Union challenges CCBSA’s retrenchment plans, alleging legal breaches and calling for worker transfers instead of job losses.

SOUTH AFRICA – Coca-Cola Beverages South Africa (CCBSA) has announced a major restructuring plan that could lead to the retrenchment of more than 680 employees.
The company cited financial pressures as the reason for the decision, which includes the planned closure of its manufacturing plants in Bloemfontein and East London.
According to an internal communication, CCBSA intends to offer “generous separation packages” to affected workers. The company has also proposed voluntary severance packages as an alternative to forced retrenchments.
The Food and Allied Workers Union (FAWU) has voiced strong opposition to the plan. FAWU Deputy General Secretary Edwin Mabowa confirmed the union had received a Section 189 notice of intention to retrench, alongside an application to the Commission for Conciliation, Mediation and Arbitration (CCMA) for facilitation.
The first CCMA meeting is scheduled for Friday, September 19, 2025.
Mabowa accused CCBSA of bypassing union protocols and negotiating directly with employees ahead of the CCMA meeting. “Section 189 is a legal process,” he said, alleging that the company’s phased consultation process was “illegal” under labour laws.
He further questioned the company’s rationale, stating that CCBSA “does not plead poverty” but is restructuring to realign its operations. Mabowa noted that the majority of affected employees are cleaners, a service CCBSA says falls outside its core business focus.
FAWU has outlined its strategy to counter the retrenchments, advocating for a Section 197 transfer of cleaning staff to a dedicated service provider instead of dismissals.
The union also raised broader concerns about foreign ownership of South African businesses, linking CCBSA’s move to previous rounds of retrenchments following mergers and acquisitions.
Mabowa confirmed FAWU has invited the Department of Trade, Industry and Competition to discuss the matter, citing similar job cuts at CCBSA in 2016 and 2019.
Both parties are scheduled to meet with the CCMA on Friday to discuss the next steps.
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