Aspen preparing for new round of retrenchments in Eastern Cape

Aspen South African Operations is gearing up for another round of retrenchments at its Gqeberha and KuGompo City facilities in the Eastern Cape.

In 2025, Aspen retrenched nearly 800 employees — 134 in February and 644 in December.

Before the retrenchments, the pharmaceutical company had 2,064 employees in Gqeberha and 451 in KuGompo City.

It is understood that a further 300 jobs are now on the line.

In a letter to staff on Tuesday, Aspen South African Operations executive general manager Branson Bosman told staff they would receive Section 189A notices within 24 hours.

“This marks the start of a formal consultation process in terms of the Labour Relations Act,” he said.

Our operations continue as normal, and we remain committed to Aspen’s purpose of providing access to medicines and improving the lives of patients.

—  Aspen South African Operations executive GM Branson Bosman

“Aspen will apply to the CCMA for the appointment of an independent facilitator to guide this process.

“The consultation is intended to consider the operational challenges we face, explore proposals and alternatives, and do so in a structured way.”

Bosman said no final decisions would be taken before the consultation was concluded.

“Our operations continue as normal, and we remain committed to Aspen’s purpose of providing access to medicines and improving the lives of patients.

“I recognise that this may be a difficult moment, and I want to assure you that the process will be managed with care and diligence.”

Chemical, Energy, Paper, Printing, Wood and Allied Workers Union spokesperson Karools Adams said the union had not been served with a 189A notice.

However, Adams said he was aware of Bosman’s letter.

“We are still waiting, so we don’t know how to comment until we have seen the notice.

“Once we have that notice, we will be able to see how many people are affected.

“We don’t know why they are quiet.

“A couple of weeks back, they had us in a meeting, and I could see the problem.

“We are anticipating that they aim to reduce, for example, the extended hours of work.”

Aspen SA spokesperson Shauneen Beukes declined to comment on the issue.

She said the company did not engage in employee or internal matters through the media.

During the Section 189A consultations last year, Aspen reiterated that the closure of its eyedrop production facility, the loss of key contracts and rising costs had severely strained its finances, with losses projected to run into the billions of rand in 2025.

The Herald

Geoff Hookins
www.timeslive.co.za

Author: Geoff Hookins

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