Tommy Broughan (Dublin North East, Labour)
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Late last week, RTE reported the alarming news that up to 500 post offices could be closed by An Post after a review of the network to be completed this year. If so, we could be left with a network of fewer than 800 post offices throughout the country and whole communities may be forced to travel for miles to access essential postal services.

The postal network has been decimated in the lifetime of the Fianna Fáil-Progressive Democrats Government. In 2000, approximately 1,800 postal units were in the network, yet this figure has dropped to just 1,300. At one stage last year, one post office was being shut down every ten days. Is the Minister responsible in attendance?

Dick Roche (Wicklow, Fianna Fail)
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I am dealing with this matter. As a former post office man, this is a matter in which I take considerable interest.

Bernard Durkan (Kildare North, Fine Gael)
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The right man in the right place.

Tommy Broughan (Dublin North East, Labour)
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I am delighted to hear that. One of the most appalling legacies of the Fianna Fáil-Progressive Democrats Government when it finally leaves office will be the closure of more than 1,000 post offices across Ireland.

Approximately two weeks ago, the Irish Farmers' Journal reported that while we have a relatively high ratio of post offices to people in the EU, we have the greatest relative magnitude of closures at an astonishingly high 21%. Last November, I met a delegation from the Irish Postmasters Union led by its general secretary, Mr. John Kane, and I receive frequent correspondence from a range of postmasters and postmistresses around the country who are deeply frustrated with their low wages, poor working conditions, the increased attacks on post offices — the so-called tiger raids — and the non-automation of almost 400 post offices. The stunning new report of the potential closure of 500 post offices will cause even greater concern for postmasters and postmistresses, whose representative body under Mr. Kane has recently described the network as being in crisis.

According to the IPU, 400 of its members are earning less than the minimum wage of €17,910 per annum. It also reports that another 135 postmasters are not even scraping a bare €10,000 per annum, €200 per week. Out of these meagre earnings, they are expected to run their post offices five and a half days per week or six days or seven days per week in the midlands and the west, supply a premises, employ staff and pay any expense that occurs, including soaring utility bills.

Last week, RTE news profiled a hard-working postmaster in my constituency, Mr. Gerry Keane of Edenmore post office in Raheny. His net take was only €500 per week. A postmistress in a rural area, Ms Catherine Healy-Byrne, has been to the forefront of the Save Lombardstown Post Office Campaign near Mallow in County Cork. She has repeatedly requested that Lombardstown post office be automated urgently, which is a refrain we hear week in, week out from postmasters and postmistresses. The non-automated sub-post offices should be automated if we are to take advantage of the Fortis deal and so on.

Postmasters and postmistresses have faced a drop in business because of the decrease in Government business through the Department of Social and Family Affairs and NTMA contracts and the increase in on-line transactions and direct debit payments. Electronic fund transfer and technology can contribute to the isolation of more vulnerable members of the community and force unnecessary bank charges on consumers.

Postmasters and postmistresses are facing a serious security crisis. We hear of the Minister for Justice, Equality and Law Reform, Deputy McDowell, every few hours, but his information may not be accurate.

Bernard Durkan (Kildare North, Fine Gael)
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Sporadic.

Tommy Broughan (Dublin North East, Labour)
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In 2006, he told me that there were three tiger robberies and six attempted tiger robberies, whereas Mr. Kane and the postmasters told me that there were 40 serious attacks on post offices last year, including the appalling murder of the young Kilkenny postmaster, Alan Cunniffe, last December.

Bernard Durkan (Kildare North, Fine Gael)
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Hear, hear.

Tommy Broughan (Dublin North East, Labour)
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Often, these tiger raids target post office keyholders.

As the Minister knows, a major campaign has been mounted by the postmasters and postmistresses. On Tuesday afternoon, they were to be outside the Dáil and we were hoping to discuss the issue with them at length, but we heard of a deal involving a €12 million package being put forward by An Post with the assistance of the Minister for Communications, Marine and Natural Resources, Deputy Noel Dempsey. The end result of the package could be the closure of 500 postal units.

Too many communities, including Priorswood in my constituency or Killiney in south Dublin, have been devastated by the closures of their local post offices and the loss of the services and social interaction provided therein. In rural Ireland and the west Cork area in particular, a post office can be the focal point for Government activity for 15 miles or 20 miles. Why has the Minister for Communications, Marine and Natural Resources not published a Green Paper, White Paper or strategy on the long-term future of the postal network as we move towards deregulation in 2009, as Deputy Durkan and I heard last night, and electronic substitution? A strategy would provide some hope to the hard-working postal service workers.

Bernard Durkan (Kildare North, Fine Gael)
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Hear, hear.

Dick Roche (Wicklow, Fianna Fail)
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I thank Deputy Broughan. As a former post office clerk, I take a great interest in this matter. I have met the IPU, the Minister and some colleagues from my days in the post office and I know that honest efforts are being made to address the issue.

While this is primarily a matter for the management of An Post, the programme for Government sets out the Government's commitment to the objective of securing the largest, most economically sustainable national post office network possible. The An Post post office network comprises the single largest number of retail outlets in the country, consisting of almost 1,000 automated post offices, 371 non-automated post offices and 171 postal agencies. An Post has also established almost 3,000 post point outlets in retail premises throughout the country, of which 600 can be used for bill payments. Effectively, the 1,000 automated offices transact 97.4% of overall post office business.

In the European context, Ireland has one of the highest number of post offices per head of population at 4.2 outlets per 10,000 inhabitants compared to the European Union average of 2.7. Research commissioned by the IPU in 2006 confirmed these figures. In recent years, some network restructuring has been undertaken. This activity is in line with similar trends across Europe. On a national basis, 80% of the post office network, which is situated in rural areas, serves 40% of the population.

The Government's commitment to the post office network extends to the postmasters, whose financial security and strong relationship with customers are vital to the continued viability of the network. It was in recognition of the importance of postmasters and postmistresses in respect of the viability of the network and the social fabric of communities that the Minister appointed Mr. Eamonn Ryan in January of last year to act as a facilitator between the IPU and An Post. I can think of no one better qualified, as he came up through the post office ranks. His mandate included issues such as the examination of the postmasters' contract. He was also mandated to assist the union to engage with the company on these matters. Recently, he completed a report on these issues and made a number of recommendations.

While the Government will support the network in any way it can, the development and continuing viability of An Post and the network is, in the first instance, a matter for the board and management of the company. Consequently, the way forward is for An Post to enhance existing services, build on existing strengths and develop new product offerings. There is an urgent need for An Post to diversify its income streams and those of the postmasters and postmistresses.

It was with this in mind that in September, the Government gave its approval to a joint financial venture between An Post and Fortis, a Belgian bank. This will entail the provision of a range of financial services operated through the An Post branch network using the An Post brand and other An Post assets.

The security of post offices concerns us all because decent people are going about their business. I do not like the idea of "tiger raids", as that phrase makes armed thuggery against decent people sound attractive, which was not the Deputy's intention. I understand that An Post has made a significant investment in the network as part of its security upgrade programme. The installation of new and upgraded security equipment as part of this programme continues.

Almost 1,000 post offices are automated, with these conducting the vast majority of the network's business. A pilot project has recently been carried out by An Post, as part of which ten offices were automated and the consequent effect on business monitored. The data gathered as part of this project is currently being analysed.

If An Post and its network are to prosper and grow, it must adapt to the demands of its customers and place delivery of quality services as its primary focus. This will be important in the context of future liberalisation of the mail market. Coming, as I do, from a post office background, I believe there is a massive asset here. I suggest, and hope, An Post will be vigorous in identifying new products because this is an extraordinary network and the Government is committed to maintaining it to the maximum possible extent.