Job Creation: Who is Smoking it away?

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We, at IR Insights, are always conscious of how court decisions affect your day-to-day business. The law on cigarette trade may not be of interest to everyone, but what is interesting is that this is one of few occasions where trade unions and employers are sitting on the same side of the fence!

Illicit trade has an unfortunate effect on both employees, employers and the economy as a whole. At a time when job creation is really critical, in South Africa, we really need to get government attention on how to stop people making a quick buck at the expense of those who can benefit so much more from participating directly in the economy.

Have a read through the news article below and then please Leave a comment below to tell us what you think the government should do to boost job creation and get rid of illicit trade?”

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salabournews reports:
Wednesday, 15 August 2018 15:39
fawuANA reports that members of the Food and Allied Workers Union (Fawu) were joined by tobacco farmers and informal traders on Tuesday as they marched to the National Treasury offices in Pretoria’s CBD.
They were protesting about the thriving inflow of illegal cigarettes into the South African market, suffocating the local business.  Katishi Masemola, general secretary of Fawu, explained:  “Our mandate is to protect the jobs of South African workers because they are the fuel of our economy.  We know that the illicit trade of tobacco is a huge problem that continues to cripple the development of our economy.  These criminals are getting away with a wide range of serious offences, including tax evasion, which is in turn eradicating jobs.  Although these criminals are known – absolutely nothing is being done to bring them to book, which is unacceptable.”  Fawu demanded that the government must immediately clamp down on the suppliers of the illicit tobacco.  The union added that the local informal business sector, “which is the backbone of township economies and source of jobs for people in townships, is crumbling due to the infestation of the market with illicit cigarettes.”

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