This news aggregator site highlights South African labour news from a wide range of internet and print sources. Each posting has a synopsis of the source article, together with a link or reference to the original. Postings cover the range of labour related matters from industrial relations to generalist human resources.
Fin24 reports that liquor producers and companies along the value chain are beginning to reel under the effects of the ongoing alcohol sale ban, with some forecasting further cuts to already reduced number of contract workers.
Others are factoring in the possibility of retrenchments or preparing to turn off their taps for good. The third government-imposed ban on the sale of alcohol in December was implemented to keep hospital beds free of liquor-related trauma cases, but the move has come at a hefty cost for an industry that employs more than 415,000 people. On Monday, Savanna maker Distell said it had reduced the number of its contract workers to 326, from 536 in January last year. "We currently are using 210 less contractors than normal in our supply chain … renewals will solely depend on further demand and our ability to trade. If the ban is prolonged for another month, there is likely to be a further reduction in contracted employment," said Distell's Frank Ford. Despite cutting back its contract workers, Ford said retrenchments were a last resort and staff had taken a 10% salary reduction, with executives and board members taking bigger cuts. Meantime, SA Breweries (SAB) announced that it had suspended 550 temporary contract workers across its local operations. The AB InBev owned producer said it was doing everything in its power to avoid retrenchments, but communication and engagement from the government on the timelines for the ban made business planning difficult.
- Read the full original of the report in the above regard by Penelope Mashego at Fin24
Get other news reports at the SA Labour News home page