General Motors South Africa is expected to retrench close on 600 workers by July.
That’s according to metal workers union, Numsa which said in a statement late Monday that GMSA had issued a notice of retrenchment to the CCMA in terms of section 189 and section 189a of the Labour Relations Act.
“The management of General Motors met with NUMSA on Monday as part of consultation and it confirmed that it is winding down manufacturing operations locally,” said Numsa spokesperson Phakamile Hlubi.
She said that in its notice to the CCMA, General Motors South Africa said that out of a total workforce of 1500 people, close to 600 workers are to be retrenched by July 2017.
“In reality this is more likely to lead to over a thousand job losses in the sector, particularly as the closure of GM will impact negatively on companies along the value chain,” Hlubi said.
She said NUMSA wass concerned about the impact these job losses will have on workers and their families.
“We have a crisis with over 35% of the labour force being unemployed. It is unlikely that workers will be able to find employment after retrenchment,” she said.
She said that Numsa leaders will be meeting with workers in a general meeting in New Brighton, Port Elizabeth, Tuesday afternoon.
The meeting will be addressed by Numsa General Secretary, Irvin Jim and National Treasurer, Mphumzi Maqungo.
Last week General Motors announced that it would dis-investing in South Africa, with Isuzu of Japan taking over operations in the country.