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Court orders halt to SAA retrenchment process

Numsa and the SA Cabin Crew Association took the practitioners to court, claiming that their retrenchment plans were unlawful.

Numsa and South African Cabin Crew Association (Sacca) members picket at the SAA Airways Park in Kempton Park on 15 November 2019. Picture: Xanderleigh Dookey/EWN

JOHANNESBURG - The Labour Court has ordered that the retrenchment process at SAA cease and that its business rescue practitioners must first produce a proper business plan.

Numsa and the SA Cabin Crew Association took the practitioners to court, claiming that their retrenchment plans were unlawful.

This as government and unions are at odds about the future of the broke airline.

It's a major win for Numsa and Sacca in their fight against the business rescue practitioners' planned retrenchments.

The court found that the unions were entitled to an alternative process and that the practitioners could not initiate job cuts without a proper business plan.

The practitioners had given SAA workers until Tuesday to accept severance package deals, saying that the company did not have money to pay them.

Government and unions disagree, claiming that the practitioners had failed to explore all alternatives despite government providing them with R5.5 billion since they were appointed in December last year.