Retrenchment wave hits South Africa - 310 000 jobs on the line

"If you have a job, cling onto it for dear life and don't let go" seems to be today's motto in South Africa. According to a new report by the labour union Solidarity, about 310 000 workers in the Africa's economic powerhouse face retrenchment. 

According to Solidarity's figures, 32 companies were already retrenching about 22 000 employees. This is among other a result of the global economic crisis.

The hardest-hit sectors in South Africa are were mining and manufacturing industries. It is expected that about 13 000 mining jobs will be shed over the next couple of months.

The current developments will have a tremendous impact on South Africa's unemployment rate. In the second quarter of this year, the rate stood at 23 percent. As a result of the mass retrenchments,  unemployment is
expected to climb to 25 percent in the first three months of next year.

In addition, the developments will not only have an impact on those who lost their jobs. "Every employee supports between seven and 11 dependants, it means that between 150 000 and 200 000 people will be affected by the retrenchments," said the union in a media release.