COSATU threatens action as Tulbagh canning plant faces closure

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The Western Cape branch of the trade union federation, COSATU, has warned it would carry out mass protests and seek an urgent court interdict if Premier Foods proceeds with plans to close its Fruit Products Western Cape (FPWC) canning plant in Tulbagh.  

 

The union’s warning comes as Premier Group prepares to shut the facility, having recently told Farmer’s Weekly that the business was no longer financially viable amid declining global demand and a changing export market, among other things. 

 

COSATU said the closure could affect the livelihoods of more than 5,700 people, with a broader impact on the Tulbagh community. 

 

“It threatens approximately 3,500 permanent and seasonal factory jobs, over 2,000 permanent farm workers, and the livelihood of around 200 commercial producers and their suppliers. The plant processes up to 60,000 tons of fruit annually and purchases R300 million worth of produce from local farmers,” read COSATU’s statement.  

 

At the same time, Premier Foods will reportedly also not honour its three-year supply contracts with fruit producers.  

 

The Freedom Front Plus has also voiced concern over the decision, demanding that the manufacturer’s management hold further engagements on the matter and find alternative solutions.  

 

“It is essential to find a solution similar to the one at Langeberg Foods, when 2 500 jobs were at risk due to a possible closure. In that case, the enterprise was saved. If the facility is closed down, the negative impact will not only be felt in Tulbagh’s immediate vicinity, but even as far as the Langeberg mountains,” read the Freedom Front Plus’s statement.  

 

According to COSATU, the Competition Commission is investigating whether the proposed closure complies with merger conditions attached to Premier’s acquisition of RFG Holdings, in which “Premier undertook not to retrench employees as a result of the merger for three years”. 

 

COSATU believes the planned closure is aimed at prioritising top management over workers and communities.

 

 

COSATU said it would be meeting with government officials, the Competition Commission and other relevant stakeholders to prevent the Tulbagh canning plant’s closure.  

 

“Workers and communities will not stand idly by while a profitable company abandons its commitments and destroys lives. The time for dialogue is now,” said COSATU.  

Caitlin Maledo
Caitlin Maledo
Caitlin is an enthusiastic journalist, that has been exploring her interest in broadcast media since 2019. With a natural curiosity for the world around her, you'll always find her poking around hidden gems throughout Cape Town and surrounds.

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