Fin24 reports that SA Airways (SAA) asserts that the regulatory agreement it has with the SAA Pilots' Association (Saapa) prevents it from achieving "meaningful and expeditious transformation" in compliance with the Constitution and the Employment Equity Act.
This was indicated in a letter dated 12 January 2021 from SAA's HR department to Saapa members. Saapa members have been locked out by the airline's business rescue practitioners (BRPs) since 18 December 2020, mainly due to a stalemate regarding proposed changes the airline wants to be made to a long-standing regulation agreement with the pilots union. Saapa apparently intends to apply for leave to appeal a recent Labour Court decision that the lockout of its members by the airline was permissible. SAA sees the regulatory agreement as "a significant impediment" to the reduction of certain costs and increasing productivity. Particularly problematic for SAA is the application of seniority in terms of the regulatory agreement, which directly controls the manner in which pilots are employed and dealt with by SAA, including promotions, demotions and salaries. "Given the make-up of SAA's pilot list, which comprises overwhelmingly of white males, this operates to the detriment of and unfairly discriminates both directly and indirectly against black, coloured and Indian men and especially women," states the letter. SAA wants Saapa to conclude "a mutually satisfactory settlement agreement" with the airline. SAA has been in business rescue since December 2019 and the BRPs are trying to complete the implementation of a business rescue plan. That will clear the way for a "new SAA", for which the government needs a strategic equity partner.
- Read the full original of the report in the above regard by Carin Smith at Fin24
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