A file image of Sassa beneficiaries waiting in long queues outside the Willowton Post Office to collect their social grants. Photo Credit: Moeketsi Mamane
The South African Older Persons Forum (Saopf) has pleaded with government to review the closure of hundreds of South African Post Office (Sapo) branches and phasing out grant payments at all branches.
In a statement this week, the organisation said this is a blow to older grant recipients who will be forced to pay extra travel costs to receive their grants.
Sapo announced it would close 420 branches and cut 5 000 jobs after creditors agreed on a business rescue plan earlier this month.
According to Postbank, Social grant recipients will no longer be able to withdraw cash from branches as part of the strategy to phase out of Cash Payment Points (CPPs).
Saopf member Kgosietsile Sehularo said older people will suffer more because of the failure within Sapo.
“[…] Many older persons, especially those in rural communities, travel great distances to receive these grants through post offices nationwide. In this regard, no subsidies from government or taxi associations are currently offered to cushion their rising costs of traveling when collecting these social grants,” he said.
He said the organisation is hopeful that the government will continue to engage about the decision’s impact on the welfare of older persons.
Meanwhile, business rescue practitioner Anoosh Rooplal said while it was a “difficult business rescue process,” the plans to close branches and cut jobs were crucial for Sapo’s existence and survival.
He said the branches would be maintained in rural areas and would remain in all districts despite the closures and job cuts.