• BEE winners and losers

    Creating real change and real jobs requires a new ideology, says Gerhard Papenfus.

  • Governance matters

    Addressing risk well and timeously can be a source of growth, says Ian Mann.

  • Road to riches

    Taxpayers keep funding structures with big plans but who knows what efficacy, says Mandi Smallhorne.

Loading...
See More

City: SAA decision disappointing

Jun 07 2012 16:24 Sapa

Related Articles

SAA forking out R18m in settlement

SAA stops Cape Town-London flights

SAA balance sheet not good, MPs told

SAA flies to Benin

Gigaba: SAA seeks aid for new fleet

Gigaba: SAA will get support into Africa

 

Johannesburg - The City of Cape Town expressed its disappointment on Thursday with SA Airways' decision to end direct flights between London and Cape Town after August 15.

In an open letter to SAA chairperson Cheryl Carolus and CEO Siza Mzimela, tourism spokesperson Grant Pascoe said: "Our very real concern is that this decision will have a negative impact on the tourism industry in Cape Town.

"This is an industry which injects R14.6bn per year into Cape Town's GDP (gross domestic product)."

SAA would cease the direct flights so it could redeploy its aircraft to routes with increasing demand, said general manager (commercial) Theunis Potgieter on Tuesday.

He said passengers flying from London to Cape Town would from August 16 be flying via Johannesburg's OR Tambo airport.

It is estimated 300 000 people are permanently employed in the tourism industry within the municipality, said Pascoe.

"We believe it would be a better option to initially downscale the operation if it is indeed financially unviable, and possibly negotiate the transfer of slots with other airlines."

Pascoe said the redirecting of flights seemed short-sighted, as the British market still represents significant value to Cape Town.

He appealed to Carolus to reconsider the decision to save much-needed jobs within the municipality.

NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
19 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

SMALL BUSINESS

Johannesburg has been selected to host the Global Entrepreneurship Congress in 2017. "[The congress] will ensure that small business development remains firmly on the national agenda and the radar screen of all stakeholders, the Small Business Development minister said.
 
 

This is the most expensive burger in the world!

You won't believe how much someone was prepared to pay for this burger!

 
 

Luxury living

Exclusive food items that WILL break the bank
Top 10 most expensive homes in the world
You can permanently live on a ship and sail the world!
These are the richest people on the planet!

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

How will you manage Vodacom’s price hike for contracts?

Previous results · Suggest a vote

Loading...