EconomyTop Stories
GBO_Motus

Motus cuts 86 jobs as financial strains hit South Africa’s motor retail market

The layoffs and continuing adjustments by Motus highlight the financial strains on South Africa's retail automotive industry, as well as the vital role unions play in negotiating just outcomes for workers

In South Africa, Motus Retail (Motus) has retrenched 86 employees as part of a wider restructuring, and 579 employees will be affected by remuneration and benefits changes from 1st January 2026, IOL and Novus Media reported.

The Motor Industry Staff Association (MISA) has been involved in one of the largest interventions this year, as Chinese automotive brands increase competition for local operators, with 86 employees retrenched and 579 affected by remuneration and benefits changes from 1 January 2026.

Martle Keyter, MISA chief executive officer, operations, said the union tried to minimise the impact on employees and resist unreasonable cuts to long-standing benefits.

“At first, there could have been up to 900 employees who might have had their remuneration and benefits realigned,” MISA chief executive officer, operations, Martle Keyter said, adding that MISA has managed to minimise the number of employees affected.

Even so, Martle Keyter was concerned about proposed reductions of 30% in cost-to-company (CTC) packages, with the methodologies of these calculations remaining unclear.

She confirmed that MISA did not sign an agreement at the end of the final facilitation session and is still reviewing the reasonableness and fairness of the changes made.

The layoffs and continuing adjustments highlight the financial strains on South Africa’s retail automotive industry as well as the vital role unions play in negotiating just outcomes for workers.

Meanwhile, the second half of its financial year saw a better recovery of sales and profit margin, as well as improved operational efficiencies, due to focused management actions following a muted first half, Motus Holdings said.

The first half of trading for the automotive group had been characterised by economic uncertainty in its operating regions, high interest rates, and intensified competition. Investors seemed to like the results, as the share price increased 3.87% to R108.43, when the JSE All-Share Index was down 0.53%.

Related posts

UAE to become Gulf’s fastest-growing economy by 2023?

GBO Correspondent

Go Green with GBO: Charting Indonesia’s transition to a cleaner economy

GBO Correspondent

Trust gap hurting banking sector on cybersecurity front

GBO Correspondent