A worker gestures in front of steel bars at a Highveld Steel plant, which has a manufacturing agreement with ArcelorMittal steel company, in Middleburg, South Africa. Image credit: Reuters via SABC
(The Post News) – The South African Federation of Trade Unions (SAFTU) called up a meeting with government ministers on the unfolding unemployment crisis in the manufacturing sector.The union has called on Trade, Industry and Competition Minister Parks Tau, along with Employment and Labour Minister Nomakhosazana Meth, to address the worsening unemployment crisis.
According to SAFTU General-Secretary Zwelinzima Vavi, government has failed to take meaningful steps toward lasting solutions. He stressed that there has been little genuine dialogue among key stakeholders. Vavi added that the National Economic Development and Labour Council (Nedlac) must be restructured into a platform where senior leaders from business, government, labour, and communities can come together to tackle the crisis.
This comes amid growing job losses in South Africa’s manufacturing sector, with companies such as ArcelorMittal SA and Goodyear shutting down operations, leaving over 900 workers jobless, after restructuring its imports.
What this mean for the workers
Speaking to the SABC, Professor Dieter von Fintel from the University of Stellenbosch said given the international trade environment and exports becoming more difficult and tariff environment, that means companies are looking for a low-cost solution. “Import is always the issue, but we also need to think of exports markets, is there still a demand for our products into an exports market and the issue of transportation in the industry, “he said.
If government and industry leaders fail to act, the manufacturing sector risks further collapse, with thousands more workers facing the same fate. For SAFTU, the moment demands more than dialogue it calls for urgent, decisive solutions.