The SA Post Office is expected to post significantly improved financial results in the coming weeks, with the estimated R850m loss of 2000-01 likely to be more than halved. The Post Office’s new management team has focused closely this year on curbing postal crime, improving its delivery performance and reaching breakeven point as soon as possible.
Read MoreNew Zealand Post is being accused by the Act party of trying to cover up the failure of an overseas consultancy job in South Africa.
It follows the leaking of a report into New Zealand Post’s International wing Transend and its failed postal contract with the South African Government.
The leaked report says the venture was disjointed and based on unrealistic targets.
THE SA Post Office was locked in an urgent industry meeting last night to thrash out differences over a proposed 12% to 15% increase in postal tariffs which has outraged a host of big and small mail users.
The SA Post Office is the third state-owned organisation, after Telkom and Eskom, to apply for an above-inflation tariff hike for this year, placing further pressure on SA’s inflation targets.
THE SA Post Office will apply strict financial controls and crack down on widespread corruption, after being given a generous subsidy by government this week.
CEO Maanda Manyatshe said yesterday the organisation was given R1,5bn over three years, one of the biggest allocations by government. This was a big responsibility, and postal employees had to ensure they continued working hard to turn the organisation around.
“This is no time to go back to the old ways (of doing business),” said Manyatshe.
As part of its medium-term expenditure framework, the national treasury said this week it would allocate R600m to the Post Office this year and R300m a year over three years. The move is a shift from an earlier government policy, which saw all postal subsidies halted in March.
A HOST of foreign postal administrations, including those in France, Canada and the Netherlands, have come forward to offer their expertise and other assistance to the SA Post Office.
This comes in the wake of the termination of the management contract forged in 1999 between New Zealand’s Transend Worldwide and the SA Post Office. The contract was cancelled earlier this year after the Post Office failed to break even this year, as guaranteed by the New Zealanders.
Post Office CEO Maanda Manyatshe and his management team face the task of pulling back from a loss of about R850m for the year to end March while striving to meet a mandate of giving all citizens access to postal services.
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