Retired post office staff hard hit by medical aid payment changes

Retired South African Post Office (Sapo) staff are aggrieved by their medical aid contributions and benefits being ripped away by the financially crumbling parastatal.

Retired South African Post Office (Sapo) staff are aggrieved by their medical aid contributions and benefits being ripped away by the financially crumbling parastatal.

Published Nov 30, 2022

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Cape Town - Retired South African Post Office (Sapo) staff are aggrieved by their medical aid contributions and benefits being ripped away by the financially crumbling parastatal.

Elderly beneficiaries, who received medical aid cover as part of their retirement package, say they were not informed beforehand that contributions would not be paid.

They have now been left to pay cash from meagre grants to cover their chronic medication bills.

Kensington resident Billy Baatjes, 83, who worked for Sapo for 38 years, said he was unable to pay the deficit required to remain a medical aid beneficiary.

“I find myself in a dire financial situation having to pay cash for my chronic medication where previously I was covered comprehensively.

“But now, with the collapse of Sapo and their cash flow issues, we found out that they have not paid since October. We had no prior communication from Sapo to say that they would not be paying the fees, and our benefits are suspended.

“I can’t afford to pay my full medical aid cover by myself. They pay a bulk of the medical contributions that I could definitely not pay by myself.

“I have to dig deep in my pockets now monthly as I go to buy my chronic medication at the chemist, and this amount has to be paid upfront, and if I don’t have it, I will die,” said Baatjes.

Baatjes said Sapo did not inform members about the change in their medical aid cover.

“They did not communicate anything to us.

“Our medical aid provider sent us communication, and after making enquiries, we were then told Sapo did not pay its contributions and has left us vulnerable, despite them collecting the share that we are responsible for on debit order. It’s unfair and just speaks to how another parastatal is crumbling,” said Baatjes.

Another retired employee, Maureen Swartz, 86, said she was also unable to get her chronic medication.

Speaking on behalf of his mother, Andre Swartz said they were also not informed that contributions weren’t paid, until their medical scheme informed them about the deficits.

“This is a terrible thing and we need to know what’s happening. This is just evident of the corruption and looting that is ongoing in the entity, and somebody must look into it as it's affecting the vulnerable now,” said Swartz.

The Communication Workers Union (CWU) has given Sapo 14 days to respond after handing over a memorandum last week for matters relating to its current financial crisis.

The union’s list of demands called for the resignation of Sapo’s chief executive, stopping all salary cuts, and the payment of all medical aid and pension fund contributions.

They also called on the government to intervene to prevent the closing of post offices, because “that ill-informed decision will affect the poorest of the poor who depend on the Post Office for their grant payments, CWU said.

The Department of Communications and Digital Technologies did not respond to enquiries on Tuesday.

Sapo spokesperson Johan Kruger said their contributions to the members’ medical aid were no longer sustainable.

“The SA Post Office was unable to pay medical aid fees for the month of November 2022 owing to a cash flow shortage, and immediately informed employees of the situation so that they could arrange to pay the medical aid contributions themselves.

“The amounts in arrears will be paid to the medical aid schemes, not to employees.

“The Post Office currently pays two-thirds of medical aid contributions while employees and pensioners pay only a third.

“This is not sustainable, and therefore employees will be allowed to join any selected medical insurance, hospital plan or medical aid scheme as they prefer.

“The health and wellness of employees is a priority for the Post Office, and the company regrets the inconvenience and stress this situation has caused.”

Cape Times