Cosatu warns against using workers’ funds as a ‘blank cheque bail-out’ for SAA
Government should not consider using the Public Investment Corporation (PIC) to bail out South African Airways (SAA) until the airline is investment worthy and able to yield a return on workers’ investments, Cosatu said in Parliament on Friday. The federation made a presentation to the standing committee on appropriations, which is considering the bail-out provided to the bankrupt state-owned airline in the medium-term budget policy statement in October. Finance Minister Malusi Gigaba announced that SAA would get another R4.8bn bail-out this financial year in addition to the R5.2bn received earlier this year. Cosatu parliamentary liaison officer Matthew Parks told MPs that SAA was "clearly not" investment worthy at this stage. "Government needs to complete the overhaul of the executive and management boards and structure," he said. A thorough forensic investigation of SAA was needed, along with that of its subsidiaries Mango and SAA Technical. Those who had run SAA into the ground "...
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