SA ExpressBusiness Report writes that the National Union of Metalworkers of SA (Numsa) and the SA Cabin Crew Association (Sacca) are at loggerheads with the government over the application by business rescue practitioners (BRPs) to liquidate SA Express. 

In a strongly-worded statement on Tuesday, the unions said the regional airline was being destroyed by the government’s lack of commitment to save state-owned entities (SOEs), especially those in aviation.  SA Express was last month placed under involuntary business rescue.  In court papers, the BRPs, Phahlani Mkhombo and Daniel Terblanche, accused the Department of Public Enterprises (DPE) of interfering and undermining their efforts to restructure the airline.  They claimed it was not their intention to file for liquidation, but they had no choice after the government failed to co-operate and give confidence to creditors.  The DPE, however, refuted these allegations, and said the BRPs’ plan lacked a credible business case.  SA Express suspended its operations on 18 March, until further notice.  This resulted in the airline scrambling to pay March salaries and asking for help from the Unemployment Insurance Fund, despite not having made employee contributions since it was placed under business rescue.

Get other news reports at the SA Labour News home page