Discussions are ongoing over the future of South African Airways (SAA) after the government declined to offer the country’s national carrier further financial support.
Bloomberg reports the airline’s administrators now believe that the prospect of a successful turnaround is unlikely, and adds the carrier is now looking at mass lay-offs.
SAA suspended all international operations last month until the end of May in response to the coronavirus crisis, which has further exacerbated the carrier’s already uncertain position.
The 86-year-old airline was placed in bankruptcy protection in December before entering into business rescue arrangements in late-January, which included a preliminary funding agreement with the South African government and the country’s banking sector.
Many of the airline’s operator partners told TTG in January they would stand by the airline and South Africa itself through and beyond SAA’s turmoils.