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The Slow Pace Of Rebuilding

When criminals went on a looting spree last month warehouses, shops and businesses were targeted. Stores like Makro and Truworths were hit and stripped to the bone.

Staff of many of the looted stores are still waiting on business to resume as normal as rebuilding takes time.

Truworths recently reported to shareholders that at least 27 of the looted stores are still not functional. In fact, they are still in the process of figuring out the losses and way forward. There will be insurance claims and the need to orgainse quotes from shopfitters and contractors to get things back to how they were.

In total 57 different Truworths stores were targeted and the brand has been able to open 30 of the stores so far. They are hoping to get that figure up to 48 stores by end of August.

Other brands are experiencing similar challenges as they try get their staff back to work.

Smaller owner-run businesses without insurance were also targeted by the criminal looting during the crime spree. 

Most large insurance policies have a small portion set aside in the overall payment towards Sasria – the SA Special Risks Insurance Association – who covers damage caused by riots and in this case the looting in July 2021.

Government Steps To Ease The Pain

Government has made several concessions and arrangments to try help those effected by the looting. For example:

UIF have been instructed to expedite payments to any who claim as a result of job losses or income loss as a result of the looting in July 2021. It is estimated that 75 000 employees benefited from this arrangement.

‘It is estimated that the looting caused losses of over R50 billion and has put 150 000 jobs at serious risk’

An employment tax incentive for a period of 4 months has been put in place to include any employee earning below R6500 and to increase the incentive to R750/month during that time.

Pay as you earn (PAYE) taxes have also been deferred for 3 months to help give affected businesses a little cashflow relief.

It is estimated that the looting caused losses of over R50 billion and has put 150 000 jobs at serious risk.