The SA Federation of Trade Unions (SAFTU) General Secretary, Zwelinzima Vavi, has strongly lambasted Goodyear South Africa’s decision to close its Kariega (Uitenhage) manufacturing plant in the Eastern Cape.
The global tyre manufacturing giant on Friday confirmed plans to cease all production operations in South Africa by December 2025, marking the end of nearly eight decades of manufacturing at its Kariega facility.
Vavi described the decision as a significant precursor to future labour disputes nationwide, amid South Africa’s worsening employment crisis and the decline of its industrial hubs.
“We now face a coordinated wave of industrial disinvestment across the Eastern Cape — and workers are being left to carry the cost. This is a defining moment for South Africa’s industrial future. Either we surrender to deindustrialisation and corporate greed, or we rise to defend jobs, sovereignty, and economic justice,” Vavi said.
The federation has condemned the decision as an act of “economic betrayal” and is calling for a moratorium on plant closures, urgent crisis talks, and a shift toward worker-led ownership and a more progressive industrial policy in the struggling Eastern Cape.
Goodyear’s decision forms part of its Europe, Middle East, and Africa restructuring strategy, aimed at reducing costs and improving regional operating margins.
According to filings in the United States, the restructuring will result in charges of approximately $100–$110 million, with projected annual savings of $10 million starting in 2026.
However, SAFTU and its affiliate, the National Union of Metalworkers of South Africa (Numsa), have denounced the move as corporate looting, accusing the company of sacrificing ordinary workers in pursuit of shareholder profits.
“Goodyear has operated in South Africa since 1932. Its success was built on the sweat and sacrifice of generations of South African workers. Now, as part of a global cost-cutting drive, it is discarding over 900 workers like disposable parts. This is not a failing company, this is profiteering at the expense of working-class communities,” Vavi said.
Goodyear’s closure is the latest blow in what unions are calling a “coordinated wave of disinvestment” in the Eastern Cape.
Earlier this year, Conti-Tech, a subsidiary of Continental Tyres, also announced the winding down of its operations at the same Kariega site.
The company produced conveyor belts for the mining and energy sectors, including Eskom, making its closure a threat not only to jobs but also to strategic industrial capacity.
Adding to the crisis, pharmaceutical manufacturer Aspen Pharmacare has initiated retrenchments at its Gqeberha plant, with NUMSA confirming it is involved in negotiations to protect workers there as well.
Meanwhile, SAFTU has also criticised the government for enabling these companies through public subsidies and procurement, only to be abandoned without consequences.
Goodyear and Continental have both benefited from schemes such as the Automotive Investment Scheme and support from the Trade, Industry and Competition Department.
Aspen received billions in state contracts and subsidies during the COVID-19 pandemic.
“These companies made their profits here. They received public support. Now they’re leaving and leaving destruction behind. We demand a full public audit and the return of any unfulfilled subsidies. Companies that extract value from our economy and then exit must pay penalties. Enough is enough,” Vavi warned.
NUMSA confirmed it has received a Section 189 retrenchment notice from Goodyear and is preparing to enter consultation.
In its statement, Vavi outlined a set of urgent demands aimed at reversing the tide of job losses and forging a new industrial path.
In terms of emergency negotiations, the federation called on all affected stakeholders, including Goodyear, Conti-Tech, Aspen, NUMSA, the department and local government, for crisis talks to develop job-saving alternatives.
SAFTU called for a moratorium on closures, suspending all retrenchments and closures pending social and industrial impact assessments and the development of worker-led proposals.
The federation called for transforming Goodyear and Conti-Tech operations into worker cooperatives with support from the Industrial Development Corporation (IDC) and Small Enterprise Development Agency (SEDA); and establishing a national skills programme to prepare workers for employment in green industries, logistics, and healthcare manufacturing, funded by a national Just Transition Fund.
SAFTU further called for exit taxes and accountability by introducing legislative mechanisms to penalise firms that disinvest after receiving public support, ensuring accountability to workers and communities.
As Eastern Cape workers brace for another industrial shutdown, the federation and its affiliate are calling on the broader labour movement and civil society to stand in solidarity.
The first round of consultations between NUMSA and Goodyear management is expected to take place later this month.
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