Union takes Denel to court over wage payments

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Denel is one of several struggling state enterprises the government has been keeping afloat with bailouts but which have been battered by the fallout from the coronavirus pandemic.

The company, which makes military hardware for the armed forces in South Africa and around the world, is awaiting a 576 million rand bailout announced in a budget speech in February.It demanded that Denel pay outstanding salaries and payments to third parties - a reference to Denel missing payments to its employee pension fund and some tax obligations - by July 3.

A Denel spokeswoman was not immediately available to comment. Solidarity said the Labour Court would hear its case on June 30.

 

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