BusinessPREMIUM

Competence questioned but John Lamola appointed SAA CEO

But the DA has reported Paul Mashatile and Barbara Creecy to the public protector for undue political interference in the appointment process

SAA CEO John Lamola. Picture: FREDDY MAVUNDA/BUSINESS DAY
SAA CEO John Lamola. Picture: FREDDY MAVUNDA/BUSINESS DAY

Cabinet has appointed acting SAA CEO Prof John Lamola as permanent CEO of the state-owned airline.

The appointment was approved at the cabinet meeting Wednesday. Lamola was appointed in favour of the first candidate recommended by the SAA board, Allan Kilavuka, the CEO of Kenyan Airways, but his not being an SA citizen acted against him.

The DA urged the cabinet not to appoint Lamola who, according to a News24 media report, ranked lowest in competency assessments. The party alleged Lamola was appointed because of his political affiliation.

The transport department said in a statement that the SAA board submitted the names of three candidates to transport minister Barbara Creecy for her to select one.

“In terms of the selection process, the candidates were ranked in order of the score that the selection panel had allocated to them as a result of their performance in both the interviews and the competency tests,” Creecy said.

“It must be pointed out that the first recommended candidate was the CEO of one of the airlines that operates in the African continent, who was not an SA citizen. The current acting CEO, Prof Lamola, was also one of the candidates recommended as appointable.

“The minister communicated with the SAA board chair [Derek Hanekom] and listened to his views on the relative merits of these two candidates.”

Creecy had concerns about the potential complexities in appointing a candidate who was not an SA citizen. This related to a previous experience she had in the transport portfolio, where a CEO of an entity had failed to receive a maximum-security clearance based on the fact that he held a passport of another country.

“At that time, the SAA board chair advised me that all candidates were appointable and the shareholder should approve the most appropriate candidate for appointment having taken all factors into consideration.

“Following careful consideration and taking all relevant factors into account the process was narrowed down to two candidates, both of whom had the experience and qualities needed for this position. I then approached [President Cyril Ramaphosa] for advice on how to take the process further,” Creecy said.

“Considering the importance of SAA as a state-owned entity, the sensitivity of potentially appointing a non-SA citizen in the CEO role, President Ramaphosa advised that I, together with the deputy president [Paul Mashatile], meet the two board recommended candidates, to make a final determination on the most appropriate candidate for the role,” the statement said.

Mashatile and Creecy agreed Prof Lamola was the most appropriate candidate to best promote financial stability and the future growth of SAA.

“Over the past two years, Prof Lamola, in his capacity as acting CEO, has steered SAA to conclude three years of outstanding audits and in the 2023 financial year to declare profits after many years of not doing so. In addition, under his leadership, the entity has expanded to fly domestic, regional, and international routes,” the statement read.

The DA has reported Mashatile and Creecy to the public protector for undue political interference in the appointment process, following a News24 report in which it was reported that Lamola was the worst performing candidate.

ensorl@businesslive.co.za


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