Heineken South Africa to cut jobs

22 January 2021 | Business

The South African arm of Heineken will cut 70 jobs and put new investments on hold in the country due to the significant impact of bans on alcohol sales and Covid-19 trading restrictions, it said on Wednesday.

South Africa has recently banned alcohol sales for the third time as part of efforts to free up space for Covid-19 patients in hospitals burdened with alcohol-related injuries.

About 30% of local breweries have been forced to shut their doors permanently and some, including Heineken, have abandoned planned investments.

Heineken employs just under 1 000 full time employees in South Africa where more than 165 000 people in the industry have lost their jobs since lockdowns started at the end of March.

The company said in a statement in light of the continued market pressure and in line with a global review by its Dutch parent company, it now finds it necessary to restructure its operations to build a business fit for the future.

"Prior to considering this action, the company implemented various cost mitigation measures throughout 2020," Heineken South Africa human resources director Yvonne Mosadi said.

"Unfortunately, given the ongoing challenging situation the company finds itself in, these measures are no longer adequate to manage and sustain the operating costs of the business," she added.

The maker of Windhoek and Amstel beer said it will continue to review its cost and organisational structure to ensure "it is fit for the future needs of the business particularly during this tumultuous period."

In August the brewer dropped plans to build a 6 billion-rand (US$403 million) brewery in KwaZulu-Natal following the second ban on alcohol sales.

Last week, South African Breweries, part of Anheuser-Busch InBev, cancelled 2.5 billion rand of investments earmarked for 2021.- Nampa/Reuters

Similar News

 

BIPA, NaCC sign Memorandum of Understanding

22 hours ago | Business

The Business and Intellectual Property Authority (BIPA) and Namibian Competition Commission (NaCC), on Friday signed a Memorandum of Understanding (MoU) to foster a relationship in...

RCC employees sent home until further notice

22 hours ago | Business

Over 60 employees of the Roads Contractor Company (RCC) were on Thursday sent home after being denied access to their rented offices, which are owned...

Women in commercial banking leadership

22 hours ago | Business

STAFF REPORTERThe Namibian Financial Sector Charter, introduced by the Ministry of Finance in November 2008, constitutes a framework and establishes the principles upon which empowerment...

BIPA keen to address gaps in Copyright bill

22 hours ago | Business

PHILLEPUS UUSIKUThe Business and Intellectual Property Authority (BIPA) is keen to update and modernise copyright protection in Namibia to ensure musicians, authors, artists and developers...

COMPANY NEWS IN BRIEF

22 hours ago | Business

GM in talks to build second US battery plant General Motors Co said it is considering building a second battery factory in the United States...

Toyota retains market leadership in tough climate

22 hours ago | Business

South Africa has just posted a record unemployment rate of 32.5% for the last quarter of 2020, and the local economy continues to suffer the...

Volvo Cars launches pure electric Volvo C40

22 hours ago | Business

The future of Volvo Cars is electric and the new Volvo C40 Recharge is the latest manifestation of its commitment to a zero-emission future.The C40...

Spike in Letshego Nam’s impairment charge

3 days ago - 05 March 2021 | Business

Jo-Maré Duddy – Letshego Holdings Namibia’s (LHN) impairment charge for the year ended 31 December 2020 spiked by about 239% on an annual basis, contributing...

Pandemic banking

3 days ago - 05 March 2021 | Business

It is financial results season and the impact of Covid-19 and measures to contain its spread are obvious from the performance of local companies. Yesterday,...

Sustainable finance a catalyst for recovery

3 days ago - 05 March 2021 | Business

Sustainable finance is a catalyst for Namibia’s recovery from the coronavirus pandemic which caused a lot of disruptions in the domestic economy.According to Marco Triebner,...

Latest News

RCC employees sent home until...

22 hours ago | Business

Over 60 employees of the Roads Contractor Company (RCC) were on Thursday sent home after being denied access to their rented offices, which are owned...

Gondwana and Hollard head back...

22 hours ago | Justice

ELLANIE SMITWINDHOEKGondwana Collection Namibia and Hollard Insurance Namibia will face each other again in court on 31 March after Gondwana last week brought an urgent...

'Premature' to discuss fracking

22 hours ago | Environment

ELLANIE SMITWINDHOEKEnvironment minister Pohamba Shifeta says it is “premature and confusing” at this stage to discuss the risks of fracking in the Kavango regions, when...

Veterans want to be appointed...

22 hours ago | Politics

TUYEIMO HAIDULAEMBANDU The president of the Namibia National Liberation Veterans Association (NNLVA), Ben Shikongo, says members of the organisation want to be appointed to...

Women in commercial banking leadership

22 hours ago | Business

STAFF REPORTERThe Namibian Financial Sector Charter, introduced by the Ministry of Finance in November 2008, constitutes a framework and establishes the principles upon which empowerment...

Kenya to reject budget if...

22 hours ago | Economics

OMAR MOHAMMEDA Kenyan parliamentary committee said that it will reject the government's 2021/22 budget plan if the deficit goal is set at more than the...

Fishing rights announcement soon

22 hours ago | Fishing

OGONE TLHAGEWINDHOEKFisheries minister Albert Kawana is expected to announce who his ministry has chosen for new fishing rights at the end of this month.This brings...

Women still live in fear

22 hours ago | Opinion

Namibians can be proud of the progressive legal frameworks that are in place to protect women from violence and discrimination.Legally, women are ensured of the...

Zimbabwe's manufacturing bullish on better...

22 hours ago | Economics

Zimbabwean manufacturers expect to ramp up production to 61% of capacity this year, the highest level in a decade, on expected stability in the foreign...

Load More