Update
MOSSEL BAY NEWS - It has been almost a year after the devastating fire that broke out at Mikeva Hyper in May, and some of the wholesaler's employees may now face retrenchment.
According to David Mogotlane, a spokesperson for Massmart, due to the lengthy amount of time required for the rebuilding of the Mikeva site (where Massmart is a tenant), the company has begun consultation processes with the store's former staff, which could lead to retrenchments.
These consultation processes began on 1 April. "Our current focus is to provide a fair consultation process to the affected employees during this period," said Mogotlane.
Following the fire, Mossel Bay Advertiser reported that more than 150 of Mikeva's staff would be supported in the future through an initial two weeks' special paid leave while Massmart was arranging for them to be placed in jobs at its other stores in the region.
"We can confirm that all employees from the store were redeployed to three other nearby Massmart sites, where they have worked on a rotational basis, for a maximum of two weeks per month," said Mogotlane.
He added that Massmart has continued to pay each employee their monthly salaries in full throughout the last 11 months and has been providing compensation for additional travel expenses to these alternative places of employment.
However, this arrangement was temporary and is now no longer financially viable, in part due to the lengthy rebuilding processes. Thus, in order to cut costs, a consultation process regarding the possible retrenchment of employees has begun.
Stratos Kritzas, one of Mikeva's landlords, told the Advertiser that his main concern following the news of possible retrenchment is the difficulties some of the former Mikeva staff may face when it comes to seeking new employment, whether at Mikeva once it reopens or someplace else.
According to Kritzas, many employees began working at Mikeva more than 20 years ago and did not have a matric certificate when they first applied for their jobs. "A matric certificate was not always required," he said.
Kritzas previously confirmed with the Advertiser that the Mikeva Centre was in the process of undergoing an upgrade, in the form of a new retail centre known as Mikeva Link, which will include new stores on the property.
Mikeva Link's location will remain where Mikeva Hyper previously stood near the Heiderand Mall on Louis Fourie Road in Mossel Bay, and is expected to reopen its doors in October 2027.
At the time of the fire, the Da Gamaskop Police had opened an investigation into the matter, but later determined there was no foul play.
Previous articles:
- Mikeva fire: What next?
- No foul play suspected in Mikeva fire
- Prayer meeting held after Mikeva fire
- Fire breaks out at Mikeva, Mossel Bay
- Woman injured in Mikeva fire
- Creation of 200 jobs delayed due to Mikeva fire
- Mikeva fire: arson docket opened, investigation under way
- Mikeva fire: 40% of building saved
- Mikeva undergoes upgrades, expected to reopen in 2027
‘We bring you the latest Garden Route, Hessequa, Karoo news’