Staff Reporter
Low business volumes as a result of the continued economic decline worsened by the COVID-19 pandemic have forced Novus Holdings to close its printing works in Bloemfontein, the biggest in the Free State.
Novus Print executive for the northern region Paul de Bruin told The Free Stater in a written response that the poor operating environment had forced the company to put the Volksblad Building which houses the printing press in Bloemfontein on the market and move all operations to Gauteng.
“The operating environment in South Africa continues to be plagued by poor economic prospects and market decline exacerbated by COVID-19,” said De Bruin.
“This severely impacted consumer demand, and led to the closure of the Daily Sun newspaper, Sunday Sun newspaper and Volksblad, all publications printed at our Bloemfontein facility.
“With the fixed cost structure needed to maintain the Bloemfontein operation, in relation to the reduced turnover, it will make this operation economically unfeasible.”
De Bruin acknowledged that the closure of the Bloemfontein operation would seriously impact its staff but was quick to say the matter was still being finalised and some may be considered when opportunities arise.
“We respect that this development will have an impact on personnel with certain retrenchments forming part of the process, which we are committed to manage to the best of our abilities,” he said.
“Should vacancies become available at other entities, all affected employees do have the option to apply . . . we recognise that in a highly technical industry such as ours, employees are the organisation’s greatest asset.”
Operations at the Bloemfontein plant will wind up on May 31 and all remaining clients will be serviced from Johannesburg.
The building will then go under the hammer on June 2.
This, according to De Bruin, will allow the company to finalise discussions with employees, customers and suppliers on the way forward.
At its peak, the Bloemfontein plant also catered for most of the community-based newspapers and several publications from neighbouring Lesotho.
The printer also handled work from the Northern Cape province.
De Bruin said under roof, the facility is approximately 8 000 square metres.
Brocor Property Group, which will conduct the auction, has indicated in adverts that the complex is made up of several buildings.
These include the main building at 79 Nelson Mandela Drive which is now occupied by Securiforce; the factory and basement on Henry Street, a storeroom at corner Henry and Aliwal streets and other outbuildings.
There are over 70 undercover parking spaces.
