Faritec staff, who were left without jobs after the company folded, will not get their May salaries either.
May is the second month in a row that the company has had an issue paying salaries. In April, Faritec told staff they would only be paid half salaries on pay day, with the balance to be paid in the first week of May.
On 11 May, the company told the market that its bids to raise R60 million rescue funding and swap shares for cash had failed. As a result, the company applied for liquidation of its largest revenue-spinner, Faritec Enterprise Solutions.
A week later, the company told about 300 staff that they would not receive any payments for work done during May.
Enterprise Solutions accounted for R678 million of Faritec subsidiaries' revenue for the year to June. Faritec turned over R731 million during the year.
It is not known what will happen with the company's smaller operating entities. CEO Fanie van Rensburg said yesterday he was still waiting for a liquidator to be appointed, which would then allow it to decide on a future plan of action.
A letter sent to staff earlier this month by company secretary Srti Moodley states: “Please be advised that the High Court has granted an order for the liquidation of Faritec on 13 May 2010. As such, all staff of Faritec will not be paid with effect from 1 May 2010.”
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