SAA liquidation more devastating for workers than business rescue

  • 📰 IOL
  • ⏱ Reading Time:
  • 28 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 15%
  • Publisher: 51%

United States News News

The Department of Public Enterprises has urged workers unions at SAA to vote in favour of the airline’s business rescue plan in a bid to avoid a drawn out liquidation process. busrep

The Department of Public Enterprises has urged workers unions at South African Airways to vote in favour of the airline’s business rescue plan in a bid to avoid a drawn out liquidation process.

A vote in favour of the plan by 75 percent of the voting interests would be required to carry the vote, It said that liquidation, the process of winding down the airline and disposing of its assets, would lead to financial hardship for employees and substantial undervaluation of assets. “During the drawn-out process, creditors would in all likelihood receive a negligible dividend after all secured and preferred creditors have been paid in the liquidation proceedings.in a higher return for creditors than would result in a liquidation situation.”

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 46. in US

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

SAA business rescue practitioners 'faffing around' for six months: judgeSAA’s business rescue practitioners (BRPs) received harsh criticism from judge Dennis Davis for “faffing around” for six months during an appeal on Tuesday against a labour court ruling in May ordering them to halt planned retrenchments at the airline.
Source: SowetanLIVE - 🏆 13. / 63 Read more »

SAA business rescue practitioners 'faffing around' for six months: judgeSAA’s business rescue practitioners (BRPs) received harsh criticism from judge Dennis Davis for “faffing around” for six months during an appeal on Tuesday against a labour court ruling in May ordering them to halt planned retrenchments at the airline.
Source: TimesLIVE - 🏆 28. / 59 Read more »