Unions incapable of comprehending the national carrier has no money
21 November 2019 - 17:17
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Public enterprises minister Pravin Gordhan has told striking SAA unions that there “is no money” to meet their demand for a pay increase.
But the unions are intellectually incapable of comprehending this, nor the reasons for his refusal.
Too many former executives, as well as acting CEO Zuks Ramasia, have obfuscated the truth about the airline’s financial health. She said recently the airline was on the road to recovery after resuming flights to six African cities. This is far removed from reality.
The acting CEO’s grasp of economics seems tenuous. SAA is bankrupt, and trading in insolvent circumstances. Moreover, it has received such bad publicity that it is doubtful whether it will be able to fill seats in future.
Gordhan’s refusal to capitulate to union demands means the strike will continue. There is little doubt that this will be the death knell for SAA. It will also be the beginning of the end for the unions, which will pay the price for serving the interests of their leaders rather than members.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
LETTER: Strike will be death knell for SAA
Unions incapable of comprehending the national carrier has no money
Public enterprises minister Pravin Gordhan has told striking SAA unions that there “is no money” to meet their demand for a pay increase.
But the unions are intellectually incapable of comprehending this, nor the reasons for his refusal.
Too many former executives, as well as acting CEO Zuks Ramasia, have obfuscated the truth about the airline’s financial health. She said recently the airline was on the road to recovery after resuming flights to six African cities. This is far removed from reality.
The acting CEO’s grasp of economics seems tenuous. SAA is bankrupt, and trading in insolvent circumstances. Moreover, it has received such bad publicity that it is doubtful whether it will be able to fill seats in future.
Gordhan’s refusal to capitulate to union demands means the strike will continue. There is little doubt that this will be the death knell for SAA. It will also be the beginning of the end for the unions, which will pay the price for serving the interests of their leaders rather than members.
Nathan Cheiman
Northcliff
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SAA wants labour court to step in over crippling strike
SAA says employees are defying the strike
EDITORIAL: Union madness sends SAA into nosedive
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