A majority of SA Post Office creditors voted in favour of implementing a rescue plan to restructure the affairs of the beleaguered company and give it a fighting chance. The plan requires a government bailout of almost R4-billion.

A majority of businesses that are owed billions of rands by the SA Post Office have approved a plan that will drastically restructure the affairs of the state-owned enterprise (SOE), paving the way for 6,000 jobs to be cut, 600 branches across the country to be shut, and for the government to throw even more taxpayers' money at it.

At a meeting on Thursday, 7 December, a group of SA Post Office creditors - owed more than R3-billion by the SOE - voted in favour of a business rescue plan which would be implemented over the next two to five years.

A spokesperson for the SA Post Office's joint business rescue practitioners, Anoosh Rooplal and Juanito Damons, told Daily Maverick that the plan received support from more than 75% of independent creditors who voted at the meeting.

This was a crucial step because if the creditors had rejected the plan, the SA Post Office would have faced liquidation and the permanent closure of its doors.

However, for the plan to be implemented, the SA Post Office will need a R3.8-billion bailout from the government, which, through Cabinet, has agreed (in principle) to provide more money to the SOE.

Over the...