OVER 30 jobs will be lost following the closure of liquor outlets along the UNESWA Kwaluseni corridor.
More are yet to be lost just before the start of next month.
While 15 are already jobless, more will soon be out of jobs as more of this type of businesses will be closed by the end of July.
The former were employed at Ekhayeni Chillaz, a business that is located opposite the University of Eswatini (UNESWA) Kwaluseni Campus entrance.
The business ceased operations barely a week after Minister of Commerce, Industry and Trade Manqoba Khumalo issued a statement on January 17, which informed the public about the ministry’s ‘decisive action on non-compliant liquor businesses.’
In the statement, the minister said licenses to operate for the liquor businesses situated opposite the UNESWA, Kwaluseni Campus, would not be renewed following complaints that had been officially lodged with the ministry.
The ministry also encouraged members of the public to continue reporting liquor businesses, especially those in close proximity to learning institutions, which failed to comply with the terms of their licenses and law.
Last Wednesday, the minister said all liquor outlets along the Kwaluseni corridor would be closed, and that operators had already been informed about this decision. Khumalo said this when responding to complaints by Members of Parliament (MPs) about the negative impact of the closures on the business operators, and the disparity in effecting the law.
According to Ekhayeni Chillaz’s operator Blessing Ndlangamandla, no one gave him any notice regarding the closure. He said he learnt about the ministry’s resolve through the media. The businessman stated that he was taken aback by the ministry’s decision because he had just renewed his trading license when the news broke out.
“For a few days after the announcement, I sold the stock I had and closed thereafter. I needed to make a business decision to prevent further financial losses,” said Ndlangamandla.
He added that some of his employees had not been paid to date because his coffers remained dry after the debacle.
Also, he said around the same time that the statement was issued, he had already started a renovation project of the structure with the aim of improving his business.
Loan
“The overall budget for this new project was about E1 million and I had taken a loan for it. When the ministry issued the statement, I had already used up between E600 000 and E700 000. I was left sinking in debt,” said Ndlangamandla.
Meanwhile, Mnyaka Dlamini, who owns and operates Varsity Corner Bottle Store and Varsity Restaurant and Liquor, said he had invested about E0.5 million. He said he had employed 15 young people, including security personnel, but all these will soon be unemployed as a result of the business closure.
Dlamini said he received a notice to cease operating the businesses by the end of this month. He said he had been afforded a transition period, which ends this month. When asked if he would implore other business ventures or lease out the structures, Dlamini said he was still not sure.
“The set-up of both businesses entails that if a new business is to be conducted here, massive renovations will have to be made, which is a challenge for me because I have already lost a lot. No one compensated or will compensate me for the closure,” said Dlamini.
When speaking during the ministry of commerce, industry and trade first quarter performance report debate last week, Minister Khumalo, when asked how the ministry supported these business people, said the latter were encouraged to find compliant places to operate the businesses. He said the process of obtaining licenses to operate in the new locations would be expedited by the ministry.
On another note, a manager for another liquor outlet near the university said he was also affected by the ministry’s decision to close the businesses. He said although he managed to get a new tenant with a different business idea, he made a loss because there was stock available when the closure was effected.
The overall investment into the business, he said, was about E1.2 million.
The manager expressed dissatisfaction over the manner in which the matter was handled. When asked if he was aware that there were grievances about the location and operation of the business, he said all he knew about was a complaint over parking issues. He said there was a registered complaint that patrons parked their cars such that they blocked motorists from accessing the university.
“Closing the businesses will not solve anything because the university students will find other liquor outlets to buy alcohol. In fact, they now support illegal drinking holes close by where it is not safe. At least there were bouncers who ensured peace and safety in the businesses this side,” said the manager.
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