Solidarity announces plans to have SAA placed under business rescue
The trade union Solidarity has announced that it intends to initiate a court process to have SAA placed under business rescue.
In a letter to President Cyril Ramaphosa and ministers Nhlanhla Nene and Pravin Gordhan‚ the trade union has expressed its concern about the national air carrier‚ saying that its management and financial models are unsustainable and ineffective.
Werner Human‚ Solidarity’s deputy chief executive‚ said on Sunday that the Auditor General had stated in his recent report that substantial uncertainty existed as to whether SAA would be able to continue as a going concern‚ while Ramaphosa‚ Nene and Gordhan had expressed some harsh words about the struggling airline and undertaken to turn the airline around.
“At present‚ there is no other choice but to privatise SAA‚ at least in part‚” said Human.
“Solidarity invites the President and Ministers to support its application to place SAA under business rescue‚ and will reveal its legal strategy regarding this process on this coming Thursday‚ April 12‚ during a press conference‚” Human added.