South Africa’s alcohol industry has issued a warning that if the country’s alcohol ban is extended, it will lead to the permanent loss of thousands of jobs and livelihoods.
A survey on Thursday (9 July) by Vinpro said that businesses already have had to lay off a significant number of workers since the start of lockdown in March 2020.
Those who have managed to keep their staff on have had to cut their salaries, which affects the livelihood of the families of these employees.
Vinpro managing director, Rico Basson, said that, “Should the ban continue for another six weeks after 11 July 2021, respondents in the survey indicated that they would only be able to fund 51% of their normal monthly payroll.” He also added that it was not viable to cut off an entire industry’s lifeline every time there is a spike in infections, when it is in part due to undisciplined citizens and delays in the vaccine rollout.
“The liquor ban is not only about whether people are allowed to enjoy their favourite drink or not. It’s also about keeping businesses afloat that put food on the table for thousands of families.
“As long as the government continues denying these businesses’ their income, while not providing any financial relief, we will see many people not only suffering from Covid-19 but also from poverty.”
Basson said this irrational cycle needs to stop and that the government needs to intervene and open the industry, at least partially, and provide financial assistance to help workers feed their families.
“Substantial structural damage has been done to the extensive value chain ranging from the vineyard to wineries and the market, which will take years to mend.”
The alcohol ban will be reviewed alongside other restrictions over the weekend, when government will meet to review the level 4 lockdown and update the restrictions.
Analysts have said that it is likely the lockdown restrictions will be extended.
Sources: Business Tech
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