Saturday, April 12, 2008

World Cup building ban 'could cost jobs'

Plans to ban construction during the 2010 World Cup could have a negative impact on the city's economy and jobs in the construction industry, business says.

Both the Cape Town Regional Chamber and the Chamber of Commerce of South Africa (Chamsa) have warned that the move could be detrimental to economic growth if it was widespread.

The city, as part of the Fifa Host City Agreement, is required to halt construction near stadiums and roadworks on major roads during the six week period of the tournament.

Dr Laurine Platzky, the Western Cape co-ordinator for the 2010 World Cup, said the same principle was applied in other host countries such as Germany and was implemented for safety and health reasons and to allow free movement of people and traffic.

'We know the ban is part of Fifa's requirement'
But chamber president Gerald Woolman called on the World Cup organisers to provide the agreement of the plan, saying it was difficult to plan ahead if the business community, including construction companies, had no clarity of what would happen.

"We know the ban is part of Fifa's requirement, that has to be adhered to.

"But our concern is that we don't know the extent of it and how is it going to affect companies and jobs. There's no real clarity. We need to know the parameters in advance so that we can we can plan our programmes on time.

"The plan could cause a lot of hardship, especially for smaller construction companies," he said.

Chamsa chairperson Janine Myburgh warned the plan could bring the industry to its knees.

"The poor are most probably going to suffer in the process and what will happen to their jobs if construction is halted?"

It was difficult to understand the rationale behind the plan if construction did not to affect the tournament.

Platzky said the ban would be kept to the immediate vicinity of the stadium.

She was unable to pinpoint the exact area as this was still under discussion, but areas that were likely to be affected were Green Point, Athlone and Philippi areas which would be to be used for practice venues, Platzky said.

"There are lots of things to be looked at around the stadiums such as noise, dust and movement of people. If you've got construction equipment stationed there it becomes unsafe for everyone," she said.

Platzky said the construction companies in affected areas would finish work on time because they knew about this clause in the contract.

The SA Federation of Civil Engineering Contractors said it was not worried about the ban because it planned its programmes accordingly.

Executive director Henk Langehoven said companies were already making arrangements with their workforce, such as working overtime before the World Cup, so that they would not feel the pinch of not working for a month. Another option was to deploy them in areas where construction work could still be done.

The city's executive director Eddie Chinnappen said roadworks would only be carried out in residential streets where construction would not have a direct impact on traffic flow at main arterials.

The city planned to finish all its major roadworks by March 2010, three months before the World Cup. - Cape Argus


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