Denel and the SAAF agree to retain 139 skilled jobs

The CEO of Denel Aviation, Mike Kgobe, said that he is delighted that an agreement has been finalised with the SAAF that will result in the company continuing to deliver vital maintenance services to the SAAF that form a cornerstone for continued airworthiness and the upkeep of air assets.

"This is a win-win situation for both Denel and the SAAF, which is indicative of the mature and strategic relationship that exists between the two organisations, which was reinforced through the co-operation agreement concluded between the two organisations in 2012," he said.

A Service Level Agreement is being finalised between the parties that will be compliant to both the National Treasury and Legislative prescripts.

Kgobe said that the 139 positions retained were identified in terms of the skills requirements by the SAAF, which would be complemented by SAAF's own capability. "This is indeed a breakthrough. With this solution we are able to ensure that the jobs of some of our employees across a number of categories and locations are retained with the requisite order cover."

Retrenchment for the rest of the workforce

The remainder of the workforce will unfortunately be retrenched at the end of March 2013 in terms of the provisions of the Labour Relations Act. Denel has met affected employees across the SAAF bases, squadrons and units to explain the situation and the processes to be followed. Denel has further committed to assist with seeking job opportunities for the affected employees both within the Denel Group and the broader market.

Kgobe said that the agreement will strengthen the excellent working relationship between Denel and the SAAF, and will result in the retention of high-level critical skills, a focused service delivery and cost savings to the SAAF.

He expressed his appreciation to all parties who contributed to the positive outcome of the consultations, including the SAAF, Denel and organised labour.