Travel

South African Airways set to lay-off all its 4,700 employees

Last updated on September 11th, 2021 at 02:54 pm

South African Airways (SAA) is set to lay off all of its employees at the end of April. A document detailing the airline’s severance package, obtained by Bloomberg, shows that 4,700 employees will leave the company by the end of this month.

The collapsing airline will reportedly make sales of its assets to foot the salary pay-outs. According to the Mail&Guardian, the document shared with employees stated that: “…the company will make payment of the severance packages to employees on a monthly basis, over a period of six months, once the sale of assets [has] been concluded.” These assets include the sale of two night slots at London Heathrow airport.

The decision to fire all staff comes after the South African Government declined to provide more funds for rescue efforts. The South African government earlier this week told administrators that it wouldn’t provide more funds, lending guarantees or allow foreign financing of a business rescue plan.

The coronavirus pandemic has affected several airlines over the past few months. Reduced schedules and grounded fleets mean that airlines are rapidly bleeding through money while they weather the pandemic.

However, many carriers have been able to acquire government bailouts to cushion the financial blow. Unfortunately for South African Airways, this will not be an option.

The SAA entered a form of bankruptcy protection in December, and has since had to suspend all its passenger flights due to the COVID-19 pandemic that has left the world’s aviation industry in jeopardy. Even before the pandemic however, SAA was already reducing routes and considering job cuts.

In a turbulent decade for the carrier, at least nine chief executive officers were brought in to try and change its course, all with little success.

(Standardmedia)

Albert Echetah

Recent Posts

At least 7 members of the Nigerian security forces are missing after insurgentsambushed their convoy

A team of 80 security agents tasked with protecting the electricity grid was ambushed onMonday in Shiroro, Niger State, by…

November 21, 2024

Cryptocurrency Gains Momentum inAfrica Amid Global Shifts in Trump’sElection

Cryptocurrency becomes the new thing in Africa. People shift for stable alternatives aftertheir unstable local currencies. Many people believe Donald…

November 21, 2024

UAE Delivers Lifeline: 30,000 Food BasketsBring Hope to Sudanese Refugees in Uganda

UAE has also distributed 30,000 food baskets to Sudanese refugees in Kiryandongo refugeecamp Uganda to benefit nearly 100,000 affected people.Aid…

November 21, 2024

Turkey wants to increase its trade with Africa to 50 billion dollars

The trade volume between Türkiye and 54 African countries has grown sevenfold, reaching $37 billion from 2003 to 2023, Yılmaz…

November 20, 2024

Tanzania, Botswana, and Mozambique Secure Spots in 2025 Africa Cup of Nations

The final round of the 2025 Africa Cup of Nations qualifying matches was held this week with Tanzania, Botswana and…

November 20, 2024

Lucas Moripe: The Masterpiece of SA Football Leaves a Legacy

'Masterpieces' Lucas Moripe passed away at his Atteridgeville home on Tuesday at his senior year of 71. His style of…

November 20, 2024

This website uses cookies.