M.Comm. / The aim of this dissertation was to determine the economic impact of HIV/AIDS on the South African manufacturing industry. The research focused on the impact of HIV/AIDS on different efficiency categories, labour and production costs and competitiveness categories. The South African health sector, specifically the public health sector is under pressure in terms of funding, staff and infrastructure. This situation is putting pressure on the effective combat of HIV/AIDS in the country. The private health sector is more and more required to help to enhance the capacity of health services in South Africa. Firms are also required to make more health funding available to their employees and in some cases (such as the fight against HIV/AIDS) to supply health services within the organisation. HIV/AIDS is a serious illness that results in a situation where employees are not operating at their full potential. If left untreated it could have very negative impacts/effects not only for the employee but also for the efficiency and competitiveness of the firm. Firm are thus more and more forced on instituting effective HIV/AIDS programmes in the working place. The aim is to lessen the negative impact that HIV/AIDS might have on different efficiency levels, labour and production cost levels and on competitiveness in general. The results of the study indicated that HIV/AIDS have serious implications for firm-efficiency and firm-competitiveness. It was also learned from the results that bigger firms already have HIV/AIDS programmes in place in order to counter the negative impacts of HIV/AIDS in the working place.