Consultations with trade union Solidarity over the possible retrenchment of approximately 25% of Jetworx’s workforce due to low-cost airline 1time Holdings’ financial difficulties came to a temporary halt yesterday following the appointment of a business rescue specialist.
1time Holdings announced that it has placed Jetworx, its subsidiary and maintenance arm, and its other subsidiary, 1time Airline, under business rescue. According to Marius Croucamp, spokesperson for Solidarity, the trade union received a section 189 notice from Jetworx in June. “During yesterday’s consultation we were informed that the process had been put off for the time being owing to the appointment of a business rescue specialist. The specialist must draw up a refinancing and restructuring plan for the company. The company will also be given the opportunity to develop and to implement a business rescue plan and to carry on its operations at the same time. 1time Holdings, Jetworx and the business rescue specialist will be requested in a letter to involve Solidarity in the process.”
Jetworx had already retrenched some 15 employees before 1time Holdings placed it under business rescue, Croucamp said. “The employees were retrenched as a result of a cancelled contract for the provision of services. According to Jetworx’s section 189 notice, approximately 25% of its 400 employees could be affected. Solidarity has, in the meantime, expressed the hope that the business rescue plan will prevent these and other retrenchments,” Croucamp added.