Daybreak workers block R50 in protest over unpaid salaries

Tensions continued to mount at Daybreak Foods as more than 100 employees protested outside the poultry producer’s Delmas facility on Wednesday, blocking the R50 route and bringing operations to a halt.

Daybreak workers block R50 in protest over unpaid salaries
Protestors block the R50 outside Daybreak Foods in Delmas, demanding unpaid wages and access to their provident funds.
Photo: Supplied
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The protest follows months of unpaid or partially paid salaries, and mounting frustration over the company’s financial collapse and business rescue process.

Workers allege that they received only 50% of their May wages, with no payment for June, pushing many into desperate circumstances. Protesters claim they cannot afford rent, groceries, or transport, and some have stopped going to work altogether due to the cost involved.

The demonstration led to the complete shutdown of the R50 road near the facility, as workers blocked access with debris and stood in protest, bringing traffic to a standstill. Police later cleared the route and reopened the road around 2.15pm.

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To further highlight their frustration, employees have circulated a handwritten formal request on social media, pleading for the release of their provident funds and an end to what they describe as being held ‘hostage’ by the company.

“The employees of Daybreak Foods have seen it fit to request the company to release them from their contracts due to the dire situation at the operation,” the letter read.

Holding employees ‘hostage’

“The employees are left destitute, with no way to feed their families, as even employees who have resigned are denied access to their provident fund.  Daybreak Foods is holding them hostage and demands it authorise Old Mutual to release employee’s provident funds, as there is no direction and guarantee whether they still have jobs or not.”

Daybreak’s senior business rescue practitioner Tebogo Maoto told Farmer’s Weekly that support had been secured through the Public Investment Corporation (PIC).

“Daybreak Foods welcomes the funding support of the PIC to provide the much-needed liquidity support to implement the emergency phase of company’s business rescue proceedings.

“The PIC funding will be utilised for making payments for critical operational costs including salaries, whilst the Business Rescue plan (BR plan) is being developed. The BRP will serve to engage with the employees and affected persons to update them on funding priorities, given the limited resources at its disposal,” said Maoto.

He added that the BRP would continue to engage with the funders and shareholder to address the additional liquidity support needed for the emergency phase of the business rescue process.

“The BR plan is envisaged to be published by 22 August 2025, highlighting the social and commercial impact for the benefit of all stakeholders.”

Intense scrutiny

Daybreak Foods, which entered business rescue in May, has been under intense scrutiny following a string of operational failures, including the mass culling of more than 200 000 starving chickens.

The PIC, which holds a controlling stake in the company, injected an initial R74 million in emergency funding to address salaries, operational expenses, and animal welfare concerns.

Despite the funding, employees allege there has been little to no progress in addressing their grievances. Affected workers have called on management, business rescue practitioners, and government stakeholders to urgently provide transparency, timelines, and action.

Protesters told media present during the protest that beyond the issue of unpaid wages, they were being left in limbo by not formally being retrenched, which blocks their access to the Unemployment Insurance Fund (UIF) and provident fund payouts.

They called for the immediate release of exit confirmations for employees who have resigned, and an end to delays in releasing funds via Old Mutual.

While the Business Rescue Plan (BRP) is due to be published by 22 August, workers say they cannot wait that long without financial relief or clarity on their employment status.

The Department of Employment and Labour has yet to respond to inquiries regarding the workers’ access to UIF and legal recourse in the absence of retrenchment notices.