Oireachtas Joint and Select Committees

Tuesday, 4 September 2018

Joint Oireachtas Committee on Communications, Climate Action and Environment

Impact of Retirement Packages for Postmasters: Discussion

2:00 pm

Photo of Michael FitzmauriceMichael Fitzmaurice (Roscommon-Galway, Independent) | Oireachtas source

Yes, and I wish to have them addressed directly by the Minister and Mr. McRedmond. I thank them for their presentation.

An Post tendered for a contract with the then Department of Social Protection. When it tendered it gave the number of outlets it has around the country for the services. That is how it got the contract. An Post is now in breach of the contract up to 2019 because it is closing post offices that it said in the contract would be providing the services to the people. Can Mr. McRedmond elaborate on that? Can the Minister confirm that An Post is in breach of the contract with the closure of 150 post offices?

Second, 231 post offices have not taken up the offer for closing and An Post is offering a new contract to 690 other post offices. Will it offer a new contract to the 231 or will An Post have 690 on one contract and the 231 on another? If that is what it is contemplating, I do not believe it is legal.

The third question is about the criteria for adjudicating on whether to open or close post offices. Mr. McRedmond referred earlier to one in every two that will survive in an area. I will give an example in a hinterland of 15 km to 20 km. An Post sent out word to Creggs, Glinsk, Ballymoe, Williamstown and Athleague in the one area. An Post went around the periphery and offered that to every post office in the hope that they would close. Mr. McRedmond's reference to one in every two is not factual.

Another criterion that was used was inside the 15 km zone. I am surprised at this from somebody who comes from a business background.

We have one post office in Athleague and the Minister is very familiar with it, where approximately 200 cheques go out from one factory every day, where there are people of other nationalities using the money transfer service and where there are more businesses down the road that sell cards and put a large volume through. I listened to what the Minister said about post offices being viable and not viable. Obviously the Department has not looked with the criteria that it has laid down because what it has done is to look at what is between the two speed limits. There could be a new community of young people, who would not be getting a pension, who would all be working inside those speed limits in some areas of the country. Does the Minister admit that the system that has been used is flawed and needs to be re-examined?

These are the facts of what is happening. There are 150 small villages that are now at risk. The Minister said they went through a consultation process and he is right. They went through a process that they drew up with the Irish Postmasters Union, IPU. What is the most important part of An Post? It is the people who pay the money and give the service by sending letters and drawing the pension because that is what generates the money. What part of the process were they brought in to? My understanding is that it was none of it.

Is Mr. McRedmond prepared at this stage to put a hold on closures until July of next year? If he understands rural Ireland and I hope that he does, is Mr. McRedmond aware that the money that comes in with the pension, the children's allowance or social welfare to that small village's local shop, chemist or butcher shop may be what is keeping that village going today? I am not saying that every service needs to be in every corner of Ireland, I will never say that, but when people have money they spend it locally. I ask Mr. McRedmond to engage with Oireachtas Members and communities to keep that facility alone in those small villages because if that goes we are looking at shutting the door on those small villages.

I refer to An Post's appeals process. An Post has set up the appeals process, I have talked to Mr. Gillespie, one of the workers and I have talked to Mr. Lafferty. Before we go through the appeals process I have been told "No". That is a fairly good system. I have also talked to the independent adjudicator and all that has been detailed to me is the terms of reference set down by An Post such as 15 km, 500 people, bla bla bla and now we know that it is flawed from the examples I have given already. Is Mr. McRedmond prepared to do those few things?

On public banking, the Minister has spoken about it and I welcome what he has said, but public banking is not much good if the door is closed in the post office. I know, and I have proof of it, that the Public Banking Forum of Ireland has not been contacted. The Minister talked about Irish Rural Link but it has not been contacted. He referred to the different stakeholders but they have not been contacted. Deputy Mattie McGrath will have heard it as well.

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