Unions say Government is instrumental in Air Namibia's collapse

The joint union committee of the Namibian Cabin Crew Union, Namibia Transport and Allied Workers Union, and the Namibia Airline Pilots Association allege that government has been instrumental in the failure of Air Namibia. In a joint statement, the unions said it is clear from the challenges faced by the national airline that the government does not have an appetite nor the political will to rescue the airline from its impasse. Air Namibia has been struggling financially for years and the government, according to the Ministry of Finance, has spent about N$8 billion to bail it out from financial troubles that are still persisting. Recently the airline reached a settlement with Belgium's Challenge Airlines which have taken them to court for unpaid debt. This could have led to Air Namibia's liquidation. The settlement states that Air Namibia will pay Challenge Air € 9,9 million of which €5 million must be paid by 18 February. The agreement is however said not to be backed by the government. It further claimed that the problems with the airline mainly emanate from political interference in the operations of the airline, shareholder conflict of interest, the employment of incompetent people into key and critical positions as well as having unqualified people in a dynamic business environment. The unions noted that, as employees and stakeholders in the aviation industry, they are deeply concerned and would like to know how the government will deal with the airline's situation considering the interest of the workers and the nation at large. According to them, it is their belief that the airline can be reshaped into a cheaper model. Secretary to the Cabinet George Simataa said they have not received the request from the union and referred NAMPA to Finance Minister Iipumbu Shiimi who heads the Cabinet Committee on Treasury. Finance Ministry spokesperson Tonateni Shidhudhu said they too have not received the request, but noted that their position remains the same - they will continue with consultations and inform the nation on the way forward.