If Edcon can be bailed out, why not construction firms?
What about the workers? Strange that the government (or the PIC) has not yet come to the industry’s rescue
If the Reserve Bank and Public Investment Corporation (PIC) can bail out the likes of Edcon and African Bank, and the government can prop up SAA and other failing state-owned enterprises, why can’t they save SA’s major construction groups?
The construction industry has been decimated over the past decade because of a dearth of infrastructure projects – a direct result of the deterioration of SA’s public finances.
Construction companies are major employers, meaning their potentially terminal decline will herald big job losses. Group Five, established in 1974, employs more than 8,000 people. It and other former industry stalwarts, including Basil Read, are fighting for survival after being forced into business rescue...