Irish postmasters have accused the Government of trying to divert business away from post offices and have returned thousands of new social protection forms to Tánaiste Joan Burton’s department.
Frustration emerged last month when the new forms were issued by the Department of Social Protection which recommended that people receive welfare and other State payments by direct debit to a bank account, instead of using the post office.
The Irish Postmasters’ Union (IPU) have said that they are frustrated at the Government’s policy to “hand core business over to commercial banks”.
The new forms allow customers to apply for the likes of the State pension and the Household Benefits package to be paid directly to their bank account.
Members of the union gathered at the doors of the Department in Dublin this morning to return forms in person in protest against the policy.
IPU general secretary Ned O’Hara said that ordinary members and the executive of the organisation are incredibly frustrated at the actions of the Government and have called on Ms Burton to meet with them.
“There is a view among postmasters that, by recommending social protection payments through the banks, Government policy is in effect closing down the Post Office Network. We want the Tánaiste to meet with us and hear our concerns and solutions,” he said.
IPU President Paddy McCann said that the payments account for 30 per cent of business and its spin off value is as high as 50 per cent.
"Transferring the largest element of post office business to the banks will shut down the network and remove a core piece of social infrastructure from communities across Ireland, " he said.
“There is huge support in all constituencies for the development of post offices as hubs for the delivery of core State and commercial services. Many people want to use the post office and do not want to pay fees to the commercial banks,” he said.
In a statement last month, Ms Burton said the forms were not appropriate and she had asked the Department to update them.
She said: “The post office is seen as a key piece of financial and social infrastructure for both urban and rural areas.”
“In order to recognise the general societal trend to electronic payments, the Department has been changing some of its application forms. I want to emphasise that the amendments do not remove the option to be paid at the post office.”