — Numsa and Solidarity — have vowed to explore alternatives to prevent or at least mitigate the effect of job losses.
This is a noble decision but the business is just no longer sustainable.
A Section 189 notice obtained by The Herald reveals there will be no space for the workers in the company.
A job loss affects not only a family’s income but also its stability.
This is why there is an urgent need for policy interventions to support local manufacturers.
As global markets shift and technology evolves, SA and our city must position itself as a competitive manufacturing hub.
The Herald
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