South African Airways to retain 1000 staff, retrench 2700

South Africa's Department of Public Enterprises announced (07-Jul-2020) labour unions agreed to accept voluntary severance packages for South African Airways (SAA) employees. However, the position of the South African Airways Pilots Association remains unclear and the union will seek to consult with SAA's business rescue practitioners regarding the severance packages. Details of the severance package agreement include:

• 1000 SAA employees to be retained and around 2700 will be retrenched. Another 1000 employees will be placed on a training layoff scheme for 12 months;
• Retrenched staff will be able to access severance packages once the SAA business rescue plan is endorsed by a creditors' vote, scheduled for 14-Jul-2020;
• Severance package payments will total ZAR2277 million (USD132.7 million). [more - original PR]