Dáil Éireann Debate, Tuesday - 29 May 2018
588. Deputy Thomas Pringle asked the Minister for Employment Affairs and Social Protection if a matter (details supplied) will be addressed in relation to payments through post offices; and if she will make a statement on the matter. [23120/18]
Amharc ar fhreagraAs Minister for Employment Affairs and Social Protection I welcome the recent agreement between An Post and the Irish Postmasters Union (IPU). I understand that the plan paves the way for a modernisation programme which will facilitate the development and renewal of the post office network.
While responsibility for An Post rests with the Department of Communications, Climate Action and Environment, the Department of Employment Affairs and Social Protection is an important customer of the company. The Department makes approximately 80 million social welfare payments per annum of which nearly 42% are by cash via the post office network.
The post offices are seen as a key piece of financial and social infrastructure particularly in rural areas. Accordingly the Programme for a Partnership Government commits to actively encourage payment at post offices.
The Department has given effect to this commitment by renewing its cash services contract with An Post for another year. The current agreement allows me, as Minister, to extend the term of the contract on an annual basis up to the end of 2019.
The Department is required by law to go to public tender for the provision of cash services from 1 January 2020. The award of public sector contracts with a significant financial value is subject to various EU Directives. Public procurement rules ensure that the taxpayer receives value for money and ensures that all potential suppliers are given the opportunity to put forward the most efficient, effective and competitive solutions for consideration and evaluation.
As far as is possible, the Department remains committed to giving social welfare recipients choice of payment method. Its consistent position has been that it will respect customer choice as appropriate and make payments in line with customer preference where choice is available. Notwithstanding that electronic payment methods are significantly cheaper than payments made through the post office network, the Department advises customers that they have a choice of payment method.
