Over 200k Workers Could Lose Their Jobs In Wc Due To Covid-19 – Treasury

The Western Cape Treasury said 240,000 people could lose their jobs due to the coronavirus pandemic.

It said this was a preliminary estimate as businesses across the country buckled under the financial pressures brought by the virus.

The provincial Treasury Department head David Savage on Sunday said of the over 200,000 job losses predicted, several came from the tourism industry.

“Up to 43% of all Western Cape job losses are around tourism and tourism-related activity,” Savage said.

It was estimated that half of all tourism businesses could close down.

Savage said the construction industry was expected to account for 17% of the job losses.

He said these preliminary estimates were based on modelling done by the Department of Economic Development and Tourism.

“They have used a social accounting matrix model with some deep econometrics modelling. It is based on scenarios, on assumptions of the length of lockdown,” he said.

He added this modelling would inform the economic recovery plan, which would be communicated in due course.

EWN