Popular Waterfront club closes due to Covid-19



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By Bulelwa Payi Article publication time 1 hour ago

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Cape Town’s popular Shimmy Beach Club is closed and its future remains uncertain.

The owners have blamed the impact of the Covid-19 pandemic on the company’s ability to continue trading.

Director Anton Louw said the club will be closed for the “foreseeable future” and gave no indication of when or if it would reopen.

Shimmy’s Beach Club opened its doors in December 2012 at the V&A Waterfront and its owners described it as a place where “lively Ibiza meets laid-back Cape Town”, offering sophistication, premium entertainment and a children’s area.

Shimmy Beach Club, on the Waterfront, remains closed amid lost revenue as a result of Covid-19. The old club ‘Most Instagrammable’ has been ruined in a few months. Image: Tracey Adams African News Agency (ANA)

The owners of the club are listed as business magnate Walter Hennig, and famous businessman Nicky van der Walt was also associated with the club.

It also featured a 13-meter bar, a whiskey room, the Prive lounge for elite gatherings, a restaurant and a pool bar overlooking the sea.

Award-winning musicians, such as DJ Black Coffee, entertained patrons at events organized by the club.

All that is left now is an empty shell. The place is desolate, without plush chairs, tables, and lavish offerings.

The closure has left employees out of work and unable to earn a living.

This week, some spoke of being “abandoned” and got into a fight with the employer over payments from the TERS relief fund they had not yet received for the August / September period.

“Most of the employees were breadwinners, women and single parents. They have to pay bonds and rent. They have no savings or any other source of income,” said one of the affected workers, who spoke on condition of anonymity for fear of a violent reaction.

In a letter dated September 26, 2020, Louw said that Shimmy would not be in a position to reopen in the “foreseeable future, at least not within the next 12 to 15 months.”

Louw said that the economic success of the business depended on retailing with a large number of customers and about 70% of its annual revenue was generated during the Summer Calling campaign.

“As a direct result of the Covid-19 pandemic, we were unable to negotiate or conclude any sponsorship this year. Shimmy is subsequently unable to organize a Summer Calling 2020/21 campaign. The restaurant trade is not economically viable to sustain Shimmy, “Louw told the workers.

The workers said they were in limbo and confused as a result of the “indefinite” layoff period.

“We have been told that Shimmy has not generated any income during the closing period and therefore was not in a position to proceed with the downsizing as it was not in a financial position to pay for any severance package,” said another employee.

Louw said the company was working with the Department of Labor to resolve the TERS payment and blamed a “banking error” that resulted in the funds being returned to the FIU.

In an earlier correspondence to staff, Louw explained that the bank had closed an account that was specifically opened to process TERS payments to staff because the business account was overdrawn.

The bank later closed the “TERS account” without informing the company and sent the funds to the department, he added.

More than 50 of the 90 employees approached the Conciliation, Mediation and Arbitration Commission (CCMA) after receiving letters from the company informing them that it was extending the layoff period until the club was in a position to reopen again. .

One of the employees said that they also approached the SAunite organization to highlight their difficult situation and seek solidarity.

“We do not know what is happening with our contributions to pensions. We were loyal to the company. People are suffering and with Christmas just around the corner, we do not know if we will have money or not,” said one. employee.

Argus weekend



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