KARIEGA, EC - NUMSA and tyre manufacturer Goodyear have reached a settlement. This follows the closure of the company’s only production facility in Kariega, Eastern Cape.
The shutdown has cost 900 workers their jobs.
Under the new agreement, affected employees will each receive, a lump-sum severance pay of R100 000.
This follows a strong backlash from workers, who rejected Goodyear’s initial offer of R50 000, along with three weeks’ pay for every year of service.
Although Goodyear has halted its manufacturing operations in South Africa, NUMSA maintains that the Kariega plant is still viable and worth saving.
The company says it will retain a sales and distribution footprint in the country.