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Saturday Citizen reports that low-cost airline Mango did not pay staff salaries on Friday, which was the designated payday for the month of June.
According to a leaked internal e-mail, chief executive William Ndlovu warned that staff payments were uncertain, but said he hoped that there would be money before month-end. He wrote: “We have applied to SAA (SA Airways) for assistance. At this point we are not sure when our application will be approved by both SAA and the DPE (Department of Public Enterprises) and the funds disbursed to Mango.” Mango presently employs 749 staff and is rumoured to be about R2.5 billion in debt. Jordan Butler of the Mango Pilots Association was fuming, but said they would go to work regardless and try to keep Mango going. The airline said it did not anticipate any service disruptions. Last week, Mango unions requested an urgent meeting with DPE Minister Pravin Gordhan, but by Saturday had not received a response. The National Transport Movement has filed a mutual dispute at the CCMA and a hearing was scheduled for Friday. Aviation analyst Joachim Vermooten commented: “Mango has been under financial distress for some time. Unfortunately, the national budget has not made provision for challenges faced by the SAA subsidiary and while the department of public enterprises has since tried to resolve this, it has not happened.”
- Read the full original of the report in the above regard by Hein Kaiser on page 7 of Saturday Citizen of 26 June 2021
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