Solidarity goes to court to have SAA placed under business rescue

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Belgique Nouvelles Nouvelles

'Business rescue offers an opportunity to make an emergency landing instead of aiming for disaster.'

On this latest bid, Solidarity said it had been in talks with the SAA board, Gordhan and other stakeholders.“Business rescue is no magic wand for SAA. In fact, it drives the crisis to a head with no guarantee of a solution. However, we know that the current path is past the point of finding solutions. The current trajectory would mean an overall collapse of all operations within SAA.

Besides the looming retrenchments, the workers are fighting for a wage increase. The company offered a 5.9% increase for employees for 2020 but they are demanding 8%. Solidarity, however, said that with each passing day of the strike, the state-owned entity continued to lose millions. It said it was time for “a radical intervention by a third party”.

He said agreeing to the business rescue would stop all possible legal processes by creditors to liquidate SAA.Solidarity said SAA was “hopelessly insolvent”.

 

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