Abstract

The aim of the article was to determine the extent of the negative impact of HIV/AIDS in the workplace on firm efficiency and firm competitiveness. The South African manufacturing sector was used as a case study. The above-mentioned research was deemed necessary, as very limited research has been published specifically on the technical measuring of the extent of the impact of HIV/AIDS on firm efficiency and firm competitiveness in South Africa. A survey questionnaire was designed for use in the research in order to capture the extent of the impact of HIV/AIDS on all levels of firm efficiency and firm competitiveness. A detailed statistical analysis of the results of the survey questionnaire and the parameter estimates of impact log-linear econometric power functions indicated that the negative impact of HIV/AIDS on firm efficiency and firm competitiveness was becoming more prevalent and serious, as it is underpinned by the statistical significance of the results and the high elasticity coefficients of the estimated log-linear power functions. It is recommended that human resource managers implement and manage HIV/AIDS programmes more effectively in order to counter the extent of the negative impact on firm efficiency and firm competitiveness.

Highlights

  • The aim of this research was to determine the extent of the negative impact of HIV and AIDS on firm efficiency and firm competitiveness

  • For the purposes of this article the impact of HIV/AIDS on firm efficiency is measured by changes in the quality and cost of labour (Call & Holahan, 1983), while the impact of HIV/AIDS on firm competitiveness is based on profitability indicators (Masuku, 2005)

  • In order to derive measurement categories that would effectively measure the extent of the negative impacts of HIV/AIDS on firm efficiency and firm competitiveness in the manufacturing sector of the South African economy, a detailed literature study was undertaken

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Summary

Introduction

The aim of this research was to determine the extent of the negative impact of HIV and AIDS on firm efficiency and firm competitiveness. In order to derive measurement categories that would effectively measure the extent of the negative impacts of HIV/AIDS on firm efficiency and firm competitiveness in the manufacturing sector of the South African economy, a detailed literature study was undertaken. It was envisaged that the literature study would enhance an understanding of the magnitude of HIV/AIDS prevalence rates and the necessity for the private sector to implement HIV/AIDS programmes, and show how the extent of the implementation or non-implementation of HIV/AIDS programmes has impacted on firm efficiency. The literature study would enable the researchers to determine the link between HIV/AIDS prevalence rates and skill levels, productivity levels, managerial efficiency, operating costs and profitability indicators

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