Skip to content Skip to left sidebar Skip to footer

Local Government News

20 May 2020 Media Release: Environmental Health Practitioners – Garden Route DM’s frontline workers

Media Release: Environmental Health Practitioners – Garden Route DM’s frontline workers

For Immediate Release
20 May 2020

The Garden Route District Municipality (GRDM) Environmental Health Practitioners (EHP) are working in the frontline through communities and workplaces, among others, to promote health and safety protocols that aim to address the spread of COVID-19. The National Health Act 61 of 2003 makes provision for a single national health system that includes EHPs who play a vital role in the management of pandemics.

“The roles and responsibilities of EHPs in response to COVID- 19 is significant and extensive.  EHPs employed at GRDM continue their work as essential workers during this COVID-19 pandemic and they are doing an excellent job in our sub-districts. I take my hat off to all our EHPs who work in the frontline – many of them have families at home who worry about them too and we are grateful for their selfless service, dedication and compassion,” said GRDM Executive Mayor, Cllr Memory Booysen.

Executive Manager Community Services Mr Clive Africa echoed Mayor Booysen’s sentiments and added that the “monitoring of the disinfection of high risk areas is also done by GRDM EHPs. Local municipalities are responsible for the disinfection of  communal and public toilets, taxi ranks and marketplaces, sidewalks, municipal properties, state owned properties, private properties, and camping sites.”

With their usual responsibilities, education by means of awareness programmes and visits to businesses have increased a lot. “GRDM EHPs have increased their education and awareness programmes in a bid to reduce the number of persons that could become exposed to COVID-19,” said Mr Johan Compion, Manager GRDM Municipal Health Services.

“When the risk of COVID-19 became more apparent, EHPs started distributing thousands of pamphlets and posters at shopping malls, supermarkets, food stores, spaza shops and to informal food traders,” Compion said.

Awareness about COVID-19 has been done through promoting proper hand washing techniques, social distancing, cough etiquette, cleaning, sanitising and continual disinfection of frequently touched surfaces.

EHPs also participate daily in the outbreak response teams activated at provincial and district levels by performing a range of activities, including:

  • ensure decontamination and disinfection of affected homes
  • contact tracing of those infected and their close contacts
  • monitoring of the management of the human remains and disposal of the dead
  • monitoring of the management of health care waste.

GRDM we would like to again extend a word of gratitude to our EHP essential workers out in the field leading the fight against the COVID-19 disease.

ENDS

Media Queries
Herman Pieters | Senior Communicator
Garden Route District Municipality
E-mail: communications@gardenroute.gov.za

19 May 2020 Media Release: Alert Level 4 Regulations – Business who are allowed to operate

Media Release: Alert Level 4 Regulations – Businesses who are allowed to operate

For Immediate Release
19 May 2020

Alert Level 4 Regulations – Business who are allowed to operate

A Risk-Adjusted Strategy based on a “deliberate and cautious approach to ease lockdown restrictions” is currently still in place in South Africa.  As from 1 May 2020, lockdown restrictions were eased from an alert level 5, to an alert level 4 during which a number of non-essential businesses were permitted to open, with the condition that they implement a number of measures to stop the spread of COVID-19.

Alert level 4 simply means that South Africa now embark on a staged re-opening of its economy; that some identified services and activities may resume under strict regulations, subject to extreme precautions required in order to limit community transmission and outbreaks.

According to the Disaster Management Act:  Regulations, alert level 4 gazette on 29 April 2020 no 43258; the following businesses are allowed for the time being:

AGRICULTURE, HUNTING, FORESTRY AND FISHING:

All agriculture, hunting, forestry, fishing and related services, including the export of agricultural products permitted.  Essential fishing operations, horticulture, forestry and beekeeping.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part A

ELECTRICITY, GAS AND WATER SUPPLY

All electicity, gas and water supply is permitted.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part B

MANUFACTURING

Manufacture of wholesale and retail products permitted to be sold under Alert level 4, all input products, permitted scaling up to full employment except where otherwise indicated, and subject to strict health protocols.

Manufacture of paper and paper products; plastics and packaging, including glass; ect.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part C

CONSTRUCTION AND RELATED SERVICES:

Civil engineering for public works projects, critical public works construction, road and bridge projects and other public works civil engineering projects. Critical maintenance and repairs are also allowed.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part D

WHOLESALE & RETAIL TRADE, COVERING STORES, SPAZA SHOPS, ECOMMERCE AND INFORMAL TRADERS

Food products, including non-alcoholic beverages and animal food.  The sale of hot cooked food, only for home delivery.   Toiletries, cleaning, protective, baby care, children’s clothes.  Stationery & educational books, winter clothing, bedding heating and medical suppliers.  Fuel, coal, wood, gas, car sales, e-commerce, hardware supplies, ect.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part E

INFORMATION AND COMMUNICATION SERVICES

All telecommunication services and infrastructure; information and communication technology services for all private and business customers; and postal services and courier services for all products and services allowed under Level 4.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part F

MEDIA AND ENTERTAINMENT SERVICES

Online services; productions for local broadcast; and live streaming of “the creative sector” in support of Covid-19; and newspapers and broadcasting.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part G

FINANCIAL AND BUSINESS SERVICES

If possible, work from home, Banks, the “payments” sector, insurers, savings and investment companies, medical schemes and outsourced administration are among the sectors that can operate. Private security services, call centre’s, essential financial services and payroll-related workers. Other professional services may operate only where work-from-home is not possible, and only to support other Level 4 services.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part H

ACCOMMODATION & FOOD SERVICES 

Accommodation not permitted, except for quarantine and essential services. Food delivery between 9am – 7pm, subject to curfew; no sit-down and no pick-up allowed.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part I

TRANSPORT & LOGISTICS, STORAGE AND COMMUNICATION SERVICES PERMITTED

Ocean, rail, road and air transport of goods permitted only for activities set out in Regulation 22(1). Cargo for domestic & other countries based on essential goods and level 4 services.  E-hailing services subject to restrictions on capacity and times.  Public rail, minibus taxi and bus services will resume at Alert Level and on terms as set out in Directions. Transport and logistics in respect of specified cargo specified in J1.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part J

MINING AND QUARRYING

Coal production for Eskom scaling up to full employment.  All other mining starting in batches scaling up towards 50% employment. Open-cast mining scaling up to a baseline of 50% and thereafter scaling up to full employment.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part K

REPAIR AND RELATED EMERGENCY SERVICES PERMITTED

Tow trucks and vehicle recovery services.  Emergency repair work including plumbers, electricians, locksmiths, glaziers and roof repair work.  Emergency automobile repairs for all persons.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part L

SUPPLY CHAINS

Production, manufacturing, supply, logistics, transport, delivery, critical 1 maintenance and repair in relation to the rendering of permitted services including components and equipment.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part M

PRIVATE HOUSEHOLDS EMPLOYMENT

Live-in staff, and staff providing care to the sick, mentally ill, elderly, people with disabilities and children.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part N

PUBLIC ADMINISTRATION, GOVERNMENT SERVICES AND OTHER ARMS OF THE STATE

Only essential government and administration services may operate.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part O

HEALTH, SOCIAL AND PERSONAL SERVICES

All medical and veterinary services.  Cleaning, sanitation, pest control, sewerage, waste and refuse removal services.  All social work, counselling, services supporting gender based violence, care and relief activities permitted.  Wildlife management, anti-poaching, animal care and veterinary services.  Funeral and cremation services.  Trade union essential staff for workers covered by Alert Level 4.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part P

EDUCATION SERVICES

Permitted on dates and schedules set out separately.

Regulations Gazetted on the 29th of April 2020 no. 43258, Table 1, Part Q

The regulations also outlined the conditions and restrictions of the alert level 4 lockdown, and placed a number of obligations on employers engaged in essential and permitted services to contain the spread of COVID-19.  Prior to operating from their premises, businesses must develop a “COVID-ready” workplace plan in terms of Regulation 16. According to the guideline provided in Annexure E of the Regulations, there are a number of requirements that the workplace plan must comply with. It should also be visible and retained for inspection purposes.  In addition to the workplace plan, businesses must designate a COVID-19 Compliance Officer to oversee the implementation of the plan and to ensure adherence to the standards of hygiene and health protocols at each workplace (office/location).

Under these guidelines, returning employees must wear masks at work. Employers must also require members of the public entering a workplace to wear masks.  Employers must provide each employee, free of charge, with at least two cloth masks to wear while at work or commuting.

The employees with COVID-19 symptoms must not be at work and employers must grant paid sick leave or apply for COVID-19 temporary employee/employer Relief Scheme (TERS) benefits.  Measures must be taken to minimise the contact between workers and between workers and the public in order to prevent transmission.  The number of workers in the workplace must also be minimised through shift or working arrangement to achieve social distancing.

Employers are also required to report any diagnosis of COVID-19 at work to the Health Department and the Labour Department of Employment and, investigate the cause, and take appropriate measures.

Social distancing

With regard to social distancing, workplaces must be arranged to ensure a minimum of 1.5 meters between workers.  If this is not practicable, physical barriers must be erected and workers must be supplied free of charge with appropriate Personal Protective Equipment (PPE). Social distancing must be implemented in all common areas in and around the workplace to prevent crowding, including working spaces, canteens and meeting rooms.

Screening

In relation to screening, employers must screen workers for symptoms of COVID-19 at the time that they report for work.  Workers with symptoms must be placed in isolation and arrangements made for their safe transport for a medical examination or for self-isolation.  Employees who recover from COVID-19 may return to work after a medical evaluation and subject to ongoing monitoring, in line with instructions of the Department of Health.

Sanitisers and disinfectants

Employers are also required to provide sufficient quantities of hand sanitiser with at least 70% alcohol content. Communal and shared equipment must be regularly cleaned and disinfected.

 Enforcement by labour inspectors

In relation to enforcement, labour inspectors are empowered to promote, monitor and enforce compliance with the directives. Failure to comply with the directives may result in the closure of contravening businesses.

18 May 2020 Media Release: Update from the Garden Route District Business, Economic and Tourism Sector:  business as “unusual’ and business continuity

Media Release: Update from the Garden Route District Business, Economic and Tourism Sector:  business as “unusual’ and business continuity

For immediate release
18 May 2020

Update from the Garden Route District Business, Economic and Tourism Sector:  business as “unusual’ and business continuity

In anticipation of the need for rapid action to recover the regional economy from the COVID-19 crisis, the Garden Route District Municipality (GRDM) established the Business, Economic and Tourism Cluster within the recently activated District Command Centre (DCC).  As part of the work undertaken within the Business, Economic and Tourism Cluster, the GRDM in partnership with the 7 b-Municipalities, Western Cape Government, South Cape Economic Partnership (SCEP), WESGRO, Business Chambers in the region and other important stakeholders, established a sub-cluster called the Business Continuity workstream – one of the three identified workstreams of the broader cluster.

The overall purpose of the Business Continuity workstream is to develop a recovery strategy for the district, addressing issues of business rescue, support and building of business resilience. To this end, work was done to map and analyse the economic sectors in the region according to the risk level and ability to recover. From this key areas that require robust interventions and projects to ensure continuity were identified. A draft Garden Route Business Continuity Strategy document, collated and compiled by the workstream, which is facilitated by SCEP was tabled in early May, and shared with the stakeholders and role players.

This plan was also informed by the results of the COVID-19 business survey for the district, as well as by inputs from sector experts and key stakeholders. The plan proposes solutions which will be implemented in the short, medium, and long term. The main objectives, at present, are to implement solutions and strategies that will ensure that the Garden Route is able to build a stronger, more robust and resilient economy into the future.

Although the COVID-19 pandemic and subsequent lockdown affected the whole economy across all sectors, some sectors will be able to ‘ride the wave’ and rebound sooner, but others will most probably be affected over a longer period. This depends on restrictions affecting them locally and internationally. Based on the analysis done on all the sectors as well as recommendations made by the workstream, special emphasis and measures will be further investigated and implemented in the near future into tourism & hospitality; construction services and to a lesser extent, agricultural sectors.

Sector experts and relevant support organisations/development agencies, are currently creating advisory hubs who will create an approach specific to the Garden Route. Lessons from others around the globe will be incorporated into the approach. Business sectors will be incorporated into existing forums in the region to ensure that all voices area heard and continuous support and programmes are inclusive.

15 May 2020 New regulations issued: Nurseries not open to general public but to agricultural sector

UPDATE 2020/05/18

The position of SAPS is that this media statement about the closure of nurseries is still valid – this is therefore the District Command Centre’s position. This position remains until new directives about nurseries are issued.

Media Statement
For Immediate Release
15 May 2020

New regulations issued: Nurseries not open to general public but to agricultural sector

The Garden Route District Municipality (GRDM) Command Centre on 5 May 2020 informed the public that nurseries are allowed sell all their items and are open to the general public. Yesterday, 14 May 2020, new regulations were promulgated and directives about nurseries and their operations during level four (4) were changed.

As it stands, the general public will not be permitted to visit nurseries under level four restrictions, but the public will now be permitted to buy plants online. This also includes the trading, donating, giving, and receiving plants online. Importing of plants are not allowed yet, but the export of plants will be allowed for bio-prospecting purposes only.

It is important to note that amendments of regulations are issued by national government, while local and provincial governments receive directives and have to follow suit. If there is ambiguity in a directive the GRDM Command Centre directs their concerns to the Western Cape Government or the South African Police Services for a legal opinion and/or  clarity.

ENDS

Media Queries
Herman Pieters | Senior Communicator
Garden Route District Municipality
E-mail: communications@gardenroute.gov.za

15 May 2020 Call for donations

Dear Members of the Public,

Don’t throw away old televisions and unused boardgames – donate it instead.

The management of sites housing homeless members from the Garden Route region kindly request members of the public to donate board games, chess sets and/or used televisions to the less fortunate.

To arrange for collection, contact Tippie Bouwer (Garden District Municipality official), Mon – Fri from 07:30 till 16:30.

E-mail: tippie@gardenroute.gov.za
Cell: 083 941 0885

15 May 2020 GRDM Disaster Management officials placed at municipalities to assist with disaster management

Press Release

For Immediate Release

15 May 2020

Disaster Management officials employed at Garden Route District Municipality (GRDM) have been, since 2 March 2020, placed at local municipalities in the Garden Route to render a full basket of services related to the Disaster Management function.

Both officers were appointed in November 2019 to predominantly focus on the strategic mitigation, preparedness, response and recovery of all disasters that the district is faced with. They both also hold an Honours Degree BBA in Disaster Management from the satellite campus of the Stenden University based in Port Alfred. For the first three months, they received in-house training from the Head of the Garden Route Disaster Management Centre, Mr Gerhard Otto, before moving to local municipalities.  Ms Lee-Ann Joubert is stationed at the Bitou and Knysna municipalities and Ms Martina MacDonald at Hessequa and Mossel Bay municipalities.  Apart from the broad services they render at these municipalities, the coordination of COVID-19 related activities and the reporting thereof now also form part of their function after the pandemic has been declared a national disaster.

Given their expertise and experience in the field, their daily tasks include the regular updating of Disaster Risk Assessment (DRA) documents and the Disaster Management Plan (DMP).   A DRA is one of the first steps in planning an effective risk reduction programme. It examines the likelihood and possible outcomes of expected disaster events. This assessment contributes directly to effective decision making, planning and control. Stemming from the DRA, is the DMP, which is a planning guideline for all internal, as well as external stakeholders, advising them on their roles and responsibilities throughout the Disaster Management field. It is the basis to establish procedures and ensure maximum and efficient utilisation of resources and minimise the loss of life and/or injury. The documents have to be updated regularly, as the information needs to be integrated into the Integrated Development Plans (IDPs) of local municipalities. Also forming part of their function, is to further address any gaps that the DRA and DMP might pose relating to the  effectiveness of the assessment and plan.

Since March 2020, these officials predominantly took part in the COVID-19 District Command Centre (DCC) meetings, the Joint Operation Centres (JOCs) at the respective municipalities, as well as Mayoral District Command Forums.  All these activities relate to the assistance and provision of support to local municipalities. Finer details include: ensuring that essential role-players form part of the JOC operations, administration, the coordination of support where required at the JOCs and to relay essential and disaster related information between various stakeholders through these relevant platforms.

From a broad perspective the roles of the officials are to assist where assistance from the District Disaster Management Centre is required, as well as to ensure that the local municipalities cooperate with regulations and directives from provincial and national government, to relay information throughout all processes and to escalate any enquiries and challenges that might derive from the local JOCs. And, even when the Covid-19 pandemic comes to an end, these municipalities will still be their permanent base of where they will work and report from.

15 May 2020 Covid-19 positive – communities to be supportive

Community transmission of Covid-19 is now well established in the Western Cape, which means that many people will be infected. However, it must also be noted that about 80 – 90% of people who contract Covid-19, will be able to recover without hospitalisation.

When facing a threat on a global scale, such as Covid-19, it is normal to feel anxious, scared, confused, and overwhelmed. Even more so with the overload of information available and our numbers of positive cases increasing.

It is normal to feel alone and frustrated. However, by limiting your exposure to other people, you can protect your family and yourself. If you must leave the house ONLY to go to work or essential shopping, wear a cloth mask, do not touch your face, stay 1,5 m away from others, and wash your hands often. We should try to avoid all physical contact with other people so that we can limit our chances of becoming infected or infecting others. If we do have contact, we should ALWAYS observe a distance and hygiene practice.

However, this does not mean we should be unkind to others and not offer to help our friends and neighbours. It is important that we stand together and that we support each other, especially our neighbours and friends who have tested positive for Covid-19.

Anyone can be infected with Covid-19 and anyone can carry the virus, even without showing symptoms. The Coronavirus does not discriminate between age, gender, race, or disability. However, not everyone is at the same risk of becoming very ill. Vulnerable people have a higher risk.

This is why it is so important that we take all the precautions we can to protect ourselves and our loved ones from Covid-19. People who are especially vulnerable are those with underlying medical conditions, such as hypertension, diabetes, lung disease, TB, and HIV.

 When someone in my community or neighbourhood tests positive

Please remember that there is no shame in being referred for testing or testing positive. Also remember most people will recover after a mild illness. Covid-19 does not discriminate, and anyone can be infected.  Communities need to support those who have tested positive.

It is normal to feel scared, anxious, confused and even panic because of the virus and what we don’t know. But these feelings should not make you discriminate against someone who has tested positive.

We should not stigmatise people who have tested positive. We must offer our support. Although you should avoid physical contact, you can support them by messaging or calling to ask how they are doing. As they and the rest of their household will be in isolation, you can offer to help by buying food or medication and dropping it off at their door.

Remember, we are in this together and must support each other.

 Health risk due to social stigmatisation

When someone who tested positive for Covid-19 feels scared or threatened by their community or neighbourhood, they might hide their illness to avoid discrimination. This can result in them not seeking healthcare, which can lead to their condition deteriorating and eventually spreading the virus to others. Remember, it is a difficult time for the infected or affected people and they need compassion, love, and support.

Instead of stigmatising or discriminating, you can offer to help them.

 

-END-

 

Nadia Ferreira
Principal Communications Officer
Garden Route and Central Karoo Districts
Western Cape Government Health
Town Clinic,Plettenberg Bay
Tel: 044 5333846

11 May 2020 Media Release: New Regulations for Accommodation Establishments

Media Release: New Regulations for Accommodation Establishments

For Immediate Release
11 May 2020

With the 1 May 2020 commencement of the Alert Level 4 restrictions which forms part of national government’s Covid-19 Risk Adjusted Strategy, changes were made to the requirements for accommodation establishments, especially where the housing of essential service workers are concerned.

According to the Disaster Management Regulations published on 29 April 2020 (“Alert Level 4 Regulations”), accommodation services are allowed as an essential or permitted service for the following purposes:

  • quarantine and isolation;
  • essential services workers; or
  • confinement of remaining tourists.

However, if an establishment provides accommodation services to essential workers or any service other than isolation or quarantine, permission has to be obtain from the Department of Tourism. Contact persons for permission include the following people: Mr Paul Mamola (pmasemola@tourism.gov.za) or Mr Keetso Makumbe (kmakume@tourism.gov.za).

The following information needs to accompany an application for the housing of people working in essential services:

  • The name of the company seeking accommodation (employer of essential services workers) with contact details;
  • Names and surnames (ID copies) of the essential workers who seek accommodation;
  • Expected dates of check-ins and check-outs; and
  • In case of accommodation request by South African Police Services (SAPS) and South African National Defence Force (SANDF), no need for submission of information in bullet 2 (the approval from the Minister of Tourism will be suffice for SAPS).

Although the Bizportal (https://www.bizportal.gov.za/essential_service.aspx) was updated on 1 May 2020 to include accommodation services, this is NOT necessary as per the above. Companies and Intellectual Property Commission (CIPC) Certificates are not compulsory, and in the case of accommodation establishments rendering services to essential workers, the relevant documentation needed serves as permission from the Department of Tourism.

In cases of housing guests attending a funeral no permission is required. The guests do however need to provide the accommodation services with a letter proving that they are attending a funeral and therefore had permission to travel, whereupon accommodation will be provided.

Here is some of the most common questions with answers regarding this topic:

Q: If I have essential and permitted services workers in my accommodation and have had for a while, do I need to apply to the National Department of Tourism (NDT) for permission to operate?

A: It would indeed be necessary to regulate your accommodation services by applying to NDT for permission to operate. This is essential as it ensures a list of all essential services workers that are in accommodation for tracking purposes if there is a need to find them. Permission can be obtained by contacting the Department of Tourism (Mr Paul Mamola – pmasemola@tourism.gov.za or Mr Keetso Makumbe – kmakume@tourism.gov.za for any further guidance.

Therefore ALL accommodation establishments on the booking portal and going forward MUST request permission from NDT to house essential services workers.  Are you able to contact all establishments on your booking portal to advise of the above new process that came into play?

Q: What happens if a person travelling for an emergency need to find accommodation?

A: The best solution would be to find an accommodation offering in the area that has permission to operate from the National Department of Tourism.  If you are unable to find such an establishment but an establishment without permission is prepared to take you in, they can apply immediately to NDT for permission.

Examples of emergencies can be a vehicle that broke down, or a family who is seeking accommodation close to a hospital where their close immediate family has been taken up and can’t drive back home, or a patient who has to travel far to get to see their specialist etc.

Q: Do I need a CPIC Certificate to operate as an accommodation offering for essential and permitted services workers?

A: You do not – What you need is permission to operate from the National Department of Tourism.  You will be required to provide proof that the workers are performing essential services, and will be required to submit all workers’ details, with their ID numbers, and occupancy dates.  Permission can be obtained by contacting the Department of Tourism (Mr Paul Mamola – pmasemola@tourism.gov.za or Mr Keetso Makumbe kmakume@tourism.gov.za).

Note this is not an essential services permit, but an approval from the Minister of Tourism, and will suffice for SAPS.

Please do not refer any accommodation establishment to the BIZ Portal for CIPC certification as it is not required. It was originally listed on the site again but I was advised that it was erroneous and that it will be removed.

These FAQ’s are also live under the travel FAQs on the website i.e. https://www.supportbusiness.co.za/faq/topics/travel-and-tourism/

Q: Do I need special permission to house guests attending a funeral?

 A: You do not. The guests are just to provide you with a letter proving that they are attending a funeral and therefore has permission to travel.

Please remember to direct any accommodation establishment wishing to list their property operational for the house of isolation cases and or, quarantine cases and or essential workers during the pandemic to the booking portal found on the following link: https://hsolutions.app/hcomm/public/covid19-booking – They’ll see the “register your establishment” link in the top right hand corner of the landing page.   This is also the same link to use to book accommodation.

All other accommodation queries can be sent to the Support Business Team via supportbusiness@wesgro.co.za. A dedicated team is available and ready to assist with tourism related matters.

7 May 2020 Media Release: Western Cape Business Survey Report – Garden Route Business Impact

Media Release: Western Cape Business Survey Report – Garden Route Business Impact

For Immediate Release
7 May 2020

To assist the Western Cape Government to better understand the impact of COVID-19 on the business sector and to determine how government can best support businesses for planned recovery, the Department of Economic Development and Tourism within a week from the pronouncement of the Disaster Management Act and the first lockdown period activated, conducted a survey with businesses across the province to establish the extent of the impact of COVID-19 across all regions.

The survey was intended to reach out to businesses of all sizes across the metro and all five districts, in order to gather real-time economic insight. Provincial government, municipal forums and agencies, social media platforms, sector bodies and organised business partners were amongst the range of networks accessed as widely as possible to gain essential information. Within 10 days the study exceeded 2000 responses from across the Province and the survey closed on 14 April 2020 with 2150 respondents having participated.

In general terms, the survey asked businesses to reflect how they are affected, how they believe they will be affected, what business recovery support they need and what assistance they believe they require in building business continuity.  In each category of questions, responses were verified as complete and valid.  The survey covered not only SMMEs but a number of bigger businesses as well.

The focus areas / questions of the survey were as follow:

  • Single Site Business Response Distribution
  • Standardised Sector Distributions
  • Business Size by Employment
  • Number of Permanent Employees
  • Indicated turnover of respondents
  • Does your business export?
  • Have you identified new business opportunities as a result of the pandemic?
  • Have you had to source from different suppliers?
  • Has your business had to cancel any business contracts due the COVID-19 pandemic?
  • Are you able to pay your most important business expenses?
  • FIRST biggest monthly expense – 2078 Respondents
  • Do you think you will be able to meet your FIRST biggest expense during the next 6 months
  • Perception on SECOND biggest expense during the next 6 months
  • Do you think you will be able to meet your SECOND biggest expense during the next 6 months
  • What business strategies are Businesses considering?
  • Have you informed your bank, shareholders and other important stakeholders regarding the impact of the pandemic on your business?
  • Have you communicated to your staff, to ensure adherence to the national protocols for the virus?
  • Have you informed your staff of the potential impact on them should the situation not return to normality soon?
  • How well informed do you feel you are regarding?
  • COVID-19 business-related information?
  • What have been your three primary sources of COVID-19 business-related information?
  • Have you implemented a Work-from-Home (WFH) arrangement at your business/enterprise?
  • Do you have a business continuity plan, and have you implemented it?
  • Are you aware of the www.supportbusiness.co.za website?
  • Are you interested in receiving tips and assistance with taking your business digital?

It was found that many of the businesses surveyed are dependent on domestic demand and only 10.6% of them export. The South African economy is expected to contract sharply. The Reserve Bank estimates that a contraction of 6.1% is likely, the IMF -5.8% and Moody’s -2.5%. Business for South Africa projects the economy could contract by a whopping 10%. Regardless of what the exact size of the contraction will be, it points to the fact that demand will be constrained, and many businesses are destined to experience challenges to remain operational.

Even though businesses face the same storm, it was evident from the survey that they are not all in the same boat.  It appeared that nearly 99% of firms are keeping their staff informed about the virus and are trying to make sure that they adhere to national protocols.  The three primary sources of COVID-19 business related information that businesses used to inform and enhance their thinking and decisions, have been; (1) News websites, such as News 24, Daily Maverick etc. (73%), (2) Television and radio (55%) and (3) Official Government Websites (41%).

The insights gained from analysing the business survey reveal several recommendations that could help mitigate the impact of COVID-19 on business.

The recommendations are the following:

Both businesses and employees need support, urgently.

  • Many of the businesses surveyed are dependent on domestic demand. Although demand is, and probably will be constrained in the near future, support to stimulate demand is needed as businesses are challenged to remain operational. Particularly, businesses in the retail and trade, construction and general services sectors predict that they will generate no revenue over the lockdown period. A gradual lifting of lockdown restriction is needed;
  • With no revenue coming in, business needs assistance with wage and rental bills that are accruing;
  • Business needs assistance with operational cost buffers to address overheads and cashflow challenges;
  • Business requires government to consider municipal utilities and tax relief or reprieves (like interim concession on carbon tax, PAYE, etc.);
  • Business needs assistance to understand the implications and gain access to, support containment strategies around bridging finance and business continuity planning;
  • Similarly, business needs to understand the implications of selecting containment strategies like downscaling, wage reductions, retrenchments and business closure;
  • Businesses need to be encouraged to reach out to banks, shareholders and important stakeholders to learn what support may be available; businesses need to be informed about any opportunities that may exist in their sector;
  • Institutions like banks, insurance companies, business chambers, etc. need to give serious consideration to where they direct appropriate support and ‘put skin in the game’;
  • It is particularly important that businesses engage with their banks given that financial containment strategies have been identified. Support is required around issues like debt restructuring or reduce the cost of borrowing, reduction in bank fees, etc.;
  • Insurance companies to consider reducing excess amounts on insurance claims; Insurance companies have been less visible in announcing support to business than the banks have. There should be an exploration to see what can be offered; greater awareness (like that required for the banks), is needed;
  • Organised business formations like business chambers and sector forums to establish working groups on innovative ways where some sectors could increase their work-from-home segment of their operations, consider online processing and/or sales; and
  • Existing consumer behaviour (and delivery constraints) limit expanding online sales; however, there is an opportunity for consumer education by retailers for various LSM levels. Now is the time to educate South African customers to shift shopping

Workers need support with the ability to return to work and earn.

  • Easing and opening of sectors require lockdown restrictions to lift, i.e. essential needs to be redefined in an evolving manner.;
  • The provision of protective wear for all workers needs to be mandatory where any new sectors or industries can operate;
  • Workers need safe and sanitized public transport options; and
  • Workers need government support to consider minimizing short-time and retrenchments.

Government needs to protect jobs and drive recovery of the economy.

  • Government needs to consider financial and non-financial support interventions and measures to assist business and employees in the above areas highlighted;
  • Government needs to accelerate availability and applicability of support strategies, schemes, funding models and most importantly, access for business and workers (like secured access to UIF funding support); and
  • With more than 80% of respondents to the survey being SMMEs, dedicated support from government, for small business, is imperative. The survey shows that these SMMEs do not have financial buffers for an extended period of inactivity.

Greater awareness and access to information needs to increase.

  • Feedback to businesses via as many networks as possible on this ‘snapshot’ of the two-week real time window’ of the local economy;
  • Communication Initiatives are still not optimally reaching businesses and increased awareness of websites hosting business information and support available, needs to occur; and
  • Businesses need to be fed tips and be given assistance on how they could take their business digital.

From Western Cape Business Survey it became apparent that there is a significant role for everyone to play.  The intent is that Western Cape Government and its partners – municipalities, agencies, sector bodies, organised business and most importantly businesses that shared their experiences – utilises the real time information, to better understand the impact of this pandemic on our regional economy, but more importantly on business. The survey offers the opportunity to economic stakeholders to gain insight into enterprise, sectoral and municipal impact areas.

In the Garden Route district a decision was taken at the Garden Route District Business Economy and Tourism Cluster to promote local economic development by procuring products and services locally, as far as possible. Municipal LED units are also actively assisting small businesses with information and applications for available government assistance and funding.

We realize that Businesses and workers need to play its role to ensure business continuity and economic resilience of their entities.

Government and all its partners need to protect workers and stimulate a more resilient economy to emerge. To do this, government at all three spheres, should position and align its initiatives to ensure effective recovery support in the short, medium and long-term is activated.

Even though we have been thrust into a pandemic without too much time to prepare, it is encouraging to know that many businesses have been able to implement working-from-home arrangements.  We believe that recovery is possible, but only if we remain resilient and work together.

ENDS

Acknowledgements:

Western Cape Government

Issued by the Garden Route District Economic, Business and Tourism Cluster