EFF says unemployment levels continue to sky-rocket following ArcelorMittal retrenchments

VEREENIGING - The EFF says the retrenchments by ArcelorMittal are a testament that the narrative perpetuated by the ANC-DA coalition, which suggests that their coalition is the best for private sector investment and job creation is a self-serving myth. South Africa’s only primary steelmaker, ArcelorMittal SA, has decided to shut its long steel business, with up to 3,500 direct and indirect jobs could be affected in Newcastle, KwaZulu-Natal and Vereeniging, Gauteng. The company says persistently high logistics and energy costs, coupled with insufficient policy interventions by the South African government, made the operations unsustainable. The EFF says unemployment levels will continue to sky-rocket under the ANC-DA coalition.

Meanwhile, the South African Federation of Trade Unions has condemned ArcelorMittal South Africa’s decision to close its operations in Newcastle, KwaZulu-Natal, and Vereeniging, Gauteng. Saftu’s Mogoshadi Maserumule, says beyond direct job losses, the closure will severely impact value chains reliant on local steel production.

Cosatu also said it is deeply concerned following ArcelorMittal’s announcement of its plan to wind down its operations in Newcastle, KwaZulu-Natal and Vereeniging, Gauteng this month. Cosatu’s Zanele Sabela says the closure will not only result in job losses but will have a negative economic impact on Newcastle and Vereeniging.

PHOTO: (Supplied)