The South African Federation of Trade Unions (Saftu) states that the country cannot afford more job losses. Comments are provided at the end of The Sunday Times report, which says that Edcon has more than 100,000 jobs due to financial problems.
However, the retail giant, which owns the Edgars, has denied this.
It states that it is close to completing the transaction, which will lead to its recapitalization over the next few years.
Zwelinzima Vavi from Saftu urged Edcon to do everything possible to keep jobs safe.
“South Africa cannot even afford to lose one job from Edcon, and therefore we urge their leadership to do everything possible to avoid this disaster.”
But Edkon denied reports that he faces liquidation.
Instead, she said she was pleased to announce that she was close to completing the transaction, as a result of which she would be recapitalized over the next few years.
Edcon said that all of its shareholders, landlords and suppliers have all come together to rescue the company.
Edcon CEO Grant Pattison said that, although leaks do happen, the front-page article is misleading and sensational.
Pattison said that although the company had financial problems for a long time, she was ready to complete a deal that would save the company.
“This is an agreement that will allow us to benefit in the next two years, and all of our stakeholders, shareholders, landlords, suppliers came to the party.”
Pattison said the deal has not yet been signed, but the future of Edcon will be debt free.
“And then they introduced it sometime in the first three months of the next year.”
He said that there would be no clean jobs, but there would be fewer stores.