SMALL PORTION OF SA’s WORKFORCE NOT AFFECTED
by lockdown fall-out
by Gerhard Papenfus
Any measure which negatively impacts on business, impacts on employment in general and the lives and the livelihood of employees.
Before the Covid-19 disaster, the unofficial unemployment rate (to a large extent the result of poor economic policies, maladministration and corruption), was already in the region of 35 percent. This figure includes those who have lost interest in even looking for work. During the months ahead, this figure will steadily increase to anywhere between 40-50%.
A survey of the NEASA network, has revealed that only 9% of employers will not reduce staff or staff benefits as a result of the lockdown. The remaining 91% of workers will, according to the survey, be affected by one or more of the following:
• 35% shortened working hours;
• 26% salary reduction;
• 14% lay-off;
• 14% retrenchment; and
• 2% other measures affecting employment benefits.
The negative impact on the pockets of employees, will translate into losses in all sectors of the economy. The ripple effect will be severe.
For more information:
NEASA Media Department
We are all in this together.
Privileged and challenged to be South African.