SAX Retrenching

[hiflyerjnb]

The word is out on the street that at a meeting last night, the staff were told that SAX will be selling 3 Dash 8's and possibly have a buyer for all the CRJ's. I understand that SAXPA have been told to expect at least 27 pilot retrenchments

[The Claw]

Sadly I believe that the retrenchment will be a lot more serious than just 27 pilots. Staff at "all levels" are to be retrenched. Normally it is the other departments that suffer the most retrenchments. It always was a dodgy set-up. :(

[hiflyerjnb]

Yes, I think you are right Claw. The staff, have been given the mushroom treatment for years. They have been told that it is all going well. If that was so, why did Transnet have to keep bailing the airline out? No genius required to see the writing on the wall.

The pilots also have not been paying attention, they have had the mentality, that they work for the state and that SAX cant go broke. They have been making huge pay demands on management, then being proud of the fact that they nearly went to a strike. Also, 5 crews per aircraft is too high for a regional feeder. Now they wonder why there has to be retrenchments.

I have a feeling that there is more bad news when Rodger Foster and the Airlink management get their hands on the operation, (if they still want it). The good thing about all this is that airlines in SA will become profitable, and then be able to continue expanding on a sound footing.

[El Peligroso]

Sorry to hear about this, but with -3 Dash 8's and all the CRJ's gone, what and where will they be flying?

Also heard that Pomair is likely to retrench some pilots soon....true??

[slapfaan]

Real problem started when Dodgy-Rogy could'nt just keep to his wetdreams,but went and ordered all those jungle-jets..,and then suddenly realise that there wasn't all the work he'd hoped,or was promised....for.

hiflyjnb,obviously a scairlink driver???

[beechbum]

Slapfaan, excuse my ignorance but how does your comment tie in with the topic SAX retrenching. Maybe I'm missing something here but Dodgs' buying of all those shiny jungle jets as you put them does not have relevance.......but then again maybe I'm on the wrong bus here!!!!!
Let me know!!!!

[hiflyerjnb]

Hmmm..not totally sure how the order of the jungle jets has any relevance to SAX mismanagement. Not sure why the SAX guys get so insecure about Airlink’s success.

As Dodgy is one of the few people that seem to understand the airline industry in SA, I would have thought that the SAX pilots would be looking forward to the merger. Seems that they are not big enough to pack their egos in their pockets & get on with building a profitable airline.

Also it would seem the Dash 8 guys will have a shot at the ERJ’s, which can only be a plus.

I understand that the guys got letters in their boxes today, is it true?

[slapfaan]

"Airlink success" - MY ASS!

If you call 17 Link pilots on furlough and couple of jungle jets parked because of a lack of business/routes-success,then there is no hope at all...
Don't know anything about letters in the boxes,but the relevance here is that there is place for everyone in the market if all parties keep to their own a/c-size and routes.

Foster got greedy and conspired with Conman Andrews to take over SAX routes after SAX was suppose to cease operations:conveniently same time jungles started arriving.Unfortunately for Rogy,things didn't quite work out the way he planned....

Is the proposed merger still taking place then????

[The Claw]

Slapfaan; clearly you don't have much knowledge about Airline operations in SA. Yes, Foster is a success. The fact that he has lasted in the business so long is proof of that. Who do you think proposed the merger? Maybe Foster is one step ahead of SAA? Do you really think Coleman had free reign?? One airline was forced out of business to make way for SAX and another was butched in order to keep SAX going. SAX problems stem from SAA and NOT Roger. Business plans don't happen overnight, those Jungle Jets are on the ground temporary. Yes, he did have a setback, but other plans are unfolding. What plans does SAX have? It has served its purpose for SAA and its greedy needs.....

[Three Holer]

Maby you girls should leave your cat fight for a more appropriate time. The retrenchment of 27 pilots is a serious problem. These guys are going to need the support from the rest of us.

Management in all the airlines have made some really bad decisions in the last year. They should rely more on their aircrews wisdom and not their lucky packet MBA"s. This goes for Foster, Andrews and the rest of them that play with people's lives.

Maby it's time that the crews fired thier management and started making some money. Put the pathetic politics surrounding SAA and it's affiliated partners aside and let the airline who provides the best service make the most money.

[hiflyerjnb]

Gotta agree with The Claw on this one, Slapfaan is not in the same movie as the rest of us. Building an airline with 16 J-41's & 5 ERJ's takes some doing.

The fact that there is no ERJ's standing & that only 9 of the 17 are left without an income, not withstanding.

I have to agree with the sentiment that we have to stand together & support our colleagues that are without work. What, I think we do also have to do, is stop blaming management & start realizing the fundamentals in the SA airline industry are a bit ******.

State controlled virtual monopoly as industry leader, weak Rand and low airfares in dollar terms have all lead to the problems we have now. Airlink & SAX retrenching, rumours strong that Comair & SAA are about to follow suit. What we need to do is stop looking at what makes a loss & start focussing on a profit driven industry.

The industry must stop benchmarking itself on the state controlled loss maker. It’s the only way that the industry as a whole can look forward to a sound future.

[The Claw]

Three Holer: May I remind you that it is not only 27 pilots who face
retrenchment. Having an airline run only by pilots would not work. It is time that everyone realized that the industry is in a mess due to it being motivated by politics alone. The only way to stop it is if EVERYONE stood together and made the various government agencies accountable for their actions. Ask the travel industry about their loses due to the apparent sole interest the government has in proping up SAA and it's fat cats.

[hiflyerjnb]

It looks like its official. The SAX guys got letters today saying that there was retrenchments comming. Looks like the CRJ's are going to be sold off. Understand that 3 belong to the Transnet pension fund. As I understand, Last in, First out will apply. Then Guys will be demoted back to Dash 8's. Not sure how they will handle the the demotions of the Captains.

[hiflyerjnb]

The saga continues


"Merger plan in nick of time for SA Express

Job losses loom as interest on aircraft hobbles feeder airline, writes Roger Makings

The proposed merger between South Africa's two feeder carriers and SAA could not come soon enough for SA Express.
SAX, the country's largest feeder carrier, appears to be in financial trouble - it has told staff it plans to sell off aircraft and begin retrenchments.
The airline, which is wholly owned by Transnet, has a debt of R750-million - largely money owed on its fleet of 13 aircraft - and is losing more daily.
A merger with the other feeder carrier, SA Airlink, will necessitate a downsizing of the carrier.
Staff at SAX said the airline's chief executive, Boni Dibate, told a meeting of union representatives last week that the airline was in the red, aircraft had to be sold and that they should come up with a formula for retrenchments that would suit pilots and ground staff.
However, Dibate has disputed industry rumours that it could be planning to sell up to nine aircraft, retrench 27 pilots and even more ground staff.
"We are working on the numbers which will dictate how many aircraft we sell and staff we retrench, but I don't think it will be more than two or maybe three aircraft. This process will have been completed by the end of May," she said.
Dibate admits final payments on seven turbo-prop aircraft, bought in 1994, are due in three to four years, while SAX is also having to pay for its six twin-jet regional airliners bought some three years ago.
"The way the financing of these aircraft was structured is our biggest problem," says Dibate, who took over SAX four months ago. "Also, 60% of our costs are dollar-based while earnings are entirely in rands."
Dibate says the merger will definitely go ahead. "We need to do this. This country cannot carry two feeder airlines."
She says SAX's debt won't be a problem although observers say it will have to be ring-fenced before any deal can be struck.
"We have appointed Ernst & Young to advise us on the best model with regard to routes and the aircraft we use.
"But we should be up and flying early next year."
Two options are open to the participants. SAA could buy SA Airlink and SAX and then establish them as subsidiaries, or SAX and SA Airlink could be merged into a single company in which SAA and an empowerment company could have an interest.
SAX operates to Cape Town, Durban, Port Elizabeth, East London, Bloemfontein, Kimberley, Richard's Bay and Gaborone"

[slapfaan]

Looks like the merger might NOT take place after all...So,up to 27 retrenchments,and I say again,this is because Fostie couldn't just keep to his wetdreams..he's the one who must be held accountable for this mess!

And where are these high and mighty airline unions suddenly??SAXPA-I,think,they call themselves?

S-selfish
A-arrogant
X-xtra (greedy)
P-poor
A-assholes

Once again,proven to be absolutely USELESS when it comes to serious matters like retrenchments etc. etc.Remember all the turmoil at SUNAIR!Very quick to take your money every month..,but couldn't do a thing when it came to closing the airline down!

Your comments,please...

[4HolerPoler]

Clean up your act Slapfaan - you make some interesting points but let's keep the language out of the gutter boet.

4HolerPoler

[hiflyerjnb]

Well I'm not totally sure how Rodger could have had anything to do with years of losses at SAX. I think the management & pilots at SAX managed that all by themselves.

I can understand the anger if you are one of the demotions or retrenchments, but what it has to do with Airlink, I don't know.

I hope that SAX can get things sorted out, and can look towards a profitable future. Whether in a merged entity or not. I wish all the best for the SAX guys.

[Gunship]

What's the latest disturbing news? How will I get from Gansters Paradise to PE without walking / dying en route via taxi ?

Is there no more "regional" - like in "klein dorpies" airlines left ?
My condolences to the pilots and groundcrew ... will this ever end ?

Klapit StyweFaan ..

:D Gunship :D

[The Claw]

Slapfaan I feel sorry for you............wake up and smell the roses.

I suppose Roger closed Sun Air aswell?:rolleyes:

[PAXboy]

From an outsider - and a Rooinek at that - I heard that SAX had more crews per a/c than Link? If that was so, then it would be one reason for this action?

[slapfaan]

Claw,don't feel sorry for me...I have a TOP job,with a TOP airline,and probably earn 3 times your salary!

Feel sorry for yourself and those SAX/Link pilots who are on unpaid leave/or retrenched and who have been paying their unions thousands of Rands in membership fees every month,just to get told that there was "nothing we (the union) can do to help you"

[The Claw]

Slapfaan you have a wonderful imagination. We agree that politics is behind it, so lets leave it at that.:)

[Paddle Steamer]

Can Anyone tell me how the retrenchments are going? If it is a LIFO "thing", how is it being determined and what is in the agreement regarding the seniority status of the last in chaps.Is it on joining the company or when you were last promoted?Perhaps the agreements of the other airlines should be scanned for potential dispute areas.:confused: