Johannesburg - Kyrl Acton, who held the position of chief operating officer at SAA for just six months last year, was paid R6.5 million by the national airline.
The carrier's 2006 annual report reveals that Acton was paid just under R1 million for his six-month stint, but he received an additional R5.5 million in "termination benefits" from SAA.
The payment of this generous termination benefit suggests that the decision to leave SAA was not Acton's but that of SAA chief executive Khaya Ngqula. In October last year, when Acton's departure was announced, a joint statement was issued by the parties declaring that Acton had "decided to leave the company to pursue other commercial interests". It added that Acton and the company "have agreed to a consensual termination of his contract of employment".
Acton had been appointed to the newly created role of chief operating officer in April last year. With 25 years' experience in the airline industry, most of it with Ireland's national carrier, Aer Lingus, Acton was considered to be one of the most experienced aviation executives at SAA. He was expected to play a critical role in SAA's planned turnaround.
Six months later SAA announced that Acton was leaving amid industry speculation that he and Ngqula could not reach agreement on what strategy the troubled airline should pursue.
Acton is one of a long, and still growing, list of senior executives who have left SAA since Ngqula took over the running of the airline two years ago. In April this year, Tryphosa Ramano, the chief financial officer, announced in a joint statement with SAA that she had resigned "to pursue other interests". Ramano had been seconded from the national treasury in April 2004 to assist in the airline's turnaround. Again, industry sources claimed that her departure was due to differences with Ngqula.
What is of particular concern is that these executives generally depart after a relatively short tenure, giving the impression that management at SAA is in a constant state of flux.
The 2006 annual report also reveals that Molebatsi Moagi, who was appointed as the general manager of sales and marketing in November last year, resigned with effect from the end of May.
Other executives who left during financial 2006 are Adrian Hamilton-Manns, who was the head of network planning; head of human resources Nolwazi Qata; Vuyisile Kona, the head of subsidiaries; Dan Moeti, the chief risk officer; and Onkgopotse Tabane, who was the head of customer service and communications.
The relatively poor attendance at board meetings is likely to add to concerns about the disturbingly high pace of change of top executives. Only five of the 12 board members attended all eight of the board meetings during financial 2006. Valli Moosa had one of the worst attendance records, putting in an appearance at only four of the board meetings. Only one of the members of the audit committee attended all six of the committee meetings.