South African Government Calls For Review Of SAA Route Cuts

South African President, Cyril Ramaphosa has declared that his government does not agree with plans to cut some of struggling South African Airways’ (SAA) domestic routes, plunging rescue efforts for the cash-strapped carrier into uncertainty.

Ramaphosa disclosed that State-owned SAA entered a form of bankruptcy protection in December and is fighting for its survival.

The public enterprises ministry which oversees SAA says it wants the route changes to be reviewed.

According to the ministry in a statement, Government will be making representations to the Business Rescue Practitioners in order to balance the necessity for trimming unprofitable routes with the need to ensure the future sustainability of both the airline and South Africa’s aviation industry.

SAA flights to Cape Town will continue on a reduced basis.

Under South African company law, the business rescue team is entitled to take decisions that are deemed necessary to turn a distressed company around independently of government. In theory, it could ignore the government’s objections.

SAA is among several South African state entities including power company, Eskom that are mired in financial crisis after nearly a decade of mismanagement .