Job loses as transport companies merge

Merger public service transport operators has potential to create sustainable employment and enhance professional ism in the sector
Merger public service transport operators has potential to create sustainable employment and enhance professional ism in the sector

The Competition Authority has approved the merger of Mulbridge Transport (Pty) Ltd with Transport Holdings Limited, said a press statement issued yesterday. The merger is likely to result in job loses.

“The Authority determined to conditionally authorise the proposed transaction. Firstly, the analysis of the facts of the merger assessments showed that there were no substantial competition concerns that will arise in the market for consolidation transportation services in Botswana, given the fact that: The proposed transaction is not likely to result in a substantial lessening of competition, nor endanger the continuity of service, due to sufficient post-merger competitive constraints posed by other competitors such as Value Logistics and GMR Freights; and the implementation of the proposed merger is not expected to result in the merged entity attaining a dominant position”.

The statement further said that the Authority took cognisance of the fact that the proposed transaction gives rise to public interest concerns under section 59(2) of the Competition Act. The proposed merger is expected to result in seven unskilled employees being retrenched.

Editor's Comment
Tighten the law on drug dealers

Our youth are perishing; their once hopeful bright future is going down the drain; all because of illicit drugs.It is very easy to blame the addict, but it is not as simple as that! Drug dealing is a very lucrative business for some shameless people amongst our society and as such they have come up with tight strategies on how to push their business.Drug addiction is bad, and while the individual on drugs sometimes might have been the one who...

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