“There is a social plan for SAA employees facing retrenchment”- Gordhan reveals



Public Enterprise minister, Pravin Gordhan says there is a “social plan” that will be of benefits to South African Airways (SAA) employees facing retrenchment.

About 2,000 workers are at the risk of losing their jobs after being issued section 189 notices but Gordhan assures them that there is a backup plan prepared for them.

This was after a Business Rescue Plan (BRP) was approved by investors this week that reveals that only 1,000 jobs can be retained out of the over 2,000 employees to be retrenched.

While speaking to eNCA, Gordhan says the affected workers will benefit from a project established to employ, train and refer them to other companies.

“We have a social plan that has been developed, and the idea of the social plan is to have a lay off scheme so that in the immediate, up to a 1,000 people can be employed and another  1,000 are part of what is called a training lay off scheme where other arms of government. Other institutions like the transport SETA will participate and the private sector as well so that we keep another  1,000 people in reserves so that as the airline grows and as conditions change, those people can be brought on board,”  –Pravin Gordhan, Minister of Public Enterprises.

The department of Public Enterprises believes that this social plan will provide a better outcome than liquidation.

Recommended for you