Major unions at South African Airways (SAA) on Monday called for a forensic investigation into the expenditure at the carrier since the airline’s business rescue practitioners (BRPs) were appointed.
The national carrier was placed into voluntary business rescue in December last year after its financial problems, however the unions accused the BRPs of plunging SAA’s finances into further disarray.
South African Airways Pilots’ Association, South African Cabin Crew Association and the National Union of Metal Workers of South Africa which represent about 60 percent of workers said the practitioners have failed to turn around the airline.
Public Enterprises Minister Pravin Gordhan also lashed out at the business rescue practitioners, stating that the state was still awaiting a credible plan on how the airline would be rescued.
He said government gave the practitioners 5.5 billion rand (about 298.8 million U.S. dollars) to carry out the plan. However, with no plan in place, unions said they had not trust in the BRPs.
“We have completely lost faith in the business rescue practitioners. Six months later, there is no business rescue plan,” the unions said. “Instead, they unfairly attempted to dismiss all employees and wind-down SAA which amounts to no more than asset stripping.”
Early this year, the BRPs announced that both local and international SAA flights would be drastically reduced to save cost. The unions said this move impacted the finances of the airline. Enditem