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BAT South Africa confirms retrenchment process


British American Tobacco South Africa has confirmed that 200 jobs are on the line as further losses in cigarette volumes were reported.

BAT said today that it has begun a consultative process with staff in line with Section 189 of the Labour Relations Act around the restructuring of the business.

A spokesperson said their volume loss was almost entirely a result of the continued impact of the growth in illicit cigarette trade and the unconstitutional ban on cigarette sales implemented during the Covid-19 lockdown in 2020.

British American Tobacco says in 2019 the company permanently employed around 1 800 people, but since 2020 it has been forced to retrench more than 30% of its workforce and lost around 40% of its cigarette sales as the illicit market accelerated.