Trade unions seek clarity on Mango's future after filing for business rescue

The low-cost South African Airways subsidiary was forced to indefinitely suspend its flights last week due to outstanding payments owed to air traffic navigation services.

Picture: @FlyMangoSA/Twitter

JOHANNESBURG - Trade unions representing Mango Airlines' workers want clarity on the airline’s future after accusing the Public Enterprises Department of having no intention of keeping the cash-strapped carrier in the sky.

The low-cost South African Airways subsidiary was forced to indefinitely suspend its flights last week due to outstanding payments owed to air traffic navigation services.

Workers said that they would not back down until the company enters business rescue.

Mango employees are angry that the airline was not included in the package to rescue SAA and unions have now filed for the airline to be taken into business rescue.

They filed an urgent application at the Johannesburg High Court, which would now be heard on Tuesday.

Earlier, the company and Intellectual Property Commission rejected the airline's application for business rescue, citing that it had filed three months too late and didn't have a properly constituted board at the time.

Mango is bound by the company's acts and the Public Finance Management Act and there is a prescribed time limit to file for business rescue, following a board resolution to do so.

However, unions are pushing for business rescue to take place anyway, saying that many employees haven't been paid for months, leaving them destitute.

Download the Eyewitness News app to your iOS or Android device.