South African Airways: SAA rescue plan extension granted – My Comments
South African Airways (SAA) business rescue practitioners (BRPs) have been granted an extension to publish their rescue plan on June 15.
This comes after three unions representing the majority of employees requested more time to engage with the plan.
The plan was supposed to be published on Monday, June 8.
Read: Draft reveals new airline’s cost breakdown
In a letter to creditors, Les Matuson and Siviwe Dongwana explain that since Thursday they have been consulting with all the affected parties on their contributions to the draft rescue plan
But discussions with the employee committee have not taken place. The committee wants to discuss the draft plan in the Leadership Compact Forum (LCF) established by the Department of Public Enterprises as a platform where union leaders and senior government officials, including Minister Pravin Gordhan, can discuss the transition from the old SAA and the model for a new airline.
Creditors were given till the end of business on Monday to vote on the request.
In an email BRP spokesperson Louise Brugman said creditors who held the majority of the creditor’s voting interests had voted in favour of the extension,
Read: SAA: Government and labour agree to work towards new airline
The National Union of Metalworkers of South Africa (Numsa), South African Cabin Crew Association (Sacca), South African Airways Pilots’ Association (SAAPA) have led the charge for the extension request pending the engagements in the LCF.
Matuson and Dongwana said the rescue plan is ready for publication, having incorporated submissions from the DPE as well as previous outcomes from the forum related to employees.
“However, we thought that it would not be appropriate to continue with the publication of the business rescue plan without conveying the request of the unions that represent the majority of the SAA employees,” said the BRPs.
Source: https://www.moneyweb.co.za/news/companies-and-deals/another-extension-request-for-saa-rescue-plan/