The EFF have called for a national shutdown on Monday. (Photo by Xabiso Mkhabela/Anadolu Agency via Getty Images)
Business experts have encouraged companies to come up with contingency plans to ensure work continues during the national shutdown called by the Economic Freedom Fighters (EFF) for Monday.
The party has urged South Africans to take to the streets on 20 March in protest against load-shedding and to demand President Cyril Ramaphosa’s resignation. It has asked businesses to remain shut or risk being looted, a stance critics have condemned as an overt threat.
But EFF leader Julius Malema has said those trying to foment violence during the protest will be rooted out and taken to law enforcement.
Business leaders are best advised to adopt a collaborative approach with unions and employees in open discussions, said John Botha, chief executive of risk management consultancy Global Business Solutions.
“In this manner, emotions can be validated and understood, and better plans made to build trust and reduce the impact of the strike on the business and its employees,” Botha said. “The upcoming national stay-away adds to the growing list of concerns for foreign investors in South Africa.”
While acknowledging that South Africa has a lot of problems, with load-shedding among the biggest, The One Voice of all Hawkers Association said the national shutdown would hurt vendors.
“We will have to stay away because of the possible looting,” said association member Julekha Latib. “Just like during the July 2021 unrest, the small businesses were the ones most affected.”
Business Unity South Africa (Busa) said the right to protest was protected in the Constitution, as long as it did not infringe on the constitutional rights of other South Africans.
“Looting, violence, incitement and intimidation are criminal acts that are not protected by the Constitution and should be prosecuted to the full extent of the law,” Busa’s communications coordinator Sizwe Maswanganye said.
“The EFF warning of the looting of businesses, shops, factories, and other service providers — if they do not stop operations in support of the national shutdown — is a complete disregard for the constitutional rights of others. Law enforcement agencies must protect the rights of all South Africans.”
The Democratic Alliance said a one-day shut down of the economy would cost more than R1.2 billion in generated income.
The DA’s spokesperson on finance, Dion George, said the EFF had resorted to what he called the party’s “usual unproductive disruption tactics”.
“The DA strongly rejects the call for a national shutdown. That is why we have taken several preemptive steps to ensure that the safety of South Africans and business are prioritised,” George said in a statement.
“Their plan to shut down the country’s economy on March 20th to protest load-shedding and demand the resignation of President Ramaphosa is a clear indication of their preference for chaos over progress and their complete disregard for already struggling SA households.”
He said the call for a national shutdown had the potential to send shockwaves through South Africa’s investment landscape. Investors may see it as a sign of instability and unpredictability, which would further deter them from investing in the country, further stifle economic growth and hinder job creation. This could set the nation on a dangerous path towards an economic recession.
“This is the backwards thinking of the EFF — a political party whose ultimate goal was never to create wealth or better the lives of South Africans,” George said.
The South African Police Service (SAPS) insists there will be no shutdown on Monday “but we are aware of a planned protest”.
Police spokesperson Athlenda Mathe told the Mail & Guardian that the National Joint Operational and Intelligence Structure (Natjoints) had put measures in place to combat any forms of criminality.
Mathe urged young people not to involve themselves in any form of crime linked to the protest because having a criminal record may hamper their future chances to secure employment.
“All 1 160 police stations across the country are open 24/7 and will be fully functional and operational. South Africans can rest assured that key police services will not be affected and it will be business as usual,” Mathe said.
eThekwini mayor Mxolisi Kaunda said the metro police had met with their SAPS counterparts to come up with a comprehensive security plan to prevent the undermining of the authority of the state and ensure that the public and the business community feel safe.
Kaunda said all municipal services would be available because employees were expected to report for duty. The city leadership had been assured by the EFF that the shutdown would be peaceful and that there would be no disruptions, he added.
“This city has just emerged from consecutive calamities that battered its economy and that of the country. Under no circumstances will we allow the shutdown of economic activities, no matter the gravity of the grievances,” Kaunda said.
