NAS PROJECTS
Specific Objective 2 (SO2) – Social Services
16 September 2008
The remoteness of the lowveld from Manzini and Mbabane meant the sugar mills had to provide a full array of services to the staff in what became /company towns (Mhlume, Simunye, Tshaneni, Tambankulu and Big Bend). The amenities provided include housing, clean water reticulation, sewage, electricity, refuse collection, good roads, crèches, primary and secondary schools, technical education facilities, clinics, hospitals, sporting and recreational facilities and clubs.
The companies could afford to do this when they enjoyed preferential prices. With the constraints and on the EU market coupled with lower world market price for sugar, the companies have been forced to cut costs. The easiest way to do this was to reduce drastically both personnel and the provision of social services (education, health and housing), which represented 45% of costs. The total workforce has declined from 10,000 to 5,600.
The NAS recognized that financing of these services cannot simply be abandoned or simply handed over to the state immediately. It should seek alternative models to try and ensure access to services, and to mitigate the impact on those who lost their jobs.
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