Reducing segmentation between the informal and formal sectors in the transport industry

M.Com. (Business Management)Abstract: The South African transport industry has been volatile presenting drivers of the industry with several impactful actions that have cost them a great amount of grief. The current landscape of the industry is unknown and although there has been an outbreak of violence in recent years, the industry needs assistance in order to grow and be sustainable. The gap in the industry is evident in the informal and formal sector with factors such as wage gaps, education and government intervention affecting the drivers within the transport industry. A qualitative approach was used and interviews were used to collect data. A total of 12 participants were interviewed and data analysis was done using a thematic analysis. The results revealed that over the years, the industry is facing several challenges that are not being addressed. Due to low levels of education or disadvantaged backgrounds, individuals join the industry as drivers and this has influenced the opportunities available to them. Several violent outbreaks have occurred because the contribution made by those who participate in an industry that should thrive and positively influence the economy and its participants has not matched with the benefits they receive. From the perspective of the drivers, the industry should be formalised as this mitigates both the gap and the challenges experienced for both the informal and formal sectors. By formalising the industry, it will ensure the implementation of increased safety measures, provision of benefits to drivers, and the development of the industry