One of Cape Town’s largest civil engineering companies this week said it could no longer work in city crime hotspots due to rampant extortion, theft and violent attacks.
A company employee was killed and another wounded in two separate recent shooting incidents, the latest in a spate of shootings that have created no-go zones for infrastructure development. As a result the company has declined to tender on one of the city’s flagship infrastructure projects.
Speaking on condition of anonymity to the Sunday Times this week a company executive said employers had an obligation to ensure employee safety. He said he had communicated his concerns to the city and to the Western Cape Property Development Forum (WCPDF).
Company employees and subcontractors were frequently robbed, along with the theft of building materials and even road signs planted during the day. Cables in trenches were pulled out overnight and recently poured concrete broken with hammers to access reinforcing steel. Covers, frames, hydrants and valves were also routinely broken or removed, presumably destined for scrap merchants. Criminals went so far as to remove asphalt in wheelie drums, thereby sabotaging attempts to surface roads.
On one recent job the company spent around R100,000 a month on community watch security, for which it received no compensation. Extortion was now so brazen that some criminals handed out cellphone numbers to their victims with instructions that the bosses must phone to arrange protection fees.
Armed robbers also routinely stole contractors’ cellphones, wallets and computers, thereby making on-site work impractical. Vehicles had also been hijacked. Project risk assessments were difficult due to inaccurate crime statistics and local ward councillors and community liaison officers were often held to ransom by the communities they represent.
In addition, some suppliers were unwilling to deliver to high-risk areas, resulting in extra costs, the company said.
WCPDF chair Deon van Zyl said extortion amounted to “treason” because it undermined government’s entire service delivery programme. “We are pleased to see that the topic of the construction mafia is finally getting national government’s attention. Recent statements by the MEC of public works in KwaZulu-Natal as well as statements by the national ministers of police and public works imply that industry’s cries have finally been heard. We now await action.
“What continues to baffle industry, though, is that no-one seems to use the term ‘treason’ when referring to the construction mafia and the impact it has on service delivery. When criminal elements undermine government’s ability to serve its people through infrastructure delivery, those criminals are causing social unrest. If the actions of the construction mafia are not treated as treason, then law and order agencies are, through non-action, supporting the possible implosion of government,” Van Zyl said.
When criminal elements undermine government’s ability to serve its people through infrastructure delivery, those criminals are causing social unrest
The Cape Chamber of Commerce and Industry this week confirmed the scourge of extortion is making its presence felt across multiple economic sectors.
Companies involved in fibre rollout across the city have had to employ youth from each neighbourhood they work in. “The challenge came in with the protection fees involved with keeping their technical teams safe while they were doing the splicing and connections, as well as ensuring that their equipment wasn't stolen,” the chamber said. “Each neighbourhood was assigned via an RFQ (request for quote) process and so profit margins in an environment that already has small margins, were eaten into.”
The impacted companies cannot be identified due to intimidation and concerns for safety of their teams still in the field.
An up-and-coming telecoms company moved its head office out of Khayelitsha to Bellville due to extortion threats. Several other companies have stopped services in the area, to the detriment of local residents. Eskom technicians have also been impacted.
“The list is long, it also includes ambulance services which require security companies or police to escort them when they enter those communities,” said one Khayelitsha source. “Schools are the latest targets where teachers and students are robbed of their valuable items.”
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