Motus Retail faces backlash over pay cuts amid R5.48bn profit
Motus Retail is facing a storm of backlash after revealing plans to slash salaries and strip benefits from employees
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Motus Retail is facing a backlash after revealing plans to cut salaries and strip benefits from over 500 employees, even as the company’s CEO enjoys a multimillion-rand pay package.
This comes as the company restructures its South African operations and faces increased competition from Chinese car brands. According to reports, the company’s CEO, Gideon Jansen van Rensburg, received a salary package of R35.5 million for the 2025 financial year.
The Motor Industry Staff Association (MISA), the largest union in South Africa’s automotive sector, has declared a dispute against the company, calling the proposed cuts unlawful and unilateral.
“MISA’s members did not agree to any of the salary or benefit cuts. They were not given an alternative option."
The union has warned it will approach the Johannesburg High Court to stop the reductions, which include the removal of company vehicles, allowances, and incentives, saying they threaten the livelihoods of hundreds of workers.
The Federation of Unions of South Africa has expressed its full support for MISA, describing the proposed cuts as unjustified and unlawful.
"FEDUSA finds it deeply troubling that these measures are being pursued within a corporate group that remains profitable. The Motus Group, a JSE-listed entity, reported revenue of R112.6 billion and operating profit of R5.48 billion for the year ended 30 June, reflecting only a marginal decline. Workers should not be compelled to absorb the cost of strategic or operational challenges when the broader group continues to generate substantial value."
Gideon Jansen van Rensburg, CEO of SA Retail, a division of Motus, said the measures form part of a restructuring process aimed at ensuring the long-term sustainability of the business.
"So the South African automotive retail environment has experienced a significant structural disruption in recent years. And as a business operating at scale, South African retail, which is a division of the broader Motus group, as you well know, had to respond responsibly to ensure the long-term sustainability and competitiveness of our operations," van Rensburg said in interview with 702.
mthobisi.nozulela@iol.co.za
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