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NUMSA Pickets IDC Offices, Calls on Government to Intervene in Steel Industry Job Loss Crisis
Over 100 members of the National Union of Metalworkers of South Africa (NUMSA) staged a protest outside the Industrial Development Corporation (IDC) offices in Johannesburg on Friday. The union is urging the government to take immediate action to save jobs in the steel industry, following ArcelorMittal South Africa’s (AMSA) announcement in January that it is considering laying off 3,500 workers at its Newcastle and Vereeniging Works, along with its rail and structural subsidiary, AMRAS.
Also Read: Over 100,000 Jobs at Risk: ArcelorMittal South Africa’s Steel Business Closure Sparks Alarm
NUMSA warns that the proposed job cuts could potentially impact an additional 100,000 workers across the steel supply chain.
The union has called on the IDC to step in and provide stability to the struggling steel sector. NUMSA’s deputy general-secretary, Mbuso Ngubane, addressed the picketers, explaining that the union has been in discussions with the government since AMSA first raised the possibility of mass layoffs in 2023.
AMSA has stated that producing and trading long steel products has become economically unfeasible and unsustainable. The company has also requested government intervention to impose tariffs and licensing on imported steel, especially low-cost imports from heavily subsidized foreign producers.
Ngubane emphasized that AMSA’s role in producing railway steel products is vital to South Africa’s transportation policies, particularly the Department of Transport’s goals to shift goods transportation from road to rail. A shutdown of AMSA’s operations would significantly disrupt these plans and hinder efforts to expand South Africa’s industrial capacity.
In a statement released on January 6, AMSA confirmed that despite ongoing consultations with the government and other stakeholders, the situation has deteriorated to the point where the closure of its Longs Business division seems unavoidable.
In addition to NUMSA’s members, former workers from SA Steel Mills, a company that entered business rescue in September, also joined the protest. Over 100 workers from the company had been laid off a year ago. Teboho Morithi, one of the laid-off workers, expressed frustration with the delays in the business rescue process, calling the picket their final hope for a resolution.
Tshepo Ramodibe, IDC’s head of corporate affairs, assured the protesters that the IDC is committed to facilitating dialogue between all parties involved. He confirmed that NUMSA’s memorandum would be handed over to the Department of Trade and Industry to initiate further discussions with AMSA.
Published Originally on GroundUp
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Source: African insider
