R381 million lifeline: Minister of Employment and Labour secures strategic partnership to safeguard jobs and rebuild the South African Post Office
Minister of Employment and Labour, Ms Nomakhosazana Meth formally announces the implementation of the signed agreement between SAPO and the UIF., aimed at preserving nearly 6,000 jobs and supporting the revitalisation of one of the country’s most critical state-owned entities.
Through the Temporary Employer-Employee Relief Scheme (TERS), the UIF will inject over R381 million into SAPO over a six-month period. This intervention is designed to provide immediate financial relief to 5,956 employees while enabling SAPO to implement a sustainable turnaround strategy.
The Unemployment Insurance Fund (UIF) and the South African Post Office (SAPO) have formally entered into a Memorandum of Agreement (MOA), marking the establishment of a strategic partnership between the two entities.
“This is a bold and necessary step to protect workers and restore confidence in our public institutions,” said the Minister Meth. “The TERS programme is not just a financial mechanism—it is a strategic tool to stabilise employment, support economic recovery, and ensure that no worker is left behind.”
The Minister emphasised that the funding will be disbursed in monthly tranches through a dedicated TERS bank account, with strict governance, auditing, and compliance measures in place. SAPO is required to submit regular reports, maintain transparent accounting records, and implement a detailed turnaround strategy as a condition of the funding.
This intervention follows a rigorous adjudication process by the TERS Single Adjudication Committee (TERS SAC), which includes representatives from the CCMA, the Department of Higher Education, the Department of Small Business Development, and other key stakeholders.
The Minister reaffirmed government’s commitment to working with all social partners to drive inclusive economic growth and protect the dignity of workers across the country.
For media enquiries, contact:
Ms. Thobeka Magcai
Ministry Spokesperson.
Cell: 072 737 2205
E-mail: Thobeka.Magcai@Labour.gov.za
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