A number of postmasters in Donegal’s rural network of offices have expressed new fears this week over cuts to their incomes in the wake of new proposals to have social welfare payments transferred to the banks.
One postmaster tells today’s Tirconaill Tribune that in light of the Department of Social Protection renewing their proposal to encourage Jobseekers to use financial institutions instead of post offices, there is a very real possibility that any such decision could see incomes fall by as much as €5,000 a year.
The Irish Postmasters’ Union is due to meet with An Post representatives in soon and among the items up for discussion is the company response to the overwhelming rejection last year of An Post’s plans to cut Postmasters pay for the delivery of social welfare payments.
The issue is set to be high on the agenda for the IPA annual meeting in mid April.
An Post have not yet responded to the ballot but many postmasters now fear it will come back on to the agenda in light of the recent demand that Jobseekers have been requested to fill and return forms to facilitate the transfer of their payments via the banks. and leaves no other options open to the recipients.
It is claimed that An Post is moving to reduce Postmasters pay even though the company returned to profit in the past two years and bonuses worth €800,000 were paid out to An Post Managers.
An Post sought savings of €4.6m in payments to Postmasters which was rejected by the IPU which represents 1,100 Postmasters across the country.
An Post’s and Postmasters’ contract determines that changes to payment rates can only come into effect by mutual agreement and therefore an Arbitrator was appointed last August to review the issue.
The Arbitrator recommended, in “interim findings” that the annual level of savings sought by An Post be reduced to €2.5m and further recommended that both parties enter a facilitation process during which all other issues could be addressed.
Postmasters wrote to An Post in November 2014 accepting the Arbitrator’s level of cuts, for a three month period (€625,000), during which a facilitation process should take place to reach a longer term agreement.
An Post has in the last week rejected the IPU’s offer saying it will not talk with the IPU until they accept the cuts on a permanent basis.
The IPU said this was an opportunistic attempt by An Post to cut Postmasters incomes and is not warranted. The company has returned to profit, has paid bonuses to Managers and has been investing in new services such as Post and Pay, PayPoint and Delivery Service Units which are taking business away from Post Offices and Postmasters.
As the battle to retain vital post offices in rural Ireland continues the reality is that many have already been consigned to history.
The FF-Green Party Government presided over 197 post office closures over a four-year period from 2006 to 2010.
Just 17 post offices have closed since 2010 amid mounting concerns that there is a specific agenda in An Post to have financial transactions in Social Welfare payments completed through the banks.
The Department of Social Protection has renewed its attempt to encourage Jobseekers to use financial institutions over Post Offices.
A letter was sent to recipients of Jobseekers who work casually, part time and are paid social welfare via cheque and was accompanied with a form for recipients to complete and return to start the process of Electronic Fund Transfer (EFT).
