South African Post Office (Sapo) workers stand to forgo R1.3-billion of their hard-earned retirement funds.
The Post Office Retirement Fund made this announcement this week in an internal staff mail, stating that the employees would only get 12% of their pension as a final payment.
This correspondence, leaked to Sunday World, comes after the Post Office Retirement Fund received funds from the state-owned mailing entity to disburse to workers.
Sunday World understands that Sapo did not remit any contributions to the retirement fund from May 2020 until December 2023. This is despite the company deducting the money from the workers’ salaries.
“You will recall from the fund’s communiqué of 10 May 2024 that, in accordance with the business rescue plan published on 23 November 2023, and approved at a creditors’ meeting held on 7 December 2023, 12c in the rand of the fund’s claim would become payable to the fund,” wrote the fund’s principal officer Mike Faasen in the mail.
“The fund has since received an amount of R172 885 705 from Sapo being 12c in the rand of R1 440 714 215 (which was the total amount of the unpaid contributions on 9 July 2023).
“Outstanding contributions owing to active members who were in service when this amount was received, have already been allocated to the members’ share accounts, as well as all members who were retrenched at the end of April 2024,” said Faasen.
He explained that members who had exited the fund and received a payment from the fund, but with outstanding contributions will receive a “follow-up” payment in respect of their portion of the settlement amount.
“Exited members impacted by the follow-up payments can rest assured that all payments owing to them will be made in due course. It is, however, a complex process, which is currently being pursued with Sars (SA Revenue Service) and further information in this regard will be communicated as soon as a definitive resolution is communicated to the fund.”
In relation to unpaid contributions, Faasen said contributions following the appointment of business rescue practitioners on July 10 up to December 31, 2023 had to date been partially paid.
“For members who were retrenched in April 2024, these contributions were allocated to their member records in full before any benefits were paid. The balance of the amount owing to the fund will be paid by Sapo in instalments until 31 October 2024. These contributions will be allocated to both active and previous members (except members who were retrenched in April 2024) upon receipt of the full amount owing to the fund,” wrote Faasen.
He revealed that contributions since January 1 2024 had been paid in full and allocated to the members’ shares as and when received on a monthly basis.
Workers’ representative Tutu Mokoena said “workers have contributed money to take this matter to court in order to recover every cent with interest that is owed to them”.
Mokoena also referred to a Supreme Court of Appeal judgment stating that the post office had to “pay contributions, as defined therein, to the Post Office Retirement Fund on a monthly basis, in arrears, by not later than the first working day of each month”.
The judgment also said Sapo was in breach of this obligation in that it had not made the required payments since May 2020.
Correction: In the story “Post Office shop stewards who ‘sold out’ workers were promoted” published on July 28, 2024, we erroneously wrote that Donald Mokgobinyane was a shop steward who took part in retrenchment negotiations at the SA Post Office and was promoted to be an area manager. Mokgobinyane is not a shop steward. We apologise for the error and harm this might have caused to Mokgobinyane.
Omg this is a travesty of note ,what a disgrace ,can one imagine such a thing ,this is awful ,disgusting to say the least.
From the people who want to give us NHI, they commit a tax and pension fund fraud that would have closed companies and seen directors in court. Where is the accountability? The staff who had money taken off their monthly salaries, by the ANC run Post Office are entitled to it. Once again the exposed for criminality as this is NOT incompetence but illegal. We need a new movement,
#ReturnAllMoneyStolenByANC