The Congress of South African Trade Unions (COSATU) welcomes the R150 million transfer by Treasury to the Post Office (SAPO).  This will provide badly needed relief for its employees who have been subjected to horrific conditions over the past few years, going unpaid for extended periods with many branches closed and thousands retrenched.

Whilst this injection will provide some short-term relief, it is critical that Treasury transfer the remaining funds as per the court sanctioned business rescue package.

A comprehensive turnaround plan is needed if SAPO and the Postbank are to be set on a sustainable path, this needs to include not only the court agreed financial relief but also the appointment of competent management, the removal of corrupt elements, assisting SAPO to enter the lucrative courier sector and to establish itself as a one-stop shop were members of the public can apply for a variety of government services and for the Postbank to meet the requirements to become a fully licensed consumer bank.

Government; from national to provincial and local as well as entities and State-Owned Enterprises; needs to give support to SAPO and the Postbank by utilising them for their courier, public outreach and banking needs.  SAPO and the Postbank have the potential to be viable entities contributing to the broader economy, but they need to be assisted to ensure they leave the ICU and are returned to full health.

Issued by COSATU

Matthew Parks(Parliamentary Coordinator)

Mobile: 082 785 0687

Email: matthew@cosatu.org.za