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UASA demands Denel Saab probe

Jan 26 2010 14:26

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Johannesburg - Trade union UASA on Tuesday asked Deputy Public Enterprises Minister Enoch Godongwana to investigate Denel Saab Aerostructures (DSA).

"UASA, with unions Numsa and Solidarity, met with Godongwana today to discuss issues concerning the state of affairs at DSA and to request that the minister investigate and intervene," UASA's Willie van Eeden, sector manager responsible for Denel workers, said in a statement.

Godongwana had agreed to the union's request and would give feedback as soon as possible after February 24.

Van Eeden said reasons for the sudden resignations of CEO Lana Kinley and CFO Sasa Methola needed to be determined. Kinley had been in her position for just over a year.

An explanation was required regarding the funds made available by the government for DSA's turnaround strategy and how those funds were used.

UASA also wanted to know why staff at DSA increased again after the 2008 retrenchment of some 200 workers, as well as explanations for a new round of retrenchments.

Simply blaming the new round of retrenchments of 15% of the workforce on the failure of the A400M Airbus contract, the Augusta Grippen contract and the cancellation of the G150 Business Jet order "did not hold water".

On Monday, DSA announced it had appointed Theo Kleynhans as acting CEO.

- Sapa

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