14 ASSOCIATIONS
However , anecdotal evidence suggests that in the period 2017-2019 |
the main reasons for cancellations were : |
1 . |
Unpaid fees |
2 . |
Emigration |
3 . |
No longer want to be members |
4 . |
Business closure |
5 . |
Retirement |
A full quarter of cancellations were directly attributable to financial difficulties experienced due to Covid-19 , many of these members have indicated that they would like to continue as IOPSA members if their financial position improves . It is also reasonable to assume that many of the businesses that closed without providing reasons or went into liquidation may very well have been because of Covid-19 .
IOPSA staff have also reported that several older members decided to bring their retirement dates forward due to the health risks posed by Covid-19 . Of interest , is the reduction in emigrations . South African plumbers are still in demand internationally but due to travel restrictions emigration has been difficult .
“ Whilst plumbing , being an essential service , is certainly more resilient than many other sectors , the impacts are being felt .”
From these statistics there is little doubt that Covid-19 has had a significant impact on plumbing businesses . The extent to which it has and is affecting current members will be assessed in the annual industry survey in August 2021 .
The below graph indicates cancellations by region . The graph closely tracks IOPSA ’ s membership per region , with one exception .
The Western Cape makes up roughly 13 % of IOPSA ’ s total membership , however this region only accounted for 7 % of cancellations since March 2020 . This was arguably the most surprising finding from the report since IOPSA has faced some stiff opposition in the province . We are not sure if the reason for this anomaly is due to plumbers in the Western Cape weathering the Covid-19 storm better than other provinces or for some other reason , but it makes for an interesting anomaly . We are currently trying to source other data sets to compare this to and hope to find more answers during the upcoming annual industry survey .
As the third wave reaches its peak we are once again receiving more reports from members who are finding trading conditions increasingly challenging especially in the new build and commercial / industrial maintenance markets .
Many of these businesses are now pivoting into domestic maintenance , the effects of this change are yet to be seen but it will likely create stiff competition for those already in the domestic market . Whilst plumbing , being an essential service , is certainly more resilient than many other sectors , the impacts are being felt . There is a distinct lack of larger construction projects and government tenders , releasing projects that are currently on hold would go a long way in stimulating the sector and creating much needed employment opportunities .
IOPSA would like to remind its members and everyone in the plumbing industry to always wear masks , regularly wash or sanitise hands and practice social distancing . We encourage everyone who is eligible to receive the vaccine to do so as soon as possible . Together we can overcome this pandemic . PA
www . plumbingafrica . co . za @ plumbingonline @ plumbingonline @ PlumbingAfricaOnline September 2021 Volume 27 I Number 7