By Priya Raghuvanshi

Copyright timesnownews

Coca-Cola Beverages South Africa is reportedly planning to cut over 600 jobs, according to a Bloomberg report referring to a Business Day report that cited a statement from Food and Allied Workers Union spokesperson Dominique Swartz. The company has initiated a consultation process by issuing notices of potential retrenchment to the affected employees, although a final decision has not been made yet. Union Pushback And Company Background The Food and Allied Workers Union has expressed strong opposition to the proposed job cuts, reflecting concerns over the already fragile employment landscape, as per the report. Coca-Cola Beverages South Africa, formed in July 2016 from the merger of six non-alcoholic bottling businesses, faces significant pressure to streamline operations amidst tough market conditions. Broader Economic Impact And External Pressures The report further adds that this proposed downsizing adds to South Africa’s mounting unemployment woes, with the country ranking among the highest globally in joblessness. Major firms like Ford Motor Co., Glencore Plc, and ArcelorMittal SA have also announced significant layoffs recently, signalling widespread economic strain. Further complicating the situation, the imposition of a 30 per cent tariff by the US government on South African exports under President Donald Trump’s administration threatens to deepen the crisis. The South African central bank warns that these tariffs could jeopardise approximately 100,000 jobs, particularly in the automotive and agricultural sectors, industries vital to the country’s economy. Layoffs Across Sectors Industries across sectors have been dealing with layoffs around the world. The current trend of layoffs reflects growing global economic uncertainty, with companies across sectors, especially in tech, manufacturing, and consumer goods, cutting jobs to streamline operations and reduce costs. Slowing demand, inflationary pressures, and shifts toward automation and AI have further accelerated workforce reductions. While some firms cite strategic restructuring, others are reacting to weaker-than-expected growth and cautious investor sentiment.