Unions blast DPE and SAA over severance package uncertainty and lack of salaries

Two trade unions, the National Union of Metalworkers of South Africa (Numsa) and the South African Cabin Crew Association (Sacca), have fiercely attacked the Department of Public Enterprises (DPE) and the management of financially-beleaguered State-owned national flag carrier South African Airways (SAA) for failing to deliver on their undertakings to, and payment of, SAA employees. In a joint statement, the unions warned that they intended to take legal action against SAA for not paying its workers their salaries and benefits over the past four months. SAA was put into business rescue last December. It is now at the beginning of a relaunch process following the approval of its business rescue plan. Part of the relaunch process is the payment of voluntary severance packages (VSPs) to SAA personnel who cannot be accommodated in the downsized relaunched airline. In terms of the plan, the relaunched SAA will start with only 1 000 staff.

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