DenelBusinessLive reports that state-owned arms manufacturer Denel has appointed its chief operating officer, William Hlakoane, as the company’s acting group CEO.  

Current acting CEO Talib Sadik’s contract came to an end on Monday.  Hlakoane, who is a mechanical engineer with an MBA, takes over from Sadik in the interim position after CEO Danie du Toit resigned in 2020 after less than two years.  Denel was badly damaged by state capture when dedicated project funds were misused, revenue dropped and Denel’s reputation in the international market suffered. While it has been in a turnaround process since 2018, the company is severely cash-strapped and has been battling to pay employees.  Trade unions have lodged a court application against Denel’s directors for failing to implement an earlier Labour Court ruling compelling it to pay staff all outstanding salaries from May to July. The order also included unpaid retirement and medical aid deductions. According to the unions, the directors have been getting full salaries while their members have only been receiving partial pay.  Denel told the court it has liquidity challenges and its shareholder, the government, has not responded to multiple requests for additional funding.

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