Sassa news: The South African Post Office has been providing poor service to the South African Social Security Agency. Sassa imposed punitive penalties on SAPO for six months in a row in 2022.
Officials from the Department of Social Development and Sassa briefed Parliament on the status of grant payments on Wednesday.
The South African Post Office (SAPO) has been fined for failing to pay government social grants on time for six months in a row last year.
The Department of Social Development and Sassa briefed Parliament on the status of grant payments on Wednesday.
They told the National Assembly’s Portfolio Committee on Social Development that SAPO has exacerbated the problems and delays with social grant payments.
In Sassa news, officials claims that SAPO failed to provide adequate equipment to comply with norms and standards, dignified services and to adhere payment schedule.
This occurred from April to September 2022, they stated.
A sufficient number of cash dispensing machines at cash pay points should be deployed to meet the requirement for adequate equipment. SASSA News
According to the officials, the above requirement was measured by the availability of adequate payment staff as prescribed.
They also stated that equipment downtime should not exceed one hour. The time it takes to restore the network was used to calculate the amount of downtime required.
Each SAPO location or cash pay point that does not meet facility and equipment standards should be fined 5% of the monthly service fee.
Sassa also wants electronic cash dispensing machines in all SAPO branches and counter service points.
Sassa also requires SAPO to have a backup power supply in case of a power outage or load shedding.
Failure to comply will result in a penalty of 5% of the monthly service fee per “affected access channel.”
Sandwiches and fresh beverages should be provided if payment delays exceed a one-hour waiting period.
Sassa pays the following service fee for the distribution of social grants:
- Cash Pay Point: R188.81 per beneficiary (most of these payment points are in rural areas).
R72.95 per beneficiary at SAPO branches.
- National Payment System: R7.14 per beneficiary (banks and retailers included).
Furthermore, Concerning the Master Services Agreement (MSA) with Postbank, Sassa director for grant administration Brenton van Vrede stated that the contract was ceded with the same MSA agreed to with SAPO, with the option to review it.
“Both sides’ teams have met a few times to discuss terms that may be reviewed in the existing MSA.” The review’s timeline is estimated to be March 31, 2023. However, current challenges are having a negative impact on this process. “The service level agreement review will not begin until the MSA is finalized,” he stated.
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