Denel ordered to pay salary deductions
Denel has been ordered by the high court in Pretoria to pay employees’ outstanding unemployment insurance and tax deductions from staff salaries.
The court ordered the cash-strapped entity to make the payments by the end of August following an application by trade union Solidarity.
The court application came after the struggling arms manufacturer announced earlier that it was only able to pay a certain portion of its employees’ salaries for June and July.
The trade union says certain statutory compulsory payments such as PAYE, UIF and the skills development levy were indicated on salary slips, but were not paid over.
READ: More salary woes for Denel employees
Solidarity spokesperson Anton van der Bijl the ruling is a victory for Denel employees.
“However, it is regrettable that we had to go to court just to draw Denel’s attention to payments that it should have made a while ago.”