Pravin Gordhan – Govt opposed to liquidation of SAA
The government does not want a fire sale of troubled national airline SAA assets nor for the carrier to be liquidated, Public Enterprises Minister Pravin Gordhan said.
Gordhan told a Parliamentary committee that the government was in talks with rescue specialists in charge of SAA on how best to save the airline, which entered a form of bankruptcy protection in December.
“In our view, if this wind-down process the business practitioner team seems to be on at the moment continues as they proposed it will not serve the original objective that we set for the business rescue process,” Gordhan said.
“That is also a matter of contention between the shareholder and the business rescue practitioners.”
Gordhan reiterated that the government wanted to see SAA restructured into a new airline.
“We also want to indicate that there should be no fire sale of important assets of SAA, nor should there any movement towards liquidation when in fact there are many alternatives that can be pursued.”
Gordhan said it is predicted that it will take 18 to 36 months for a recovery of the airline industry, but a less duration on domestic travel.
Ensuring the necessary health precautions against COVID-19, such as social distancing, will result in a rise in flight costs and this is likely to hit the industry hard.
Gordhan says various trade unions have come to the party and have made “magnanimous” gestures on their part.
Labour unions Numsa and SACCA are expected to appear at the Labour Court in Johannesburg on Thursday challenging in a bid to stop the retrenchment of employees by the airline’s business rescue practitioners.
Gordhan says some “quick answers” will have to be found before May 8 which is when BRPs want to ground the airline. #Parliament
— Lindsay Dentlinger (@metrobabe) May 6, 2020
In other news – Isibaya actress Asavela Mngqithi reveals secret Pregnancy – Picture
Might it be the results of the quarantine which has seen people starting to show symptoms of what they have been practicing during their quarantine at their homes? Anyways, we don’t have to blame them because what else could they have done than playing hide and seek in their homes, since no other activities were allowed, even going to the next door.
In fact, in this case, someone should be blamed for hiding such a great secret from us, only to share later when she is already midway, if not almost the labour time. How dare you Asavela! continue reading
Source: Reuters
