Post Office closing some branches to cut costs

According to the organisation's corporate plan for the past year, the state-owned entity last made a profit in 2006 and has recently been kept afloat by government subsidies.

Picture: @PostofficeSa/Twitter.

JOHANNESBURG - The [South African Post Office (Sapo)](https://ewn.co.za/Topic/South-African-Post-Office-(SAPO) confirmed on Thursday it had been closing down some of its branches to cut costs.

Many South Africans raised concerns that Post Offices were abruptly shutting down in some areas across the country.

According to the organisation's corporate plan for the past year, the state-owned entity last made a profit in 2006 and has recently been kept afloat by government subsidies.

On Thursday, the company’s board announced that its group CEO Mark Barnes resigned after three and a half years at the helm of the institution.

The board said Barnes cited differences on forward strategy in relation to the structure of the postal service as a reason to leave the institution.

Post Office board spokesperson Charles Nwaila said: “What we have decided to do is try to merge those Post Offices so that we can maximise and also optimise the operations there.”

Meanwhile, Communications Minister Stella Ndabeni-Abrahams said Barnes played an integral role in strengthening the South African Post Office after the announcement of his resignation.

Ndabeni-Abrahams wished Barnes well, saying she hoped their paths would cross again.