The Post Office has faced criticism over a decision to cut payments to 'Hard to Place' postmasters who are attempting to leave the profession.
The Post Office Ltd began the Network Transformation (NT) programme in 2011 which was designed to modernise the service and delivery models provided while also allowing subpostmasters who did not want to change their contract to avail of a 'leavers payment'.
This payment was originally for 18 months worth of income with this being increased to 26 months in 2014 as the NT programme became compulsery.
Read more: NI Post Offices call for more support after facing increased pressures to stay viable
Subpostmasters had to decide by December 2015 whether or not they wanted to convert to one of the new operating models or exit the network. Those who did not sign, were asked to sign a conditional resignation form, enabling them to leave the network with their leavers' payment once a new subpostmaster was found.
However, the Post Office Ltd has now written to subpostmasters telling them that the programme will end in March 2025 and that if a new postmaster is not found for their Post Offices, they would have to agree to a 12 month payment, more than 50% less than what they had previously agreed.
The Post Offices impact in Northern Ireland are;
- Duncairn St, 240 Antrim Road, Belfast, BT15 2AR.
- Cloughmills PO, 17 Main Street, Ballymena, BT44 9LF.
- Clough PO, 5A Main Street, Ballymena, BT44 9RJ.
- Upper Malone, 32B Upper Malone Road, Belfast, BT9 5NA.
- Centre PO, 29 Rushmere Shopping Centre, Craigavon, BT64 1AA.
- Portavogie, 44 New Harbour Road, Newtownards, BT22 1EE.
- Sugar Island PO, 16 Sugar Island, Newry, BT35 6HT.
The National Federation of SubPostmasters (NFSP) says that it has tried to highlight the error in Post Office's decision on numerous occasions, but the state-owned company has refused to accept that its offer of 12 months, may leave colleagues with very little remaining after they pay tax, leases or mortgages, staff redundancies, and other associated costs such as clearing the Post Office counter from the premises.
It believes that the Post Office's push for this option is because they do not want to fund the transfer of HtP subpostmasters onto the new IT (NBit) system.
It has said the decision "is morally wrong, as it may deprive many colleagues, of funds to ease their financial position through retirement."
In a recent letter to those affected subpostmasters, NFSP Chief Executive Calum Greenhow wrote: “Post Office are willing to treat postmasters today in the same manner in which they treated them throughout the Horizon scandal.”
“Government consistently state that they have provided funding to the Post Office of £2.4bn via the NT process, which should have included ring-fenced funds to allow all those colleagues from 2015 to exit the network with 26 months Leavers Payment. Our question remains, what has happened to that ring-fenced money?”
A Post Office spokesperson said: “Following a programme that first started over a decade ago, there are around 130 Post Offices, out of a network of over 11,500 branches today, that constitute a hard to place branch. Under the programme’s arrangements, agreed with the Government of the time, Postmasters who wanted to leave the network were only entitled to an exit payment if and when a replacement branch was found.
“We have endeavoured to keep these Postmasters updated with regards to their options for remaining or leaving their role as a Postmaster. We have asked these 130 Postmasters to tell us how they would like to proceed with regards to their Post Office and have dedicated colleagues able to support and provide advice on their options. We fully recognise that for these Postmasters this is a difficult time, but with limited funds we need to ensure we prioritise maintaining access in the areas our communities and customers need it most.”
READ MORE:
- Councils can't change parking charges due to Stormont's collapse
- Housing Executive rents set to rise from April, Stormont department announce
NI regional rate set by Secretary of State in Stormont's absence
For all the latest news, visit the Belfast Live homepage here. To sign up to our FREE newsletters, see here.
