The government is considering a range of programmes to help aid the ailing motor industry, according to the head of Toyota SA, though the Industrial Development Corporation (IDC) has been the first port of call for many firms.

In an interview with Engineering News, Dr Johan van Zyl, president and CEO of Toyota South Africa Motors (TSAM), said that while support from the IDC was the first initiative by the government, several other options also being placed on the table.

Automotive companies that are currently facing a liquidity squeeze in the short-term, but are seen as viable in the medium- to long-term, are able to apply for loan assistance from the IDC, says Van Zyl, noting that the programme is being well utilised.

The government is also considering a programme to support the retraining and reskilling of workers as an alternative to retrenchment.

“The reality is that we need action now to implement these programmes so as not to undermine the massive investment that has been made in training and staff development in recent years. The industry needs to protect its skilled labour force as far as possible,” says Van Zyl.