Tito Mboweni Set to trigger the retrenchment of about 3 000 staff, the airline is undergoing a serious face lift. It’s likely to return to service under a special name, with a totally new management team and operating style. this may cost about R16 billion for the entire restructuring programme and therefore the funds will need to come from the state.
With the shortcomings of the Eskom, the general public Investment Corporation (PIC) is seen as an alternate for the govt . consistent with Mboweni’s commitment under oath, this may be administered by investing the cash collected publicly pensions into SAA. Their multi-billion rand bailout would bypass any ’emergency’ funding and see the national carrier complete its metamorphosis.
Geordin Hill-Lewis, who is that the shadow minister of finance , has welcomed one among Mboweni’s decisions but he’s keeping an in depth eye on his opposite number:
“On the idea of Mboweni’s commitment under oath, we are satisfied that there's no need for an urgent hearing, although we remain on high alert for other illegitimate attempts to fund SAA.”
“The DA has achieved its immediate goal of preventing this bailout from happening secretly, behind the scenes. we've now removed our application from the urgent court roll. The DA is resolute that it might be wrong for SAA to be bailed out once more , at public expense, while many people face such hardship.”
“But Mboweni’s affidavit, filed in response to our court challenge, raises new alarms about how the airline could be bailed out using other means. Most worryingly, he suggests using pension funds to ‘invest’ in SAA, which raises the prospect of the general public Investment Corporation being forced to offer money to a state carrier.” Geordin Hill-Lewis said.
But Mboweni said the bailout Geordin talked about isn't real.