SAA defends decision to delay salary payments for some employees

South African Airways (SAA) is defending its decision to delay salary payments for some employees, saying it had to prioritise critical operational costs. The airline said most staff members were paid on time, while management, pilots, executives and board members received their salaries later as part of what it describes as a necessary trade-off.

ALSO READ: 'SAA has a future, everyone is getting paid' - senior airline exec SAA's financial future in question again as airline resorts to staggering salary payments The Group Executive for Corporate Affairs, Mpilo Dlamini, said rising fuel prices and the high cost of operating in Africa have added pressure to the airline’s cash flow.

He also acknowledges that SAA has struggled with insufficient capital injections since emerging from business rescue. "After the business rescue process, we did not get enough capital injection that is going to keep us afloat, cushion our costs, make sure that we expand the way we wanted to expand.

So, there are those issues that I want to admit made us, you know, to be affected in terms of liquidity." Dlamini said the airline will not seek a bailout from the National Treasury, after the government’s approval of a R1 billion guarantee. "The board and the management are seized with making sure that we are actually the support that we got from government through the guarantee.

We are talking and engaging a number of our financial institutions, and I must say and confirm to you now that they are willing and interested in supporting us because we have a bankable strategy. We are not going to ask for more money." Never miss a major story. Get breaking news and the latest developments from South Africa and beyond as they happen.