Government is the albatross around SAA’s neck – Solidarity

Trade union Solidarity said today that the state cannot at all be trusted with the management of any airline.

This followed after Public Enterprises Minister Pravin Gordhan announced that South African Airways (SAA) should merge with Mango and SA Express.

According to Connie Mulder, head of the Solidarity’s Research Institute, it is preposterous to consider merging these airlines, as this may lead to even greater losses. It would be akin to throwing a cement life jacket to a drowning person. However, what is even more concerning, is the fact that the air operator’s licence of state-owned SA Express was suspended by the South African Civil Aviation Authority on Thursday, Mulder said. This means that this airline is not permitted fly at all.

Solidarity believes that businessmen should conduct business, not bureaucrats. That is why Solidarity is firmly convinced that this supports its case for business rescue. A business practitioner responsible for turning SAA around should be appointed by the court. The government as a shareholder should no longer be in control of any airlines – airlines should be run by private companies.

Solidarity will file its application for business rescue to the court within the near future.

Statement issued by Connie Mulder, Head: Solidarity Research Institute, 25 May 2018