Unions in a bid to place Mango in business rescue

Unions representing Mango staff will head to court this week to file an application for the airline to be placed in business rescue.

This comes after the department of public enterprises ignored a deadline to respond to questions from staff about its future and unpaid salaries.

Mango Pilots’ Association, the National Union of Metalworkers of South Africa, and the South African Cabin Crew Association said they had exhausted all other avenues to seek a solution to the funding impasse.

Even a letter to President Cyril Ramaphosa did not get much more than acknowledgement of receipt.

“Business rescue is unfortunately the only way forward,” said SA Cabin Crew Association president Zazi Nsibanyoni-Mugambi.

“The situation is very dire for our members, who just a few months ago were praised by Minister [of Public Enterprises Pravin] Gordan for voluntarily sacrificing 50% of their salaries to make sure Mango stays in the air. Now they have been
hung out to dry.”

Mango staff have not been paid salaries since May. Since the beginning of lockdown last year, employees have voluntarily taken salary cuts to keep the airline afloat.

Two creditors have already filed for the airline’s liquidation. At the end of April, Airports Company SA grounded Mango for two days due to nonpayment of bills. Mango’s debt is reportedly about R2.5 billion.

“The jobs of 750 people are at stake,” said Mango Pilots’ Association chair Jordan Butler.

“So, in a combined effort between all the unions, we will be proceeding legally to place Mango go into business rescue.”

Butler said that from the cleaners to the chief executive, “we have all been working as hard as we possibly could to keep the company going. At least 10 000 people depend on Mango for their livelihoods or a part thereof”.

This week, SAA – Mango’s parent company – said a business plan was being discussed at board level.

Meanwhile, Mango staff are collecting funds and sending food and necessity parcels to colleagues across the country.