Inspection blitz in the infamous Newcastle textile belt nets two employers and 34 illegal foreigners
06 February 2026

A joint inter-departmental inspection blitz in the notorious sweat shops of Newcastle has led to the arrest of two Chinese employers for abusing immigration laws by hiring 34 illegal foreigners who were working in South Africa without valid documents.

The joint inspection by Department of Employment and Labour, the SAPS, Newcastle Metro police and Department of Home Affairs was conducted in the Newcastle Industrial Park's textile/clothing industry. The joint inspection was overseen by the Parliamentary Employment and Labour Portfolio Committee, who are this week conducting an oversight of Department of Employment and Labour operations in the Amajuba district.

The oversight by the Committee has included visit to the Newcastle Labour Centre and conducting of multi-sector inspection blitz of farms, manufacturing, clothing/textile and retail sector.

The inspection led to the serving of a prohibition notice to Qing Xiu Clothing. The clothing/textile company was issued with the notice following its failure to have safe electrical installations; failure to register and produce steam generator certificate; failure to comply with the Unemployment Insurance Act (UIA); not complying with Compensation for Occupational Injuries and Diseases (COID) Act among others.

The notice means that the company must not resume activity until it has taken action to remove or control the risk.

Workers who were provided with an on-premises accommodation in the factory have been ordered to vacate by Friday (6 February 2026). The workers' quarters were a fatal hazard waiting to happen and these were found to be unhygienic and susceptible to fire risk.   

Department of Employment and Labour Provincial Chief Inspector, Mlungisi Zondi said there is a need to conduct further sustained intensive inspection blitzes across all sectors in the area.

In terms of the Thursday's inspection blitz six manufacturers were inspected and in terms of:

  • Unemployment Insurance Fund: six were found non-compliant
  • Basic Conditions of Employment Act: four were compliant
  • Occupational Health and Safety: five were non-compliant
  • COID: five were non-compliant

    For media enquiries, please contact:

    Teboho Thejane

    Departmental Spokesperson

    082 697 0694/ teboho.thejane@labour.gov.za

    -ENDS-

    Issued by: Department of Employment and Labour

     

     

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