Mbali Dhlamini5 April 2024 | 10:30

Bailouts not the solution for struggling SAPO, says DA

It was announced that 4,700 retrenchment letters have been sent to workers, while 234 post offices are due to close across the country.

Bailouts not the solution for struggling SAPO, says DA

The South African Post Office. Picture: Ashraf Hendricks/GroundUp

JOHANNESBURG - The Democratic Alliance (DA) reiterated its stance that bailouts were not the solution to issues facing the South African Post Office (SAPO).

This followed an announcement that 4,700 retrenchment letters had been sent to workers.

ALSO READ: More job cuts on the cards for the Post Office

Business rescue practitioners are also looking to government for more money to pay out retrenchment packages.

The retrenchments come as 235 post offices are due to close across the country.

The DA said the post office should establish partnerships with the private sector in order to stay afloat.

The party's spokesperson for communications and digital technologies, Natasha Mazzone, said private companies had the necessary expertise and infrastructure.

"The DA, meanwhile, has a clear plan to rescue SAPO. We steadfastly believe that the bailouts are not the solution, and that the South African Post Office must instead establish partnerships with the private sector. 

"On 29 May, as a country, we must hold the ANC accountable for wastage of hard-earned taxes and all the pain inflicted in job losses."