Tongaat Hulett Troubles

[Binary_Bark]

Shame man, were you able to find employment soon after?

4 months later

 

[flippakitten]

This is mostly the fault of upper management, yes the sugar tax did not help.
But the over estimation of profits had the company spend more money than it actually had, thus now leading to people being laid off and other assets being sold to try and get back some funds.

Thank you, it really does help to form a picture of the whole situation.

 

[The_Right_Honourable_Brit]

I just wanted to post that. I wonder if sugar tax helped cause this.

Yes - Coca Cola SA, one of the biggest sugar customers in SA, has changed their formula to include less sugar. The sugar industry is in a pretty bad place at the moment.

 

[VikashLurker]

My heart really goes out to those who have worked hard all these years only to have their food taken off the table. Skilled labor will eventually find work but for most, they just going to add to the unemployment statistics.

 

[Grant]

4 months later

to my friend's family business ?

 

[rietrot]

4 months later

Are you going to change your username?

 

[TheChamp]

I doubt it. Sugar sells itself. It's hugely addictive. This was a management issue. These workers will now learn first hand just how much the government will help out here....and maybe next time, vote better

So who did they vote and who should they vote for next time?

 

[rietrot]

So who did they vote and who should they vote for next time?

If they have any sense and learned anything not the DA. They will probably increase sugar taxes.

 

[REAList_1]

Marcus Jooste accounting practices.
Of course the world cutting down on sugar is not helping at all.
And the sugar tax is also a big contributor.
I really hope the workers will come right in other industries.

 

[rietrot]

The job losses are due to sugar tax. The mismanagement of the finances has hit shareholders hard, but it didn't affect the production of sugar and if sugar was still selling all the workers would be needed to, well work, to get out of the financial mess. Which is mostly about property(I think)

 

[BBSA]

The job losses are due to sugar tax. The mismanagement of the finances has hit shareholders hard, but it didn't affect the production of sugar and if sugar was still selling all the workers would be needed to, well work, to get out of the financial mess. Which is mostly about property(I think)

Lots of their properties was earmarked for property development, but received head winds after the ANC announced they were planning to change our constitution regarding property rights.

 

[midnightcaller]

Very sad to hear this.

What will happen to all that land?
The owners must have another plan for that.

 

[R13...]

The job losses are due to sugar tax. The mismanagement of the finances has hit shareholders hard, but it didn't affect the production of sugar and if sugar was still selling all the workers would be needed to, well work, to get out of the financial mess. Which is mostly about property(I think)

Their problems are I think mainly related to how they valued land, so they were kept afloat by that more sugar sales during the times when sugar sales were down which happened now and then. If it was just sugar tax, it'd have impacted on the other players as well. Their accounting irregularities that led them here are from back before the sugar taxes.

 

[rietrot]

Lots of their properties was earmarked for property development, but received head winds after the ANC announced they were planning to change our constitution regarding property rights.

I think they just overstated the value after that big fancy estate in Balito was so successful, but I don't think there is a market for to many more of those.

I don't see why it would have affected sugar production? Maybe I'm missing large piles of debt and cash flow problems, I didn't look into that deeply.

 

[Sean008]

Are you going to change your username?

Back to yorkie ?

 

[Sean008]

Yep, cooking the books didn’t stand this company in good stead. The entire exco should’ve been taken to task. And not be allowed to get away lightly

 

[Jabulani22]

Could this be related to sugar cut backs and sugar tax?

Doubtful , the sugar tax was meant to be paid by companies using sugar and not the customer ,in the end the customer got it (smaller soft drink size for same price).

 

[Mila]

Always sad when this happens.

 

[LD50]

Are you going to change your username?

LOL

 

[Binary_Bark]

to my friend's family business ?

Are you going to change your username?

No