Thought Leadership

Adjusted alert level 1

October 2021
EDITION #1

In President Ramaphosa's "family meeting", he announced that on the 1st October 2021 the country would move to adjusted alert Level 1, which was met with an added sigh of relief by many as we had just celebrated the changes brought on by alert level 2. As a business, different lockdown levels have had a profound impact on how and when business is conducted. The adjusted times of the national lockdown curfew are now from 12am until 4am, with the closing times of shops, restaurants and businesses being 11pm. With the rapid advancement through from Level 3 to Level 1, we will hopefully see an improvement in the performance of the local economy.

Although it is still not "business as usual" in South Africa, businesses stand to benefit from these new regulations as the economy opens to 100% working capacity. But, to note, it is not compulsory for businesses to work at 100% workforce capacity, it remains the decision of the employer on how they will run their companies.

A major change is the sale of alcohol regulations which permit sales in liquor outlets according to the normal license provisions, on-site consumption in establishments such as restaurants, bars and taverns as well until 11pm. Unfortunately, this industry suffered great financial losses due to the illicit alcohol trading on weekends, which sprung up in the market. The return to normal sales will hopefully see an end to illicit trading and an immediate and positive change to the industry and to all who have suffered devastating blows through job losses or suspensions.

One of the most adversely impacted industries during the lockdown period has been the Events and Conferences industry. The adjusted level regulations offer a glimmer of hope for this industry by allowing for an increase in capacity for all indoor functions to a maximum of 750 people and a maximum of 2000 people for all outdoor events. This adjustment will be of benefit to the hospitality, marketing and events planning industries. These new regulations coupled with the government's vaccination drive, will hopefully see an uptick in live concerts, sporting events and other live activities which have been sorely missed over the last 18 months.

Remember to keep informed about the different benefits available for your business as a Small, Medium and Micro Enterprise (SMME) by exploring the Department of Small Business Economic Development portal on https://www.smmesa.gov.za

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