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SA post office board member Colleen Makhubele has been removed from the board of directors of the state company and has subsequently launched a legal appeal against the measure.
According to a report by City press, Makhubele was removed from the board on Friday and asked her lawyer to submit an urgent request for the decision to be challenged.
This follows Makhubele telling her lawyer to challenge an earlier decision by Communications Minister Stella Ndabeni-Abrahams to remove her as chair of the board of directors of the SA post office in August.
“The latest impending legal challenge comes as the Pretoria High Court has yet to hear arguments about his initial demotion in August,” stated City Press.
The court battle comes at a time when the South African Post Office is in serious financial difficulties and administrative disorder.
In September it was reported that the organization was bankrupt and that struggle to pay future staff salaries.
According to the report, the post office said that only 55 of its 1,416 branches were profitable during the shutdown, and there were requested R4.9 billion in financial support of the government to continue operating.
R2.7 billion were required for operations, R1.4 billion in liabilities owed to Postbank, R300 million for voluntary severance packages and R525 million for other liabilities.
The National Treasury said that the Post Office is at a critical juncture, with its management structures in disarray and without accountability regarding the poor implementation of its strategy.
E-commerce plans
Despite the poor financial position of the South African Post Office and the lack of strong administration, the government is convinced that the state-owned company can be a major player in South Africa’s e-commerce sector.
communication Department stated earlier this month The South African Post Office is currently repositioning its e-commerce strategy to be a global export engine and enhance intra-African trade.
Therefore, the SA Post Office will expand its role in e-commerce and intends to launch an online shopping platform in the coming months, especially aimed at facilitating interaction between small artisans and traders in South Africa.
However, South African e-commerce players have emphatically stated that they will not use the South African Post Office for deliveries as it is notorious for the loss, theft or delivery of their packages on time.
Now Read: Transnet Reports R10 Billion in Irregular Spending
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