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The Federation of Unions of South Africa (FEDUSA) is alarmed about the looming retrenchments at Aero Manpower Group (AMG), a business unit of state-owned defence company, Denel.  On Monday Denel confirmed that the retrenchment process in terms of section 189 of the Labour Relations Act (LRA) will continue.
 
FEDUSA previously appealed to the Minister of Defence (Nosiviwe Noluthando Mapisa-Nqakula) to intervene in the matter, which it termed a looming skills crisis in the South African Air Force (SAAF).  UASA-The Union, a trade union affiliated to FEDUSA represents more than half of the affected workers.  In a statement UASA said that the retrenchment of 538 Denel employees as of 14 February 2013, confirmed by Major Gen Mbambo (Acting Chief of the Air Force).  The Union THEN cited “serious capacity problems” as well as the approximately R170 million in severance packages to be paid out as chief concerns.
 
“We are following up with the Minister on a daily basis,” said FEDUSA General Secretary Dennis George.  “We are still convinced that she is best-placed to deal with this matter on a political level,” he added.
 
The latest from UASA is that the SAAF failed to honour the 30 November 2012 deadline to confirm which positions are affected in what way, which positions are to be either transferred to a Department of Defence entity and which positions are being identified as redundant.  Denel therefore had no other option but to activate section 189 of the LRA and contemplate retrenchment for the whole AMG workforce by 31 March 2013.  This is because Denel would have no contract and/or order cover entering the new financial year.
 
“Denel management assured UASA that they will keep on engaging with the SAAF to influence and find the options/alternatives that will be the least detrimental to the majority of the AMG workforce,” said UASA spokesperson, Willie van Eeden.  “There is currently a skills audit being done by the SAAF and the results will be drawn on the 25th of this month.  It is really disconcerting to realise that the 189 process will have taken its course as early 14 February 2013, and that our members might receive their retrenchment notices by the end of the month,” said Van Eeden.
 
“Unfortunately the SAAF will probably only at the end of the month, after the skills audit, realise the greatness of their error.  They will only then realise that they have forever lost critical technical skills.  The manner in which this matter has been dealt with by the SAAF and Denel is really deplorable.  I will not be surprised if none of the current AMG employees with critical knowledge are interested in individual contracts with the SAAF.  It is believed that their knowledge and experience will be better appreciated and remuneration by other aeronautical companies here and abroad,” added Van Eeden.
 
“The saddest part of this situation is not only that 538 employees will lose their ability to provide for their families, but that scarce and critical knowledge and skills will be forever lost to the SAAF.  The SAAF is dependent on taxpayers’ money to be ready for assistance during floods, fires and other assistance to African states,” concluded Van Eeden.
 
“FEDUSA will support UASA in this matter.  We agree that these skills are an essential part of our economy and that we should not lose them through poor planning and lacking foresight,” concluded George.
 
The Federation again said that it would seek to secure a meeting as soon as possible, and confirmed that trade union leaders from FEDUSA and UASA would meet with the Minister to resolve the matter.