How a Zambian Man Tried To Impound South African Plane

Efforts by a Zambian man to impound a South African Airways (SAA) aircraft have failed despite the backing of a court order, bailiffs were unable to seize the plane. However, they were able to take assets from SAA’s local office.

According to news reports, a Zambian citizen’s attempts to seize a South African Airways aircraft have failed. The reason for failure wasn’t legal but reportedly due to “interference” from airport authorities. However, with a court order in hand, the plaintiff is pushing ahead with enforcement.

South Africa Airways

The airline’s office in Zambia has been seized, along with assets such as computers, furnishings, and more. However, the plaintiffs have reportedly said that they plan to make further attempts to seize an aircraft from the airline.

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The case stemmed from an incident onboard an SAA flight in 2019. The man at the centre of the controversy is Joseph Moyo. In 2019, he was flying from Livingstone to Johannesburg, with an onward connection to the US. Moyo, who uses a wheelchair, was travelling with a nurse on the flight. When he wanted to use the bathroom, he requested flight attendants for an “aisle chair” to move through the cabin.

However, the crew members were informed that there was no aisle chair available on the aircraft. This resulted in Moyo soiling himself on the flight, leading to emotional trauma and pain. He subsequently sued the airline on various charges for breaching their duty to passengers.

Each country has a different law on the use of aisle chairs in aircraft. Most require that widebody aircraft come equipped with one, since wheelchair-users are likely to use the washroom on longer flights. However, narrowbody planes may not come with the chairs due to the shorter length of the flight and smaller toilets.

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Moyo received a default judgement in the case, meaning that SAA did not respond in court to the charges. He has won over $10,000 in compensation toward the cost of therapy, to reimburse his three-day hotel stay in Johannesburg due to trauma from the incident, and for SAA’s failure to load an aisle chair on the flight.

In response, SAA has said that it will challenge the default judgement and has a stay on the verdict. It’s unclear if the airline will now be able to avoid the seizure of its aircraft in Zambia.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

South African Airways Bounces Back, Announces First Take-Off Date, Tickets Soon On Sale

South African Airways interim CEO Thomas Kgokolo.

The renewed South African Airways (SAA) plans to start returning its planes to the skies from 23 September 2021, the company said in a statement made available to the media this week. In a tweet, the airline notes that:

The Wait Is Finally Over. In Just Under A Month, The Striking And Familiar Livery Of SAA Will Once Again Be Visible In The Skies As The Airline Resumes Operations. The Carrier Has Confirmed The First Flights Will Commence On Thursday, 23 Of September 2021. #FlySAA Pic.Twitter.Com/6fkmL5z6Ym 

— SAA – South Africa (@Flysaa) August 25, 2021

Tickets for SAA flights will go on sale from 26 August 2021. Voyager bookings and Travel Credit Voucher redemption will be available from 6 September 2021, according to reports from the airline.

South African Airways interim CEO Thomas Kgokolo.
South African Airways interim CEO Thomas Kgokolo.

“After months of diligent work, we are delighted that SAA is resuming service and we look forward to welcoming onboard our loyal passengers and flying the South African flag. We continue to be a safe carrier and adhering to Covid-19 protocols,” said SAA’s interim CEO Thomas Kgokolo.

In the initial phase of the national airline’s return, the company will begin by operating flights from Johannesburg to Cape Town, Accra, Kinshasa, Harare, Lusaka and Maputo. SAA says that more destinations will be added to the route network as it ramps up operations in response to market conditions.

“There is a profound feeling of enthusiasm within Team SAA as we prepare for take-off, with one common purpose – to rebuild and sustain a profitable airline that once again takes a leadership role among local, continental, and international airlines,” said Kgokolo.

“The aviation sector is currently going through a testing period, and we are aware of the tough challenges that lie ahead in the coming weeks.”

This latest statement from SAA did not indicate what the latest progress is with the ongoing due diligence process of the airlines chosen strategic equity partner, Takatso Consortium.

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In June, South Africa lost the majority stake in SAA through a deal with Takatso.

A 51% black-owned enterprise that comprises pan-African investor group Harith Global Partners and aviation group Global Aviation, the consortium is expected to initially pump R3-billion into the airline. SAA will retain its name and will be domiciled in South Africa.

Two weeks ago, SAA received two leased Airbus A320 passenger aircraft. These aircraft were among the aeroplanes SAA sent back to lessors during its lengthy business rescue process.

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The Airbuses were placed in storage and given six-year maintenance checks in Abu Dhabi during this time.

SAA has since told employees in an internal memo that the due diligence process with Takatso is gaining momentum and plans are well advanced for cargo and charter flights.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Over 200 South African Pilots May Lose Their Jobs.

Following The recent change in ownership and management at South African Airways, members of the South African Airways Pilots Association (SAAPA) have expressed their concerns on implications for job security of their members. To this end, they are  set to vote on a new agreement with South African Airways (SAA), which, if accepted, could end all current disputes with the airline. Including an ongoing strike.

South African Airways
South African Airways

According to SAAPA, this new deal would mean that 88 pilots will be retained by the partly-state-owned airline, with an approximate 290 pilots expected to be retrenched. Retrenched pilots will, however, receive payment of any owed remunerations as well as retrenchment pay.

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SAAPA issued a statement today indicating that it had reached an “in-principle agreement” with SAA, with media reporting that the agreement will be taken to its members for ballot, with the outcome expected this Sunday at 17:00.If accepted by the membership, it would end the lockout and strike and would bring to a close all disputes between the pilots and SAA,” the statement reads.

“As SAAPA pilots have not received any remuneration since the end of March 2020, over 15 months ago, the agreement includes provisions for payments to be made within a week of signature of the final agreement,” it continues.

Last week, the Labour Court of South Africa dismissed an urgent application by SAAPA to stop SAA from using replacement labour while its members were on strike. SAAPA also wanted the lockout of its members to be declared “unlawful and unprotected.”

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Last month, the South African government lost the majority stake of its troubled airline, through a deal with its new strategic partner Takatso Consortium.

The deal was announced by Public Enterprise Minister Pravin Gordhan. Takatso Consortium now owns 51% of the airline, with the government remaining with a minority stake at 49%.

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“Government and the ANC [have] indicated over some time the intention to restructure SAA. The airline was placed into business rescue in December 2019 and since then our objective has been to ensure a viable and competitive airline and once launched, not reliant on the fiscus,” said the Minister during a virtual briefing.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

How South African Government Lost Majority Stake in South African Airways

Efforts to resuscitate ailing South African Airways took a dramatic turn with the South African government losing majority stake of its airline through a deal with its new strategic partner Takatso Consortium. According to an announcement by the Public Enterprise Minister, Pravin Gordhan, the government has reached an agreement with Takatso Consortium, a private company that will now own 51% of the airline, with the government remaining with a minority stake at 49%.

South African Airways
South African Airways

“Government and the ANC [have] indicated over some time the intention to restructure SAA. The airline was placed into business rescue in December 2019 and since then our objective has been to ensure a viable and competitive airline and once launched, not reliant on the fiscus,” says the Minister during a virtual briefing.

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Takatso Consortium, a 51% black-owned enterprise that comprises pan-African investor group Harith Global Partners and aviation group Global Aviation, is expected to initially pump R3-billion into the airline. SAA will retain its name and will be domiciled in South Africa.

Gordhan says that the government will no longer be putting money into the airline. All future funding will come from Takatso and that the objective of the partnership is to create a viable, scalable national airline in its own right. Fin24 reports that SAA is set to begin building new partnerships within the continent after it is relaunched once all “due diligence” is completed.

“Once the due diligence exercise is completed, we will keep the public further informed about the exact launch dates and more,” says Gordhan.

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The minister says that the government has negotiated a non-dilutable “golden share” of 33% of the airline, meaning that the government will always have some stake in SAA. But this move in assurance may be a spoiler for future privatisation of the airline.

“Harith, as owners of Lanseria International Airport, has significant experience in the transport infrastructure and aviation sectors. We have deployed more than a billion dollars into a portfolio of critical infrastructure assets across the African continent that supports regional economies,” Harith co-founder and Consortium Chair Tshepo Mahloele says in a statement.

“We believe the whole sector, from our point of view, is growing. We look forward to the venture and believe it will be very good,” Mahloele says.

“It is not often that one gets the opportunity to serve one’s country. Many people said we are crazy to start an airline in this environment. We believe it is the best time. Airline models around the world are being challenged and are flawed in many ways. We have the capital and financial insights of Harith,” says an emotional Gidon Novick, CEO of Takatso Consortium.

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“We have a lot to do. It keeps us up at night. We have to figure out the routes, what planes to fly and understand the subsidiaries of SAA and focus on customers, especially those who were so loyal to SAA in the past. We want to win them back and want them to know this is going to be their airline,” Novick continues

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Turning Around South African Airways ‘Won’t be Easy’ – Chairman Qhena

As the new CEO of the struggling South African Airways (SAA) Thomas Kgokolo  and his executive team promise to hit the ground running in coming weeks, meeting with important stakeholders in efforts to rebuild confidence in the entity. Chairperson of the Airline, Geoff Qhena has expressed worries about the take-off of the Airline harping on the delicate task at hand as SAA prepares to exit business rescue and resume operations.

Thomas Kgokolo, CEO , South African Airways
Thomas Kgokolo, CEO , South African Airways

But the road ahead for the troubled flagship airline is not going to be easy, says Qhena. The board has appointed Kgokolo interim CEO and other executives to ensure an orderly changeover from business rescue and a safe landing to normalised operations.

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The Airline’s business rescue practitioners (BRPs) had set 31 March 2021 as the end date for the process. However, the airline remains in business rescue, which is expected to conclude any day now, pending the fulfilment of certain regulatory and administrative requirements. The carrier was placed under business rescue in early December 2019, a process which has cost millions of rands — and counting.

Qhena is a seasoned professional, having cut his teeth in the state-owned enterprises space: his most recent high-profile position was chief executive of Industrial Development Corporation, a development financier. Qhena, a qualified chartered accountant, vacated that post in 2018.

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“It will be disingenuous of us to say it’s going to be easy going forward. It’s not going to be,” says Qhena.

That is why the interim board has roped in Kgokolo and others to steer the operational end of SAA’s move out of business rescue. The board’s mandate is limited to oversight, while operations are reserved for executive management. Kgokolo is also a chartered accountant and holds an MBA from the Gordon Institute of Business Science, where he was a lecturer of corporate finance.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

South African Airways Gets New CEO As Turnaround Continues

Thomas Kgokolo, new CEO, South African Airways

South African Airways (SAA) is continuing to get back on its feet to once again become a functioning airline. As part of this saga, currently within a drawn-out business rescue process, SAA will be getting new leadership in the form of an interim CEO named Thomas Kgokolo. This will make him the airline’s fifth CEO in five years.

Thomas Kgokolo, new CEO, South African Airways
Thomas Kgokolo, new CEO, South African Airways

The April 13th appointment of Thomas Kgokolo as SAA’s interim CEO makes him the carrier’s fifth CEO within five years. Kgokolo is a certified chartered accountant, having built up a career for himself in the public sector. Education-wise, Kgokolo holds a master’s of business administration degree from the Gordon Institute of Business Science (GIBS). Kgokolo has also been a lecturer in corporate finance at GIBS.

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South Africa’s Eye Witness News notes that Kgokolo holds 15 years of public sector experience and more than 10 years of experience at a non-executive director level.

Kgokolo fills a vacant position, made empty when Philip Saunders left the airline in December 2020. Saunders had taken over from Zukisa Ramasia, who resigned in March 2020. Ramasia had held the interim CEO position since 2019, after the resignation of Vuyani Jarana.

Since SAA entered into its current business rescue process almost 16 months ago, the embattled airline has had three CEOs. At this point, there is no firm timeline for when the airline will be operating once again.

In his new role, Mr. Kgokolo’s main task will be to ‘hold down the fort’ and oversee a smooth transition out of the airline’s business rescue proceedings. Kgokolo will have to prepare the airline for re-entry into the market, which will include making peace with SAA pilots, who have been threatening to strike due to a four-month-long lockout and unpaid wages.  

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Eye Witness News adds that Kgokolo will reportedly bring some fresh and insightful perspectives on how to deliver value for the airline. Providing leadership and strategic direction to employees and stakeholders is also reportedly a strong point for the new CEO.

SAA’s fleet has diminished over the past few years, with lease aircraft going back to lessors. This includes Airbus A350s and A330s. There has yet to be a firm date on SAA’s restart. Its website notes that domestic and regional flights will remain canceled up to, and including, June 30th, 2021, as per a statement issued on March 29th. For now, bookings for July 1st and onwards will “remain in place for now,” with the airline adding that “the cancellations pertain to the ongoing business rescue process and travel restrictions with respect to COVID19.”

Meanwhile, a mid-February posting states that international flights will remain canceled up to, and including, October 30th, 2021.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

South Africa Airways Works Out Rescue for the Troubled Airline

As part of efforts aimed at rescuing one of Africa’s biggest airlines, the ad-hoc management of the South African Airways has set out a rescue plan on initial fleet and personnel requirements. The resurrection plan would involve an initial restart period of eight months; running to January 2021 says the interim management. Adding that over this period the fleet would be gradually built up to around 26 aircraft, comprising seven long-haul jets – about half of which would be in place at the end of this year – plus nine narrowbodies, and 10 smaller aircraft.

The Airline would have 40% fewer aircraft than it had before entering business rescue last December, when the fleet heavily favoured long-haul types.Reshaping the fleet over the period to January 2021 would enable operations to be revived in accordance with the lifting of lockdown measures, initially covering domestic and regional services before the re-introduction of intercontinental flights. 

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The proposed route network, set out in the business rescue plan, comprises long-haul services to New York, Washington, London, Frankfurt, and Perth, plus some 20 major cities primarily in Africa, and three domestic links. Under the rescue plan SAA’s long-haul fleet would be heavily reduced.

For the first three months, the plan says, the revived airline would require about 1,000 personnel. “It is anticipated that the final staff number will increase in accordance with the market conditions and passenger demand,” it adds.

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During the ramp-up phase, the expanding business will need just under 2,900 employees. “As the operations of SAA stabilise, and eventually increase, it is anticipated that more staff will be required,” says the plan. “On a commercially viable and sustainable basis the company will employ more staff, with a preference being given to former SAA employees subject to competence, skills and suitability.”

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SAA previously employed just over 4,700 personnel including 617 pilots with over 1,500 cabin crew. The plan expects a voluntary severance agreement to be concluded through employee consultations, with 1,000 jobs being retained – under new terms and conditions – for the initial start-up. Given the number of employees likely to be retrenched, the severance package will cost about R2.2 billion ($127 million). This will form part of the overall R26.7 billion costs for restarting the airline.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Passengers Stranded Across the World as South African Airways Strike Enters Day 2

Thousands of passengers of South African Airways have been stranded across the world since Friday when the airline’s staff commenced a strike action aimed at getting the management to rescind its decision to sack close to 1000 workers. Many of the passengers who had their flights cancelled were advised by the airline to rebook their flights for next week hoping the strike is called off by next week. Those mostly affected are passengers on its London, Frankfurt, Washington D.C, New York, Lagos, Accra, Abuja, Dubai among others.

SAA Human Resources Manager Martin Kemp
SAA Human Resources Manager Martin Kemp

Though the airline began negotiations with the unions today but not much was achieved as it was also battling to manage the deluge in flight cancellations and customers complaints from across the world. The unions say that more than 3,000 of the company’s 5,000 employees, both ground and cabin workers, are participating in the strike. The workers are demanding wage increases and the end of a restructuring plan that could lead to the loss of hundreds of jobs

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The airline canceled nearly all international and domestic flights it operates on Friday and Saturday after two major unions, the South African Cabin Crew Association and the National Union of Metalworkers of South Africa ordered their members to down tools starting Friday. The strike which was announced shortly after the airline said it is launching a restructuring process that could affect nearly 950 employees saying the airline is facing numerous challenges including insufficient revenue and an aging fleet.

.On Friday and Saturday, SAA cancelled more than 300 flights on both domestic and international routes. The company announced today that the unions had agreed to sit at the bargaining table. “It is in the public interest that this dispute be resolved,” SAA Human Resources Manager Martin Kemp said in a statement welcoming “the unions’ willingness to find a solution. “We are focused on finding a solution that meets employee demands, saves the company and restores normal operations,” he added.

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SAA unions are calling for an 8% wage increase and a three-year employment guarantee, while the company is proposing a 5.9% increase. South African Airways is one of Africa’s leading airlines with a fleet of more than 50 aircraft. But despite government loans, it has not made any profit since 2011 and is accumulating debts. South African Airways has warned that a continuation of the strike could be fatal to it. Its spokesman Tlali Tlali said, the company is losing 52 million rand (about €3.2 million) a day due to flight cancellations.

 

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry.