By Own Correspondent

THE government has moved to reward employers who are spreading their production timeframes to support 24 hours long work shifts in a move likely to boost job creation in the country.

Presenting the 2026 National Budget statement recently, Finance Minister, Mthuli Ncube said the current tax legislation does not provide specific incentives for firms that operate extended or round the-clock production cycles. Limited operating hours in key sectors such as manufacturing constrain overall industrial output, employment generation, and GDP growth.

“To support the transition towards a 24-hour productive economy, I propose to introduce targeted tax incentives for firms operating extended production or service hours in the manufacturing sector, where operators demonstrate incremental production and revenue,” he said.

Ncube said discussions are ongoing with relevant stakeholders on the modalities of the proposed framework targeting, among others, the following incentives: Additional tax deductions on selected expenditure incurred during extended operational hours; accelerated wear-and-tear allowances on plant and equipment used in round-the-clock production cycles; Tax credits or concessions for firms maintaining minimum employment thresholds under shift-based operations; and Access to import duty concessions.

“Energy and security concerns are a key barrier to adopting 24- hour operations. Without fiscal support, extended operating 290 hours may not be economically viable, particularly in energy intensive sectors.

The resulting under-utilization of existing capital infrastructure, including factories, limits productivity and increases unit production costs,” he added.