Postal logistics company has been in provisional liquidation since this February
The department of communications & digital technologies with the assistance of senior counsel has looked at options to avert the final liquidation of the SA Post Office , and decided on a preferred one.
“The ministry, together with [the Post Office], has engaged with various stakeholders including National Treasury in considering various options to save the entity from liquidation. The services of senior counsel have been sourced to provide advice and guidance on the optimal option in dealing with these matters. The plan is to get these matters resolved before the June 1 final court date so that the entity can operate as a going concern.
“Sapo has assured the department that while the optimal response to avoid liquidation is being worked on there are ongoing, regular engagements between Sapo and the liquidator to discuss a number of options to ensure that Sapo’s provision of essential services is not negatively affected.”He said once the provisional liquidation is out of the way Sapo can embark on its “Post Office for Tomorrow” strategy to turn the entity around. It will start reopening branches it was forced to close.
The Post Office plans to cut thousands of jobs. Mapulane said its salary bill is unsustainable and something has to be done about it. Salaries constitute more than 60% of its operational expenses. Income in the past financial year was not sufficient to cover the salary bill .
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