Government and unions working to create a 'new' South African Airways

South Africa's Department of Public Enterprises (DPE) announced (01-May-2020) plans to create a "new" South African Airways (SAA). Details include:

• Minister Pravin Gordhan established "very demanding timelines" for the development of SAA's business rescue plan and parameters to determine "what path the old SAA could follow";
• The transition to the new airline "may require sacrifices, pain and hardships for all concerned". These challenges will be mitigated through measures including preferential reemployment, reskilling and enterprise development opportunities;
• There will be "a major performance-based culture change for all leadership, management and employees";
• The DPE and unions are working on a business model for the new carrier to ensure a competitive edge in safety, quality and costs;
• The intention is to produce "an airline which is a catalyst for investment, job creation in key sectors, economic growth throughout all regions of the country";
• The airline will be funded through "a variety of options", including strategic equity partners, funders and the sale of non-core assets. The parties are of the view that the South African Government "must continue to play a role". [more - original PR]