The road freight sector and Transnet will need to work together to mitigate the effects on the state-owned logistics utility should it manage to fulfil its mandate of providing an efficient transport service, as intended, in the future.
The chief executive officer (CEO) of the Road Freight Association (RFA), Gavin Kelly, said the transition of certain cargoes back to rail would have diverse effects on the sector, not least the employment of drivers.
He was responding to a statement made by Transnet's CEO, Portia Derby, that South Africa’s increase in trucking due to higher coal demand and strong revenue margins may result in significant job losses in the transport sector if rail alternatives improve.
According to the Minerals Council South Africa, over 3 500 trucks per day transport mining products across the nation's roads, more than double the figure recorded in 2020.
Derby stated that the trucking sector needs to initiate earnest discussions to devise a model incorporating truckers into the long-term solution.
Kelly mentioned that the RFA knew there would be an impact on employment concerning drivers.
However, the impact extends much further as an entire support staff must be considered, from those who maintain, service, repair, and prepare vehicles to those who manage aspects related to road haulage operations, such as scheduling, dispatching, ordering, replacement, sales, and human resources.
“That’s why, as seen in the past, when companies lose vehicles due to protest action, they cease operations, affecting a myriad of jobs within the supply chain and provisioning,” said Kelly.
He said more important questions to ask are: what will play out in the employment market relating to those in the road freight industry, and what Transnet will do to take up currently employed individuals from the road freight sector in the event of job losses.
Kelly emphasised that what, when, where and how questions relating to the movement of certain commodities on specific routes need to be examined as a matter of urgency. “Development programmes designed to move employed individuals around the greater logistics sector need to be created,” he said.
