Some unions accept SAA deferre

Image: Wikimedia Commons

Some unions accept SAA deferred pay settlement offer

The workers will receive a 5.9 percent increase backdated to April this year, and a pro-rata savings towards a 13th cheque, eNCA reported.

Some unions accept SAA deferre

Image: Wikimedia Commons

Seven labour groups representing workers at South African Airways (SAA), who’ve not been paid since March, have agreed to accept a settlement offer of three months’ wages.

Members of the groups, including the South African Transport and Allied Workers’ Union (SATAWU) and the Solidarity union, will also receive a lump-sum payment related to an increase they were owed and part of a year-end bonus, the Department of Public Enterprises said in a statement on Thursday.

The move will aid the government’s efforts to revive the bankrupt state airline, Bloomberg reported.

However, it’s understood that three of the main unions representing SAA workers — the National Union of Metalworkers of South Africa (NUMSA), the South African Cabin Crew Association (SACCA), and the South African Pilots’ Association rejected the state’s pay settlement offer.

However, the Department of Public Enterprises says individual members of these unions are welcomed to come forward should they wish to accept the offer.

Limited government funding

“Funding made available by the government is limited and focused on restructuring South African Airways and restarting operations at the airline and subsidiaries,” the Department of Public Enterprises said.

“The availability of these funds is a product of government having had to do some belt-tightening to make the restructuring possible.”

SAA, which last made a profit in 2011, was put into bankruptcy protection a year ago.

While the National Treasury has set aside R10.5 billion to help get the carrier flying again, efforts to resuscitate it have been stymied by the Covid-19 pandemic and a resultant decline in demand for air travel.