Connect with us

Economy

Failing SAA to receive another R10.5 billion from government

Published

on

Siviwe Dongwana, one of the business rescuers appointed by the airline, said at an online meeting with stakeholders on Friday that they had received a letter from the Department of Public Enterprises this morning, promising that R10.5 billion will be “on the way”.

According to Dongwana, the letter states that the treasury supports the business rescuers’ plan and that there is a “very clear undertaking by the cabinet” to make the R10.5 billion available.

He said there was no indication when the money would be paid or where it would come from.

If the money is paid, the airline can be saved, he believes.

Members of Numsa and the South African Cabin Personnel Association (Sacca) started protesting in front of the SAA’s head office in Kempton Park early on Friday morning against the state, which still did not give money to save the SAA.

Phakamile Hlubi-Majola, spokesperson for Numsa, says in a voting note that the letter also informs all parties that the state-owned enterprise cannot be liquidated if parliament does not approve it.

“We are taking this step because the government has not given the necessary money to save the SAA and SA Express, and has not made sure that both are viable and sustainable.

Comments

Trending

Copyright © 2020 SA Updates