Today's Labour News

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SA ExpressBusinessLive reports that employees of SA Express have been told they will not be paid and that they must not return to work, as their contracts of employment have been suspended due to the provisional liquidation of the airline.  

In a letter sent to the embattled state-owned carrier’s more than 600 employees last Friday, the liquidators announced the immediate suspension of the contracts.  The airline, which owes creditors more than R2bn, was placed under provisional liquidation on 29 April after its business rescue practitioners (BRPs) told the High Court in Johannesburg that it had no prospect of survival.  The final liquidation hearing is expected to take place on 9 June.  The BRPs applied for liquidation after the government had denied them further funding.  The airline’s demise has also been accelerated by the Covid-19 pandemic, which led to SA Express suspending operations in March.  The airline has been unable to pay staff salaries since March.  SA Express did put in an application to receive money from the UIF to pay salaries, but only received a partial payment.

  • Read the full original of the report in the above regard by Genevieve Quintal at BusinessLive


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