Publish date | 24 May 2019 |
Issue Number | 4704 |
Diary | Legalbrief Today |
Tongaat Hulett confirmed yesterday that retrenchment letters had been issued as part of a restructuring process that will affect about 5 000 employees. The exact number of those affected would only be known further down the line, the sugar giant said, according to a report in The Mercury. ‘In the face of significant business challenges, Tongaat Hulett can confirm that the company is looking to reduce its headcount as part of a broader restructuring of the business, and has issued section 189 letters to employees,’ said the company. Permanent and temporary employees across Tongaat Hulett’s operations in six Southern African Development Community countries would be affected. ‘The strategy seeks to address its debt burden, streamline operations and fundamentally change its business model.’ Independent economist Bonke Dumisa said sugar becoming cheaper in other countries was affecting sugar exports from SA.