In a letter addressed to the CEO of the Government Employees Pension Fund (GEPF), trade union Solidarity today demanded answers about recent media reports that the Public Investment Corporation (PIC), which manages the GEPF’s funds, could possibly be used to recapitalise an ailing South African Airways (SAA).

According to Solidarity’s Head of Special Projects, Schalk de Bruin, SAA recently announced losses of around R4,5 billion, and it is perturbing that the retirement money of hard-working government employees could possibly be used to save a sinking ship. “Most of the funds at PIC’s disposal belong to the GEPF. For this reason, it is of paramount importance to Solidarity that our members’ pension money in the GEPF is managed with due care,” De Bruin said.

De Bruin also mentioned that in its letter to GEPF’s chief executive, Mr Abel Sithole, Solidarity demanded that he gives more clarity about the situation. “We expect the GEPF to disclose the full extent of the recapitalisation and to consult with its members about it as well,” De Bruin said.

Letter attached

Issued by Solidarity