The SA Post Office suspended its new interim CEO, Lindiwe Kwele, in December 2019, after just four months at the helm of the struggling state-owned enterprise.<\/p>\n
Kwele was appointed as interim CEO in August last year when\u00a0former Post Office CEO Mark Barnes resigned<\/strong><\/a>\u00a0citing differences on a forward strategy in relation to the structure of the group.<\/p>\n After his resignation,\u00a0Barnes said<\/strong><\/a>\u00a0there was a competent team in place at the Post Office, led by Kwele, which can still realise the potential of the organisation.<\/p>\n Kwele first joined the Post Office in June 2017 as Chief Operating Officer. Before that, she was Deputy City Manager for the City of Tshwane Metropolitan Municipality.<\/p>\n Business Day has now reported<\/strong><\/a>\u00a0that Kwele and Mothusi Motjale, The SA Post Office\u2019s head of the supply chain management division, were suspended on 4 December.<\/p>\n \u201cThe Post Office confirmed the suspension of the duo, saying it would allow for an independent investigation into unspecified matters,\u201d the report stated.<\/p>\n Big losses<\/strong><\/p>\n The SA Post Office continues to make big losses, which required the government to give it a capital injection of R2.95 billion over the previous financial year.<\/p>\n There were, however, positive movements under Barnes. He said in the Post Office\u2019s last annual report that the company was progressing towards profitability.<\/p>\n He added that the organisation was in a sound financial position, with no external bank borrowings or outstanding National Treasury guarantees.<\/p>\n The Post Office\u2019s revenue increased by R897 million (19.8%) to R5.44 billion compared to the previous reporting period.<\/p>\n Expenses, however, increased even faster. Total expenses increased by R1.43 billion to R6.78 billion, which resulted in a net loss of R1.172 billion.<\/p>\n Post Office comment<\/strong><\/p>\n MyBroadband asked the SA Post Office for comment, but it did not respond by the time of publication.<\/p>\n This article originally appeared on MyBroadband<\/a><\/strong>.\u00a0<\/em><\/p>\n
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