Denel tries to limit job losses as it exits aircraft components business

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Consultations have been wrapped up and company will press ahead with retrenchments

A Denel company logo is seen at the entrance of their business divisions in Pretoria. Picture: REUTERS/Siphiwe Sibeko

Denel, which is one of the many parastatals struggling to recover from state capture, has recorded massive losses in recent years. In the past financial year it posted a loss of close to R2bn, with revenue dropping 36%. In the 2017/2018 financial year it suffered a net loss of R1.8bn on a 38% decline in revenue, to R5bn from R8bn the previous year.

“We have really worked hard in trying to keep job losses to a minimum and some of the employees will be transferred to other positions within the Denel group while voluntary severance packages have been offered,” said Kgobe.

 

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