The Communications Workers Union (CWU) has accused the two countries’ struggling Post Office Business Rescue Practitioners (BRP), Anoosh Rooplal and Juanito Damons, of failing to turn around the state of the parastatal and protect jobs since their appointment.
SAPO was placed under business rescue in July 2023 with Rooplal and Damons appointed BRPs to help revitalise the SOE.
The union was reacting to the reports that SAPO will soon receive a financial boost after it successfully applied for R381 million in funding via the Temporary Employer/Employee Relief Scheme (TERS).
The fund, although a fraction of the R3.8 billion that the Post Office said it needs in its comprehensive turnaround plan, is touted to help keep the entity afloat.
Speaking on YOU FM Newshour, CWU’s General Secretary Aubrey Tshabalala said that the BRPs have failed to present a comprehensive turnaround plan on how they’re planning to rescue the entity and protect jobs of the remaining workers.
“You need a clear turnaround strategy that must be presented and accepted by all that will take the Post Office to the next level.
The BRP has so far failed to do that, opposite to that we have seen several branches closed, so basically this BRP is worse than the previous management that was there.
They have retrenched half of the workers of the SAPO, so they have less salaries to pay, less debt to settle, they have closed branches but at the end of the day the post office is not improving.
So, we cannot stand and agree that they be given the R3.8 billion they are talking about,” said Tshabalala.
The BRPs said that they applied for the funds in December 2024 and will assist to pay some of the salary expenses of the business for the next six months once made available.
“This will contribute to the future of the business and improve the cash flows,” warned Tshabalala.
CWU has welcomed the financial injection into the ailing parastatal with mixed emotions.
“As a union we find ourselves between the rock and the hard place, because we must firstly welcome the efforts made to ensure that there are monies coming to the post office to make sure that there are funds to pay workers.
“But at the same time we’re not fans of bailouts and we note that in court the was a commitment of that R3.8 billion to revitalise the post office,” explained Tshabalala
The BRPs have defended their request for financial assistance.
“The funds will be used in full to pay off creditors, fund retrenchment packages, update outdated IT systems, improve infrastructure, logistics, and mail processing,” read a statement from SAPO.
Meanwhile, the Chairperson of the Parliament’s Portfolio Committee on Communications and Digital Technologies, Khusela Diko called the financial assistance to SAPO an “important milestone in the ongoing work to rescue and futureproof the Post Office.”