Dana Spicer Axle has started its section 189 retrenchment process at its plant in the Nelson Mandela Bay area, prompting workers to strike in protest over the fairness of the layoffs.
The automotive components supplier, which provides parts to Isuzu, Ford and Toyota, confirmed the retrenchments at its facility in Kariega, formerly known as Uitenhage. Workers gathered outside the premises on Tuesday to voice their concerns, claiming the company targeted employees with fewer years of service rather than offering voluntary packages to longer-serving staff.
Affected workers described receiving only R5000 in severance and cited instances of being recalled at R48 per hour, well below industry standards. Some reported working just three or four days a week with no pay on other days, leaving them unable to support their families or settle debts.
Denise Van Huyssteen, chief executive of the Nelson Mandela Bay Business Chamber, noted that more than 6000 manufacturing jobs have been lost in the metro over the past 18 months. She attributed the decline to rising imports, which accounted for 67 percent of vehicles sold in South Africa last year, along with high energy costs and unreliable power supply.