The National Union of Metalworkers of SA (Numsa) and the SA Cabin Crew Association (Sacca) had taken the airline’s business rescue practitioners to court in a bid to stop a retrenchment process involving the entire staff complement.
The National Union of Metalworkers of SA and the SA Cabin Crew Association , which together represent about 60% of the 4,700 employees at SAA, had taken the airline’s business rescue practitioners, Leslie Matuson and Siviwe Dongwana, to court in a bid to stop a retrenchment process involving the entire staff complement.
In his summary, Van Niekerk said the “crisp issue” was whether Section 136b of the Companies Act permitted a business rescue practitioner to retrench employees “only as part of a business rescue plan and on presentation of that plan or whether a retrenchment process may be initiated in the absence of a business rescue plan”.
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