Trade union National Union of Metalworkers of South Africa (Numsa) says it has scored a major victory for workers at the cash-strapped State Arms Manufacturer Denel.

The union says it has been granted an order by the High Court in Pretoria that Denel must pay its workers’ outstanding salaries and benefits dating back to May 2020.

Denel and its various subsidiaries have been failing to pay its employees their full monthly salaries and benefits due to financial struggles that have been well publicized in recent years.

Continued financial meltdown at Denel:

In August, Denel said it owed workers R 636 million in outstanding salaries and suppliers, R900 million.

Interim Chief Executive Officer, William Hlakoane said their year-to-date balance sheet showed that Denel was technically insolvent and had insufficient cash to meet operational requirements.

The members of the two committees said Denel required financial assistance from government for its financial recovery.

Denel said it had lost more than 70 employees due to non-payment of salaries.