Over 1 500 people employed by General Motors could be affected by the car maker’s exit out of the country, the company has told htxt.africa.
The company announced today that it’ll be leaving the country, after having been here for decades.
The exit will apparently affect the Chevrolet brand the most in the long run, but motorists have been assured that repairs and warranties for its vehicles, along with Isuzu and Opel will not take a knock.
When asked which departments will be most affected, whether or not Isuzu and Opel – who will remain in South Africa thanks to their sales from GM – will remain employed and if any short-term plans have been made to soften the blow for employees, GM had this to say:
It would be premature to speculate on the number of employees who will be affected. GM will enter into a consultation process with employees and their representative unions to discuss all possible options going forward.
DA Shadow Minister of Trade and Industry, Geordin Hill-Lewis, said the withdrawal is ‘sadly just one of a growing list of foreign investors who are fast losing confidence in our struggling economy” and blamed it on the ANC-led government.
Hill said the DA will now write to the Minister of Trade and Industry, Rob Davies, to call on him to act decisively in order to prevent further potential job losses and to “request that the Minister report back to Parliament on what the specific reasons are for GM deciding to withdraw from South Africa, and possible solutions to bring this concerning trend to an end”.
“Government has failed to create a climate conducive to attracting investment, and in fact, is going out of its way to chase investment away. The captured and ineffectual ANC government with its empty slogans have completely destroyed our economic prospects, and ordinary South Africans, particularly the poor and vulnerable, are left to bear the brunt,” Hill said.