SOUTH African Airways (SAA), the financially hamstrung national carrier, is forging ahead with plans to rationalise flight deck crew costs, which may land it in a court fight with its about 800 pilots. The company says there is a need to interrogate and amend the regulating agreement with the crew.Amending the agreement, however, requires buy-in from the South African Airways Pilots Association (Saapa). The association has previously indicated that it will oppose proposed changes to existing agreements.In a recent SAA internal document, seen by Business Day, the airline discusses the effect of the flight deck crew regulating agreement and the strategy to address the "onerous" collective agreements with crew.SAA says certain sections of the regulating agreement do not keep with the spirit of the Public Finance Management Act, which states that a public entity must maintain a procurement system that is cost-effective and must take effective steps to manage working capital efficiently....
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.