The Communication Workers Union (CWU) has suspended its crippling three-month strike at the SA Post Office. The union said it was not pleased with the latest wage offer from the post office. However, after two other unions signed a salary deal with the post office, the CWU it does not have a choice but to return to work for now.
The agreement includes workers getting a 6.5% increase and the reinstatement of 588 employees who were dismissed from their positions. The CWU said that it was also not pleased that it would take two years to convert a number of temporary workers into permanent employees.
It appears that mail delivery will return to normal in time for Christmas, but is not confirmed. However, the union is threatening to down tools again early next year.
The post office’s financial status is dire, as its latest financial statement shows a net loss of R359m.
The parastatal has pointed to the protracted unprotected strike as one of the factors causing its cash flow problems, as well as the fact that this is the first year it has had to operate without a state subsidy.