Business Rescue Practitioner tells unions Comair needs to find an investor or winds down

Comair Business Rescue Practitioner Richard Ferguson has told labour unions that the airline must either find an investor in the shortest time possible or be wound down.

The National Union of Metalworkers of South Africa (Numsa) met with the management team of Comair including the CEO Glenn Orsmond and the company’s Business Rescue Practitioner Richard Ferguson on Tuesday.

Numsa says it is still not clear if its members will get their salaries for the month of June including medical aid and other benefits.

1 200 workers face an uncertain future after the airline suspended its operations last week citing financial problems.

Passengers were left stranded at airports: 

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The union says both the CEO and Business Rescue Practitioner must take full responsibility for failing to turn the airline around.

Numsa says in the meantime it will be making an application to the Department of Employment and Labour for employees to be placed on the Training Lay-off Scheme.

“That way whilst the airline is not operating, workers can at least earn some kind of salary while training. At the same time, every effort must be made to find an investor for the airline in order to prevent liquidation,” says spokesperson Phakamile Hlubi-Majola.

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Source: SABC News (