Agreement sees SAA Technical reinstate aircraft maintenance
South African Airways Technical has reinstated aircraft maintenance after it managed to reach a payment agreement with some airlines.
The SAA subsidiary had suspended maintenance services to four of its airline customers, including low-cost carrier Mango, due to outstanding payments.
“We are pleased to have reached an agreement with at least two of our customers and will continue to have discussions with two others as we seek to find a resolution and settlement on these matters,” says SAAT CEO, Adam Voss.
“The decision we took to suspend services to our customers was not taken lightly.
"We had to protect our commercial interests which extend to the wellbeing of our employees who were adversely impacted by the cashflow challenges we experienced, resulting in payment of 25% of their salaries for the month of September."
The company is also in discussion with trade unions to arrange payment of salary balances for September.
Mango aircraft returned to service on Saturday to transport passengers following the agreement between the two parties.
“We all appreciate that the aviation landscape has changed drastically due to the impact of Covid-19 outbreak globally,” Vos says.
"We know that many of our customers were not able to trade and generate much-needed revenue to pay for services rendered.
"As part of the recovery strategy and a way forward, we agreed with these customers that SAAT will receive an upfront payment for services that must be rendered."
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On Monday, staff members affiliated to the National Union of Metalworkers of South Africa (Numsa) picketed outside the airline's head office in Kempton Park. This comes after employees were informed on Friday that they would only receive 25% of their salary.
