S.Africa's state airline cancels flights as it faces a strike
South African Airways has canceled flights scheduled for Friday (November 15) and Saturday (November 16) because of a pending strike.
Even though the airline said on Thursday (November 14) it hoped a revised wage offer would avert a walkout.
Unions representing around 3,000 of its 5,000-member workforce have called for an 8% wage increase.
SAA said it would offer a 5.9% rise from April, when it hopes to have secured necessary funding.
The government-owned airline has failed to turn a profit since 2011, relying on state bailouts to fund a growing financing gap.
Earlier this week, it announced plans to cut more than 900 jobs.
Unions have said workers will go on an indefinite strike if demands are not met.
An action that could have devastating consequences, according to economist, Professor Jannie Rassouw.
(SOUNDBITE) (English) ECONOMIST PROFESSOR JANNIE RASSOUW SAYING:
"Risk at SAA of course is very large, if workers go on strike it will not be possible to fly aeroplanes - that might be the last straw the breaks the camel's back but it's as big as SAA going to liquidation and all the people at SAA losing their jobs."
SAA flies around 6.8 million passengers annually to six continents with routes to New York, London, and Hong Kong among its eight international destinations.
The airline has said it may not recover if the strike goes ahead.