The SA Road Passenger Bargaining Council (SARPBAC) said on Monday that the bus passenger sector had lost 7,000 jobs from the start of the Covid-19 outbreak and 32 companies had closed down.

In a joint media statement by the SARPBAC and the Southern African Bus Operators Association (Saboa), the organisations said they had been canvassing the department of transport for more than two years for a bus indaba without any success.

The council said during this period and for the previous decade, the bus and coach industry slid into a declining state of unsustainability, and the entire industry value chain and stakeholders were facing a point of no return.

“It is concerning to note that the findings from SARPBAC effectively confirm that the industry is being eroded due to an almost perfect storm of Covid-19, macroeconomic factors and the depressed localised conditions. 

“Recent research into the effects of Covid-19, focusing on employment within the industry, reflects a dire situation. Covid-19 has directly affected 40% of entities (parties and nonparties) in the industry,” SARPBAC said.

Saboa executive manager Bazil Govender said research also found that from the onset of the Covid-19 period until now, 32 — mainly small to medium non-party — companies have closed their doors and are no longer in existence.

He said it appears only two companies are attempting to re-enter the market, but it will take a long time for them to re-establish themselves. 

Govender said many entities opted for the retrenchment route to ensure sustainability and remain in business.

The industry has lost about 7,000 employees from the measures implemented.

All 15 unions operating within the industry lost membership, leaving some on the brink of exiting the sector entirely. The unions’ statistics indicate losses of membership totalling about 6,000 members.

“This is a clear indication that there is a need for industry stakeholders to make a concerted and collaborative effort to stabilise the industry for survival, as well as to be able to provide a service to our communities and continue to provide employment while ensuring the nation has access to mobility.”

The two organisations said an escalating level of crime, intimidation and extortion of the bus industry from rogue elements added to its plight.

The industry could not solve the systemic faults and long-standing policy issues in public transport on its own. The organisations have called for the minister of transport to urgently engage with the industry and commit to a bus indaba.

“This will allow for a focused approach to the priority issues to be addressed collectively, with commitment from all social partners. It will create a platform for further policy certainty and thus attract the desired investment into the sector, sustaining the workforce and generating additional employment opportunities,” said Govender.

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