Statement of the Alliance Secretariat on the South African Airways
12 February 2020
The Alliance Secretariat met on Tuesday, 11 February 2020 at Luthuli House, ANC headquarters in Johannesburg. The meeting discussed the Alliance’s common approach pertaining to the restructuring of South African Airways (SAA). The discussion was robust and informed by facts and more insight.
The Alliance maintains that SAA must be turned around to thrive, kept as the national carrier and serve as the mainstay of our domestic aviation industry with successful regional, continental and international routes. The Alliance Secretariat placed emphasis on ensuring that the rights of workers are fully protected throughout the process.
As stated in the ANC election manifesto drafted in consultation with and endorsed by the Alliance, the development of an integrated, safe, reliable and affordable public transport system remains an essential national imperative. The integration requires adequate investment in infrastructure and proper co-ordination of road, rail, air and maritime transport.
The Alliance Secretariat therefore reaffirmed the strategic relevance of SAA as outlined by President Cyril Ramaphosa on Friday, 7 February 2020, before he left to Addis Ababa, Ethiopia, to attend the African Union Summit. The meeting expressed unequivocal support for the statement made by the President disapproving of the cuts announced by business rescue practitioners of all SAA domestic routes but one, Johannesburg and Cape Town. Confidence in SAA will be lost in the international market as a result of almost all its domestic routes being cut. There are more adverse implications for SAA given that it is a network carrier, rather than a point-to-point carrier.
SAA is owned by the state on behalf of the people. The business rescue practitioners have an obligation to present a turnaround strategy to government as the shareholder for consideration. In addition the business rescue process must be inclusive and anchored on national development imperatives.
The Alliance will engage with the relevant ministers, stakeholders and other institutions that have a role to play in the turnaround of SAA.
Issued by Pule Mabe, National Spokesperson, 12 February 2020
