WeeklySA_AdminIMPASSE: A total of 900 Eastern Cape workers affected by the closure of the American’s multinational plant unhappy with the company’s final offer…
By Lehlohonolo Lehana
Giant tyre manufacturer Goodyear has officially closed its plant in Kariega in the Eastern Cape after 78 years in operation in South Africa, prompting the National Union of Metalworkers of SA (Numsa) to press for improved severance packages for its members employed by the multinational company.
Many workers have slammed the company’s final severance offer, which includes a once-off payment of R50 000 and three weeks’ pay for every year worked. The factory, in Kariega (formerly Uitenhage), was opened in 1947.
Numsa general secretary Irvin Jim said the negotiations with the manufacturing company would continue at the Commission for Conciliation, Mediation and Arbitration (CCMA) today.
Earlier this week, he expressed his dissatisfaction after disclosing that the company was offering R50 000 to the workers as a part of the separation package.
“Goodyear is ready to close this plant today, but we have been pushing back and the money they are offering is a little bit better, though I am not in a position to disclose it yet, “he added.
In an earlier statement, the company said that it was transforming its go-to-market strategy in the Europe, Middle East and Africa region to optimise its footprint and portfolio.
“As part of that transformation, Goodyear SA is launching a restructuring process in accordance with the provisions of the Labour Relations Act to address proposals regarding the closure of its manufacturing facility in South Africa and the realignment of certain sales, administration and general management functions.
“Goodyear SA will continue to maintain a sales and distribution, and HiQ retail presence in South Africa.” The restructuring process is being facilitated by the Commission for Conciliation, Mediation and Arbitration.
“As a company, we recognise our responsibilities towards our employees and their families and are firmly committed to acting fairly and providing them with appropriate support,” a Goodyear statement said.
In June this year, Numsa reacted with dismay at Goodyear’s announcement to discontinue its manufacturing operations in the country, lamenting its the impact on workers and their families, in Uitenhage”.
The union added: “It is becoming a ghost town given that ContiTech, which is part of Continental, closed down and it is also in the same tyre and rubber industry. At the same time, it may not be easy to replace these jobs. The Eastern Cape has a very high unemployment rate at 41,9% according to StatsSA”.
For its part, the SA Federation of Trade Unions (SAFTU) general secretary, Zwelinzima Vavi, strongly lambasted Goodyear South Africa’s decision to close the plant.
“We now face a coordinated wave of industrial disinvestment across the Eastern Cape — and workers are being left to carry the cost. This is a defining moment for South Africa’s industrial future. Either we surrender to deindustrialisation and corporate greed, or we rise to defend jobs, sovereignty, and economic justice,” Vavi said.
The federation has condemned the decision as an act of “economic betrayal” and is calling for a moratorium on plant closures, urgent crisis talks, and a shift toward worker-led ownership and a more progressive industrial policy in the struggling Eastern Cape.
According to filings in the United States, Goodyear’s restructuring will result in charges of approximately $100–$110 million, with projected annual savings of $10 million starting in 2026.
However, SAFTU and its affiliate, the National Union of Metalworkers of South Africa (Numsa), have denounced the move as corporate looting, accusing the company of sacrificing ordinary workers in pursuit of shareholder profits.
“Goodyear has operated in South Africa since 1932. Its success was built on the sweat and sacrifice of generations of South African workers.
Now, as part of a global cost-cutting drive, it is discarding over 900 workers like disposable parts. This is not a failing company, this is profiteering at the expense of working-class communities,” Vavi said.
Goodyear’s closure is the latest blow in what unions are calling a “coordinated wave of disinvestment” in the Eastern Cape.
Earlier this year, Conti-Tech, a subsidiary of Continental Tyres, also announced the winding down of its operations at the same Kariega site.
The company produced conveyor belts for the mining and energy sectors, including Eskom, making its closure a threat not only to jobs but also to strategic industrial capacity.
Meanwhile, SAFTU has also criticised the government for enabling these companies through public subsidies and procurement, only to be abandoned without consequences.
Goodyear and Continental have both benefited from schemes such as the Automotive Investment Scheme and support from the Trade, Industry and Competition Department.
The federation called for transforming Goodyear and Conti-Tech operations into worker cooperatives with support from the Industrial Development Corporation (IDC) and Small Enterprise Development Agency (SEDA); and establishing a national skills programme to prepare workers for employment in green industries, logistics, and healthcare manufacturing, funded by a national Just Transition Fund.
Meanwhile the Economic Freedom Fighters (EFF) said, the Goodyear closure is a reminder that South Africa’s economy is stagnant and leaderless, with no clear programme for industrialisation, manufacturing, or job creation.
“The ANC government has failed to protect our people from poverty and unemployment, and it has failed to offer any hope of economic transformation, said the Red Berets.” – Fullview, Weekly SA Mirror
MIRROR Briefs
MINISTER TO FACE THE MUSIC
The South African Human Rights Commission (SAHRC) has announced that it has launched an investigation into Minister of Arts, Sports, Culture and Patriotic Alliance (PA) leader Gayton McKenzie for racist remarks.
This comes after ActionSA asked the SAHRC to investigate McKenzie, with the party’s president, Herman Mashaba, posting: “The more I read what [Gayton McKenzie] says about US, the more angrier I get [sic]. We have been insulted and dehumanised for centuries, brutally so. It is not going to continue under a democratic government. Apology is not good enough.” Between 2011 and 2017, McKenzie used South Africa’s most offensive racial slur (K-word) in at least six tweets.
McKenzie’s defence is that he was employing the K-word to point out harmful racial attitudes, not validate them. But this argument appears not to be landing among many black South Africans, who argue that as a man who very proudly identifies as coloured, rather than black, McKenzie was not entitled to use the K-word in any context.
The Commission said it became aware of the resurfaced posts on August 9, 2025, and had received multiple complaints from various political parties and individuals, prompting the commission to take action. Following an initial assessment, the SAHRC believed that McKenzie’s utterances were “prima facie violations of the provisions of the Promotion of Equality and Prevention of Unfair Discrimination Act (Equality Act), 2000”. – Lehlohonolo Lehana
SASSA IRKED BY UNLAWFUL DEDUCTIONS
The South African Social Security Agency (SASSA) has expressed concern following an upsurge in what appears to be unlawful deductions by financial service providers targeting social grants beneficiaries.
The agency said it had been inundated with enquiries from its beneficiaries, stating that their grant money was consistently being deducted by various insurance companies that they had not signed up for, believing that the agency was working with these companies. SASSA had consistently distanced itself from any insurance company that used its good name to achieve its goals.
The agency’s CEO, Themba Matlou, reiterated that SASSA had no authority to make any deductions on social grants without the consent of the beneficiaries. “We have utmost respect for our beneficiaries and the Act governing social assistance in the country and we will never do anything to shortchange our clients. Your money is your money. If you qualify for a grant, the money belongs to you and as SASSA we have no right, nor authority to dictate how you utilise it.” He urged victims to report unlawful deductions to their nearest SASSA office for investigation.
Clients who disputed signing a funeral policy with the financial services provider are advised to immediately dispute the deduction by sending an SMS to 34548 with their Identity number and the financial services provider’s name. – SAnews.
ROW OVER MILITARY CHIEF’S TRIP RAGES
Presidential spokesperson, Vincent Magwenya, says President Cyril Ramaphosa did not sanction Chief of the South African National Defence Force (SANDF) General Rudzani Maphwanya’s visit to Iran. Magwenya said the SANDF was enabled by bilateral and multilateral frameworks to forge ties with other military forces around the world. “The exchange of knowledge and the strengthening of professional military to military cooperation is encouraged within our system of government, this includes joint training drills with other countries, cooperation on peacekeeping and rescue mission during natural disasters.
“However, senior military officers do not engage outside of their military purview and they do not represent the country on foreign policy matters neither are they delegated to perform such functions.” Magwenya said the President did not sanction the visit, as the General’s travel approval “starts and ends” with the Minister.
“As much as the President is the appointing authority and the Commander-in-Chief, he does not get involved in supervising the General’s travel. That process sits with the Minister. So the President did not know about it.”
The issue was indeed a concern, Magwenya said. “In the spirit of heightened geopolitical tensions as well as conflict in the Middle East, one can say the visit was ill-advised.”- SAnews
JOBURG’S FINANCIAL RECOVERY PLAN
City of Johannesburg mayor Dada Morero confirmed he had submitted a comprehensive financial recovery plan to the National Treasury after he was given 14 days to account for the financial mismanagement in the metro.
This comes after Auditor-General, Tsakani Maluleke, flagged serious governance failures, including poor financial controls, weak revenue collection and chronic underinvestment. The National Treasury has cautioned that failure to resolve the crisis could result in the withholding of national grants. Morero received the letter from finance minister, Enoch Godongwana on July 30, 2025, outlining his concern over the city’s ongoing non-compliance with the Municipal Finance Management Act (MFMA), specifically relating to unauthorised and irregular expenditure.
“Our city has endured a period of mismanagement and poor leadership from previous administrations, in particular during the DA-led coalition. The R23.6 billion in unauthorised, irregular, and fruitless expenditure is a cumulative figure that has progressively increased in the city’s financial statements over the years.
“During this time, these expenditures were largely unaddressed and not regularised as required by the MFMA.” Morero, who is an ANC councillor, is currently leading a coalition local government in the country’s economic hub. He has served as mayor since August 2022, and the Democratic Alliance-led coalition, governed the city between 2016 and 2021. – Lehlohonolo Lehana
