Post Office liquidation SASSA grants

SASSA beneficiaries struggling to access grant payments in time at the height of the Covid-19 pandemic. Image: GroundUp.

SASSA grants: Will the Post Office liquidation affect payments?

The South African Post Office has been placed under provisional liquidation. Will this affect the payment of SASSA grants?

Post Office liquidation SASSA grants

SASSA beneficiaries struggling to access grant payments in time at the height of the Covid-19 pandemic. Image: GroundUp.

The South African Post Office (SAPO) has been placed under provisional liquidation and the big question now is will this affect the payment of the South African Social Security Agency (SASSA) grants?

The Post Office which has a R4 billion debt was placed under liquidation following a successful court application by one of its creditors.

WILL THE LIQUIDATION OF THE POST OFFICE AFFECT SASSA GRANTS?

Communications and Digital Technologies Minister, Mondli Gungubele said he has requested that the Board and Management of SAPO provide him with a detailed account of the circumstances that led to this development, the steps taken by the Board to address the issue, and the measures that SAPO intends to implement to resolve the situation promptly.

Gungubele the Post Office is a crucial government service platform which caters to millions of citizens and cannot afford to cease its operations.

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The Minister said his department and the Post Office must work diligently to ensure that it transforms into an independent and profitable business entity for the benefit of the country’s citizens.

“All necessary steps will be taken to ensure continuous provision of social services, timely grant payments, efficient workforce, and harmonious negotiations with SAPO’s creditors towards favourable outcomes,” Gungubele said.

Post Office liquidation SASSA grants
Communications and Digital Technologies Minister, Mondli Gungubele. Image: GCIS / Flickr

ALSO READ: Live SASSA updates

In May 2022, the Post Office which caters to millions of citizens especially in remote areas announced that it will no longer pay the R350 Social Relief of Distress (SRD) grant, however, it still pays out the old age, disability or child grants.

SASSA spokesperson Paseka Lestatsi told Jacaranda FM that there are contingency plans with the Post Office which they are trying to put in place to ensure that beneficiaries do get what is due to them.

Letsatsi said there is an engagement between SASSA and the Post Office.

“The COO of SASSA and the Post Office are supposed to meet this afternoon to iron out some of the hiccups. As the organisation we are convinced that whatever that we try to work between us and the Post Office, we will make sure that the beneficiaries do get what is due to them without any distress,” he said on Monday.

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