South African
Airways pilots given 48-hour 'lockout' notice, administrators say
JOHANNESBURG, Dec 16
(Reuters) - Administrators at struggling South African Airways (SAA) said
on Wednesday they have issued a 48-hour notice to prevent nearly 400 pilots
from accessing the company’s premises until they agree to new employment
terms and conditions.
SAA entered a local
form of bankruptcy protection in December of 2019 after roughly a decade of
financial losses, and its fortunes worsened after it grounded flights
because of the COVID-19 pandemic.
Efforts to rescue
the state airline face resistance from trade unions, who are at loggerheads
with the government over wages.
The administrators,
who argue that pilots had “very extensive and lavish benefits” said the
lockout will affect 383 pilots who are members of the SAA Pilots’
Association (SAAPA).
The administrators
want the pilots to accept new terms and conditions, which include new
salary scales.
Reuters was not able
to immediately reach SAAPA for comment.
The lockout blocks
SAAPA members from the airline’s workplace beginning midday on Friday,
until the administrator’s demands are accepted. Affected pilots will not be
entitled to any remuneration or benefits for the duration of the lockout.
“The proposed new
terms and conditions are fair and competitive for a regional African airline,”
the administrators said in a statement.
“In fact, SAA has
among the highest cost base in terms of pilots’ salaries, meal allowances,
leave and sick pay and travel rebate benefits internationally. This cannot
continue if the business rescue of SAA is to succeed,” they said.
Out of SAA’s roughly
4,500 staff when it entered administration in December 2019, around 3,200
have accepted severance terms and 1,300 are still in layoff consultations.
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