South African strike disrupts GM output

The unappeased labour movements in South Africa penultimate week briefly forced General Motors (GM) to suspend auto production at its most important plant in the country due to parts shortages from when the strike started.

Africa’s largest and most advanced economy has seen rising labour unrest as the wage strike by the National Union of Metalworkers of South Africa (NUMSA) hit auto parts supplies, besides other sectors of the economy, and only coming around a week after a platinum industry five-month walkout ended.

While last year the auto industry in the country was hit by a major labour move, this time the strike is affecting indirectly, as the NUMSA decided to decline an offer made by the Steel and Engineering Industry Federation of Southern Africa (SEIFSA).

According to Denise van Huyssteen, GM’s spokeswoman, the production stop was caused by parts supplier issues and affected the US automaker’s manufacturing facility in the coastal city of Port Elizabeth.

In related news, Toyota, the world’s largest automaker, said its business activities in the country have not been hindered by the labour conflict, although the strike shut down the supply of components to the local industry.