Mango Airline may be on runway again soon
Mango remained mum about any developments, with spokesperson Benediction Zubane insisting the airline would not communicate until the publication of its business rescue plan.
Mango may be gone forever, soon. Picture: Gallo Images/Foto24/Theana Breugem
Mango Airline may restart operations next month with a fleet reduced to its 2006 launch level of four aircraft.
This is according to a member update from the Mango Pilots’ Association seen by The Citizen.
In addition, staff will only get half pay for this month and next month, with the balance deferred to a later date, along with an estimated eight months’ back pay.
But Mango remained mum about any developments, with spokesperson Benediction Zubane insisting the airline would not communicate until the publication of its business rescue plan.
At its launch, Mango employed just over 250 staff and now has a 749 headcount across what was a fleet of 14 aircraft. So the likelihood of a jobs bloodbath may be real. Simple maths suggests a possible cull of about 500 jobs based on a ratio of 53 per tail prior to its troubles.
But according to the pilots’ association circular, retrenchments will only be looked at once the plan is complete and the business rescue practitioners would also be open to hearing alternative business cases from labour before finalising its plan.
Mango did not comment on the possible job cull.
Aviation analyst Guy Leitch said: “It is essential to provide as much feedback as possible to all the various stakeholders in the airline.
“And that means regular updates on how the business rescue process is going, especially because business rescue processes can, as we know can drag on for a very long time indeed.”
According to a source close to the business rescue practitioner, Opis Advisory, it will be presenting its voluntary severance package proposals for Mango to unions this week, followed by further engagement.
The National Union of Metalworkers of SA and the South African Cabin Crew Association accused Mango’s parent company, SAA, of top-heavy management with allegedly 250 managers managing 750 employees.
“I think that going forward, with all the state intervention, we’re going to see a bloated staff complement, particularly for just four aircraft at Mango,” said Leitch.
The Democratic Alliance’s Alf Lees said: “Mango’s business rescue process shouldn’t be shrouded in secrecy. It’s a business that belongs to the taxpayer and the silence has been deafening since its get-go.
“The fact that staff continue to be left in limbo is just a further indictment of the lack of any humanity at the department of public enterprises.”
The pilots’ association member update said Mango’s fit in a Takatso-controlled SAA was still unclear.
– news@citizen.co.za
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