THE Food and Allied Workers Union (FAWU) has added its voice to the local outcry against the implementation of the sugar tax planned for March, saying it will lead to serious job losses.
In a statement released last week, FAWU said ‘silly claims’ that the impending job losses caused by Treasury’s move will be created elsewhere is ‘fictitious’.
‘We support a quest for a healthy nation and want an obesity-free population.
‘However, we do not believe that a tax on sugar-sweetened beverage products will be an effective mechanism to achieve the intended health objectives.
‘We think this will simply become another sin tax like those taxes on alcohol and tobacco products. ‘If this tax is introduced as a revenue-raising exercise for the fiscus, we may agree, but if it is introduced as a health policy intervention we beg to differ.
In August the Felixton Crop Growers Association revealed the tax could be the final blow for many farm employees following the persistent drought, and requested government to conduct an independent regulatory impact assessment.
The association highlighted that northern KZN already has an exceptionally high 40% youth unemployment rate, while cane farmers, irrigators and the Felixton Mill in the Empangeni area alone are responsible for 14 000 direct jobs and more than 84 000 dependents.
‘One job loss is too many given the high unemployment rate coupled with persisting poverty and inequality,’ said FAWU.
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