Low-cost airline Mango Airlines, which suspended all flights earlier on Tuesday, is not refunding passengers and is instead giving them vouchers to travel with other airlines.
The struggling airline – a subsidiary of South African Airways – is on its knees and has failed to pay salaries to staff for the last two months.
Officials at the airline are blaming the Covid-19 lockdowns and the government’s failure to bailout the airline.
Last month the government approved the release of funds to the low-cost airline. Mango was to receive R819 million.
Meanwhile, unions have approached the courts to try and compel Mango to go into business rescue.
On Monday Numsa spokesperson Phakamile Hlubi-Majola, was quoted by Moneyweb as saying: “Numsa, together with the Mango Pilots Association and the South African Cabin Crew Association and non-unionised workers actually filed papers at the South Gauteng High Court today in order for the court to basically place Mango under business rescue.”
“Senior management and our shareholder are in locked-in discussions to find an amicable solution to this impasse,” said Mango in a Tuesday statement posted on Twitter.
“Affected passengers with valid and available contact details will be informed via Email and SMS accordingly.