SAPO downfall due to ‘changing market, poor management’
A political scientist believes a combination of factors led to the downfall of the South African Post Office.
The University of Pretoria’s Roland Henwood has been commenting on the announcement that the retrenchment of close to 5000 employees will go ahead.
"Changes in the market, changes in consumer behaviour and choices consumers make but then poor management in the sense that service delivery, keeping with what consumers wanted, the changing environment just did not happen and actually something that quite quickly developed into what I think we can only call a disaster,” Henwood said.
Business rescue practitioners say their application for funding from the UIF's relief scheme was rejected.
The funding would have delayed the retrenchments by 12 months.
ALSO READ: Cosatu urges ‘aggressive intervention’ amid job losses at SOEs
Henwood said there's a huge gap between government decision-makers concerning the future of the Post Office.
"Do we see consumers, especially people in deep rural areas who have probably been more dependent on this service, and those who have worked for the Post Office are becoming the victims of this dealing and approach that simply I cannot understand; it doesn't make sense to me.
“It's bad governance; it’s not keeping up with what is happening and following the trends. I mean, where I sit now I don't really see the Post Office turning this around.”
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