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Solidarity is delighted to announce that it (Solidarity), the South African Post Office (SAPO) and Medipos today reached a settlement that was ratified by the Labour Court in Johannesburg as a court order. Solidarity brought an urgent application in the Labour Court against SAPO to force SAPO to pay medical aid contributions of more than R600 million in arrears to Medipos, its employees’ medical aid fund.
 
According to Solidarity, it would not have been possible for these employees to receive any further benefits from Medipos as from 1 October due to the fact that premiums were in arrears. For months SAPO failed to pay the full member contributions to the fund on behalf its employees while the deductions still appeared on the employees’ payslips. The urgent application was scheduled to be heard today.
 
However, Solidarity, SAPO and Medipos managed to reach a settlement in terms of which SAPO must make certain minimum monthly payments to Medipos. In exchange for the minimum payments Medipos has undertaken to sustain the employees’ medical cover provided that the Council for Medical Schemes (CMS) approves the settlement of agreement.
 
The agreement further stipulates that if the CMS does not grant its permission for the implementation of the agreement the court application would again be placed on the Labour Court roll at the end of November to be heard. Meanwhile, no medical claims from any SAPO employees who are Medipos members will be refused as from 1 October.
 
“It is outrageous that Solidarity had to revert to court to force the Post Office to meet its obligations. Innocent employees suffer as a result of the mismanagement and corruption that are so typical of state entities and government departments while management team members and cadres get away scot-free. Such malpractices can no longer be tolerated and for this reason Solidarity has reverted to court and will constantly do so to ensure that justice prevails,” Anton van der Bijl, Solidarity’s head of Legal Matters said.
 
“We are pleased that our members will be able to continue to enjoy the benefits of their medical aid without interruption. Many employees suffer from medical conditions or have to undergo surgery that would have been prejudiced by a cessation of these benefits. This is a victory for every SAPO employee and member of the Medipos Medical Aid scheme. In this way Solidarity has succeeded not only in helping its members but also others who work for SAPO and are Medipos members. However, we will continue to act as a watchdog, protecting the interests of our members. We will not hesitate to proceed with further litigation should SAPO fail to meet its obligations,” Van der Bijl concluded.

Issued by Solidarity