STATE OWNED ENTERPRISES COULD LEAD RETRENCHMENTS AMID ECONOMIC STRAIN

Article By: Gilbert Manenye

Job cuts may be on the horizon for Botswana’s state-owned enterprises if the country’s economic outlook doesn’t improve soon.

According to the Institute for Labour and Employment Studies (ILES), while the government is likely to avoid public sector retrenchments in the short term to prevent political backlash, state-owned companies could see downsizing.

Speaking to Gabz FM News, ILES CEO Shandukani Hlabano warned that pressure on the national wage bill is growing, citing Finance Minister Ndaba Gaolathe’s earlier remarks about tough budget conditions.

Hlabano also noted that the private sector has already begun shedding jobs, citing weak consumer demand and a slowing economy.