Denel unable to pay staff in May as it fights to save itself
Denel will not pay staff salaries for May, and wages for June and July are in jeopardy, said its CEO, weeks after it emerged that the state-owned arms maker missed the deadline to pay employee pensions and tax contributions as its long-standing cash flow crisis deepens.
“Our liquidity is under severe pressure and we have to implement drastic measures to save the company. It is highly regrettable that we will not be able to pay salaries this month, but we have no other options,” CEO Danie du Toit told Business Day in a statement. ..