UPDATE: Dire warnings for Mandeni business following protest action
The exiting of dominant players in these sectors will have a significant ripple effect.
Chairperson of Mandeni Business Against Crime Preggie Reddy said last week’s violent protests had cost local businesses millions and were the instability to continue, many people may lose their jobs.
“For the whole week we have not been working and business are making a loss as workers cannot come to work because they are afraid. Should these protests continue some factory owners might decide to relocate their businesses to a place where their safety is guaranteed,” said Reddy.
Ilembe Chamber of Commerce CEO Cobus Oelofse said Isithebe based businesses employed about 21 000 people, with an acceptable multiplier effect of 10:1 resulting in 210 000 people directly benefiting from economic activity in Isithebe.
“The Isithebe Business Cluster and the Ilembe Chamber are especially concerned about the vulnerability of bigger players in the dominant sectors, for example, the household appliances, furniture and household goods and textiles. The exiting of dominant players in these sectors will have a significant ripple effect,” he said.
Last Thursday negotiations broke down between Mandeni protesters and African National Congress (ANC) leaders when live rounds were fired from the crowd and the police responded with rubber bullets as Mandeni descended into chaos.
More than 3000 residents marched to the Mandeni municipal building demanding the immediate removal of mayor Siphesihle Zulu, who is being accused of corruption and allegedly orchestrating the violent protests that racked Isithebe in 2016.
On Wednesday the ANC KZN provincial committee bowed to mounting pressure from Mandeni residents to suspend the mayor during the investigation.
Protest leader Jabulani Biyela said they had put the protest on hold.
“We had a meeting at the Sibusisiwe community hall today (Wednesday) and we accepted Zulu’s suspension, so that the PEC can continue with the investigations,” said Biyela.
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