ATM REJECTS SAPO’S PLAN OF RETRENCHING 6000 WORKERS

The African Transformation Movement (ATM) rejects the introduction of a Section  189 and s189(a) process of retrenchment by the South African Post Office (SAPO). This process can only yield the destruction of the lives and livelihoods of the workers of this country and their families. The retrenchment process by the Post Office comes during one of the worst economic times and climate in this country, where the unemployment rate is unbelievably high and the prospects of finding a new job are close to none.

The ATM advises SAPO against such an undertaking as the retrenchment of workers will only be a pronouncement of death over their lives. The ATM acknowledges the drastic year on year decline in the postal services revenue and the multibillion-rand revenue losses in the past 15 consecutive years, yet we are convinced that the gloomy picture does not take away the need and mandate of this establishment to deliver goods and services to people of this country. The need and demand are great especially for the poorest of the poor, who are no less than 34 Million, with some living in the most rural areas of this country with no or little option to access SAPO services.

ATM believes that with a proper turnaround strategy, good management and an adequate Government financial injection, SAPO can still be revived to its former glory, a multi-billion-rand industry that is effective, efficient, reliable and profitable. The Government and SAPO must go back to the drawing board and find a remedy tailor made for the unique circumstances of SAPO, as the retrenchment of workers is not a solution.

ATM also calls on the Government to give SAPO a substantial financial injection in a bid to solve the challenges faced by the utility. The recent losses of the utility were also due to stringent remedies of the Government in response a global pandemic of COVID 19, which contributed to a R2.3 billion loss during the 2020/21 financial year. ATM submits therefore, that a request for a financial injection or bailout to restore SAPO’s functionality and save 6000 souls from losing their jobs is justified.

ATM further calls on Government to also look at strengthening security at the South African Post Office. Recent reports of an unprecedented increase in armed robberies at branches, cash-in-transit heists, vehicle hijacking and business burglaries, which rose from 583 incidents in 2020 to 887 in 2021 are not assisting this institution as this also adds to company losses.

Lastly, the ATM is rather puzzled by the State’s attitude towards state owned enterprises, where such crucial organs of the state are allowed to disintegrate to this level yet we have a government that ought to look out for their functionality.

How is it that for more 15 years this utility had experienced a holistic decline yet no meaningful and fruitful interventions have been made to save it?

Is it because the government has no capacity to run these institutions or is it an intentional bid to render them useless, making way for privatization?

ATM cautions against the deliberate neglect of State-owned enterprises to make way for privatization.