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 Rex Trueform looking at buyout options
    May 03 2005 at 12:45PM Get IOL on your
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By Dominique Herman

The management of Rex Trueform and the South African Clothing and Textile Workers' Union (Sactwu) have met for a third time over the Salt River factory's possible closure.

They had gone over the figures and begun discussing the options, said Rex Trueform chief executive Catherine Radowsky.

The union's preferred option - that of Rex Trueform's continuing as it was - was "not viable", she said.

'He is immensely concerned about the state of the industry as a whole'
The company was investigating buyout bids and would sell "under favourable terms". Any buyer would have to be a "proper, honourable consortium" that would keep the factory going, look after the workers and ensure their future, Radowsky said.

"One has to give (Sactwu leader) Ebrahim Patel his due. He is immensely concerned about the state of the industry as a whole."
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Referring to the 977 jobs at risk, Radowsky said she was "100 percent committed to consulting on the issue" and Sactwu was "entitled to more than a full consultation".

The problem facing the company in the short-term was that it was running out of orders and might have to begin separate consultations about short time, which "isn't great for workers".

Some of the lines would soon have no more orders or there would shortly be a gap between orders filled and the possible beginning of new orders. Also, clients were reluctant to place orders as they were unsure of the company's future.

Although the official 60-day period for consultations comes to an end on Tuesday, all parties have agreed to continue with them.

Unsuccessful attempts were made to gain comment from the two Sactwu representatives who were at the meeting.



    • This article was originally published on page 5 of Cape Times on May 03, 2005
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