In Conversation With Matthew Parks (COSATU Parliamentary Coordinator)
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The Congress of South African Trade Unions has strongly rejected proposals to liquidate the struggling South African Post Office, arguing that shutting down the state-owned entity would have devastating consequences for workers and communities.
The federation says the proposal by the Post Office’s Business Rescue Practitioners would effectively collapse an institution that still plays an important role in delivering services, particularly in rural and working-class communities.
The Post Office entered business rescue in 2023 following years of financial losses, declining mail volumes, governance challenges and growing competition from private courier companies. As part of the restructuring process, thousands of employees have already been retrenched and hundreds of branches closed across the country.
COSATU argues that these measures have weakened the institution further by shrinking its workforce and reducing its ability to serve customers.
Instead of liquidation, the federation is calling for government to remove the current Business Rescue Practitioners and appoint administrators who can implement a credible turnaround strategy.
The federation says the proposal by the Post Office’s Business Rescue Practitioners would effectively collapse an institution that still plays an important role in delivering services, particularly in rural and working-class communities.
The Post Office entered business rescue in 2023 following years of financial losses, declining mail volumes, governance challenges and growing competition from private courier companies. As part of the restructuring process, thousands of employees have already been retrenched and hundreds of branches closed across the country.
COSATU argues that these measures have weakened the institution further by shrinking its workforce and reducing its ability to serve customers.
Instead of liquidation, the federation is calling for government to remove the current Business Rescue Practitioners and appoint administrators who can implement a credible turnaround strategy.
