Postal action
The most immediate, and critical, of these is the fate of suspended Post Office CEO Khutso Mampeule, who was removed from his post last November. His suspension, pending the outcome of a disciplinary case against him, came in the midst of a bruising battle with former Post Office CEO Maanda Manyatshe.
The battle is a long and confusing round of allegations and counterallegations, starting with Mampeule’s decision to lay a criminal complaint against Manyatshe last year for allegedly awarding a R100m tender without following procedure.
Manyatshe fought back, threatening to sue the Post Office. The war was on, with accusations flying thick and fast. Both men have landed up without jobs, with Manyatshe resigning as MD of MTN and Mampeule suspended while the board looks into suggestions that he flouted governance procedures.
Among other issues, these events have been the subject of two investigations. The board commissioned a forensic audit to probe improper tender practices, and Communications Minister Ivy Matsepe Casaburri investigated the actions of the board and management in the saga.
Both have been completed, but the results of neither have yet been publicly released. Arguably the most important is government’s investigation, as it considered the crisis of leadership and how it had affected staff morale. The preliminary results were handed to Matsepe-Casaburri over a month ago, but no light has been shed on what was found, or the fate of Mampeule.
As a result, the Post Office remains without a permanent leader and the public remains in the dark about the true nature of the shenanigans at the Post Office. Once again, a dark cloud is left to linger over the much-maligned organisation, which has long had the reputation of being hopelessly inefficient and corrupt. It’s a shame, given that there have been some improvements in recent years and there was real hope that it could be on the road to recovery.
Less than a decade ago, annual losses of R600m were the norm, government subsidies were averaging R300m a year, mail volumes were stagnant at best and most customers had lost faith in the organisation. Most financially devastating was the loss of a large section of SA’s corporate business, with lucrative accounts diverting to courier services.
The Post Office was in danger of becoming redundant. But it has managed to claw its way back, with latest results showing a recovery at revenue and operating level. The Post Office took on more business from government, took advantage of the national savings drive, upgraded mail centres and revamped infrastructure.
The latter still has some way to go, particularly in light of the obligation to deliver infrastructure in underserviced areas. As a result, government subsidies may have to continue even if the Post Office manages to become profitable on a sustainable basis. That’s acceptable, as long as the subsidies are clearly ring-fenced and targeted, and diminish as the infrastructure is put in place.
But this progress is now in danger as the leadership crisis is allowed to drag on. Matsepe Casaburri cannot prevaricate over the issue. She needs to release the findings of the two reports and either reinstate Mampeule or fire him and find a new CEO. Let’s see some action, minister.
Loading ...