Report: South African Airways teeters on the brink

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Report: South African Airways teeters on the brink
Photo Credit: LO Kin-hei/Shutterstock.com

South African Airways (SAA) is on the brink of collapse, reports Bloomberg

According to a proposal to labor groups viewed by the news outlet, the carrier offered a severance deal to all 4,700 of its employees after the South African government declined to provide more money to the state-owned carrier and after bankruptcy administrators determined that a turnaround is unlikely. 

SAA was in trouble before the onset of the Covid-19 crisis, having entered into bankruptcy, called “business rescue” in South Africa, in early December. 

All SAA flights have been grounded for the past few weeks and its sales offices have been shuttered since March 31. 

The carrier didn’t respond to a request for comment on Monday afternoon.

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