Dáil debates

Tuesday, 16 July 2013

Report on Promoting a Sustainable Future for the Post Office Network: Statements

 

1:30 pm

Photo of Michael ColreavyMichael Colreavy (Sligo-North Leitrim, Sinn Fein) | Oireachtas source

During my short time in the Dáil I have noticed an absence of holistic planning in government and this has probably been the case for years. We tend to take a service or a set of services within a Department and analyse it and produce reports, but up to now we have not looked at the wider impact of these services and Departments. We have been slow to look at connections between Departments and take an holistic view. This report is a beginning in adopting such an holistic approach. It probably does not go as far as I would like, but it is beginning to get there. The report, which examines the context in which An Post's services are provided, outlines a number of recommendations and highlights several issues which affect not only the post office network but also those who avail of its services.

Post offices are the very heart of rural communities. I represent a rural area with a low population and I know how essential is the post office. Schools, Garda stations, local shops and pubs are at the heart of local communities and the post office is there with them. We are witnessing the closure of local Garda stations, shops and pubs and this damages our infrastructure, particularly in rural communities. The withdrawal of a school bus can have the effect of closing a school and ripping out the heart of a rural community. It is the same with post offices. Rural communities are also suffering because of emigration. Many rural communities are beginning to lose hope, which is the most frightening aspect of this. Every decision we make on what services are available and what we should do with them must take into account the impact on the wider rural community.

The post office network is part of the fabric of many communities and should be seen as a vital part of the campaign to hold our communities together. We often receive briefings from various groups and sectors with the aim of protecting their place in the community. What makes the post office network different is the fact it has the ability to be cost neutral if it is managed and utilised to the maximum.

The post office network has existed for decades and has built up trust over the years. It has been paid for by taxpayers and provides an essential service. It provides a service way beyond its statutory obligation. It is the conduit of communication for people in rural communities and the place where they meet.

This report sets out nine recommendations. It is good that we did not come up with hundreds of recommendations that might never be implemented. There are only nine but they are all capable of being implemented and, if adopted, they would make the post office network more sustainable.

Given the social benefit of personal contact that exists between post office staff and their customers, the committee recommended that other Government services should be made available through the post office network. Access to services is key and we should make it easy for people to do so. We have a ready-made network of facilities and we do not use it as well as we should. We must broaden our mind beyond the traditional services that were provided at post offices and make them busy places where even in rural communities people walk in and out and talk to each other.

Considering the isolation that can exist, especially among older people and in rural areas, it seems appropriate that Government services should be moved to a facility with which people are comfortable and in which they have confidence. I refer to the payment of motor tax renewals, hospital charges, business rates, rent and other Government payment services. We should examine every transaction between the citizen and the State involving paper or electronic communication with the aim of involving the post office.

The social welfare contract has been of major importance to the sustainability of the post office network. I welcome the recent announcement by the Minister for Social Protection, Deputy Joan Burton, that An Post is the favourite candidate to retain the social welfare contract into the future. The loss of the social welfare contract would have major implications for the sustainability of the post office network. However, I am concerned at the proposal to consider electronic funds transfer. We must take a cross-departmental approach. Unless and until every post office in the network is capable of handling electronic funds transfer the Government should, unashamedly - regardless of pressure from the banks or the EU - say that the post office is the preferred carrier for electronic funds transfer. That might give rise to competition issues but let us deal with them. There is a danger that citizens will have to pay high banking charges from their already low social protection payments and we must champion them and the public post office services.

A very important aspect of the committee report was the need for a warning system for post offices that could face possible closure. We referred to an amber light warning system. I have seen in my area that in many cases the community is the last to know that the post office is about to close. One needs more than one month or two months' notice. One needs between 12 months and two years to give a community an opportunity to consider whether it is possible to retain the service with different personnel or by introducing a slightly different model. Such notice would give communities some power to organise their own future. If one is going to take something away, a community should be given an opportunity to fill the gap itself before taking a decision to close a post office. That would allow for a community response to the problem and the possibility of community solutions.

One of the services in danger of closure, especially in rural Ireland, is the local bank. Post offices must be ready to handle financial transactions, including deposits and withdrawals in respect of credit unions and the major banks, but in particular they must be capable of dealing with electronic funds transfer from the Department of Social Protection, if that is to be the way forward. Let the banks complain. If the post offices can do it without charges and the banks want to continue to charge their customers, on their head be it.

During the hearings, there was no reluctance on the part of the staff organisations to examine ways of making processes more efficient, using bar codes, etc. However, the organisations fear that to become more efficient is to make the network leaner in order to have it privatised. Privatisation must be resisted every step of the way. Private companies would cherry-pick profitable areas and the taxpayer would pay more for services in rural areas. Streamlining should be for the benefit of services and customers. It should not be used to make the service a more attractive proposition for privatisation.

The post office network provides a valuable resource to local communities, particularly those in rural areas. With the loss of so many services, it is essential that the network be retained so that it can continue to provide for communities the length and breadth of the country.

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