PMG DeJoy announces restructuring of the US Postal Service.
Our new organizational structure will focus on 3 operating units
• Retail and Delivery
- Basic Mission: Accept and deliver mail and packages efficiently with a high level of customer
• Logistics and Processing
- Basic Mission: Process and move mail and packages efficiently to the delivery units, meeting
- Basic Mission: Leverage infrastructure to enable growth
Please open the following links for
2020 Annual Leave Carry Over change due to COVID
below is the letter that Mr. Doug Tulino, VP Labor Relations at USPS Headquarters talked about in his presentation to the National Executive Board this past Monday regarding Annual Leave for 2020
and 2021. (9-2-2020)
With this approved change, non-bargaining employees will be able to carry over an additional 80 hours (640 total) this 2020 leave year and will be able to exchange (sell back) an additional 40
hours (128 total) in early 2021 as part of the Annual Leave Exchange program.
PMG Louis Dejoy sworn in
On Tuesday, June 16, 2020, Mr. Louis Dejoy was officially sworn in as the 75th Postmaster General of the United States. In his message to employees and stakeholders he outlined
the issues he is looking at as he takes over the helm at Postal Service Headquarters. He spoke about a "trajectory for success". When I had spoken with him prior to his taking
office he talked about the importance of the Postal Service to the American public, the importance of providing excellent customer service and also, taking care of the most valuable assets the Postal
Service has and that is its employees. I am sure that having only been officially in office for a few days Mr. Dejoy is still learning his way around and getting to the know the
organization better every day. I know that he plans to schedule regular meetings with the leaders of the management associations and the unions and I look forward to having that dialogue
with him. Hopefully, we can and will tackle the tough issues that are facing our members in the field. While the pandemic has presented a whole new set of issues for the country and the
Postal Service, there are still underlying issues related to staffing and the number of packages that you all receive every day that have a direct effect on our ability to provide the service that
our customers have a right to expect. So, whether it is with Mr. Dejoy, or with other representatives from USPS Headquarters we will continue to address these issues and more as they come
USPS Board of Governors Appointments 6/19/2020
Last night the Senate made the following two appointments to the United States Postal Service Board of Governors. UNITED STATES POSTAL SERVICE: Executive Calendar #713 - William Zollars,
of Kansas, to be a Governor of the United States Postal Service for a term expiring December 8, 2022, vice James H. Bilbray, term expired. Executive Calendar #716 - Donald Lee Moak, of
Florida, to be a Governor of the United States Postal Service for a term expiring December 8, 2022, vice Alan C. Kessler, term expired.
NEW POSTMASTER GENERAL NAMED: 5/8/20
The Postal Service Board of Governors has selected Louis DeJoy to serve as the nation's 75th Postmaster General, effective June 15. DeJoy,
a business executive with more than 35 years of experience, previously served as chairman and chief executive officer of New Breed Logistics. He has spent decades collaborating with USPS, Boeing,
Verizon, Disney, United Technologies and other public and private companies to provide supply chain logistics, program management and transportation support.
"Louis DeJoy understands the critical public service role of the United States Postal Service, and the urgent need to strengthen it for future generations," said Robert M. "Mike" Duncan, chair of the
Board of Governors. "The board appreciated Louis' depth of knowledge on the important issues facing the Postal Service and his desire to work with all of our stakeholders on preserving and protecting
this essential institution."
With a 35-year career in the logistics business, DeJoy said he has "worked closely" with the Postal Service for decades. "Having worked closely with the Postal Service for many years, I have a great
appreciation for this institution and the dedicated workers who faithfully execute its mission," DeJoy said. "I look forward to working with the supporters of the Postal Service in Congress and the
administration to ensure the Postal Service remains an integral part of the United States government. Postal workers are the heart and soul of this institution, and I will be honored to work
alongside them and their unions. It will be an incredible honor to serve as Postmaster General, and I commit myself to upholding the Postal Service's cherished role in our nation."
Postal Service Exaggerated the Savings It Collected From Cutting Employee Compensation, Audit Finds
The agency hasn’t accounted for the costs associated with cutting pay and reducing benefits, GAO says.
JANUARY 24, 2020, Eric KATZ, Senior Correspondent
The U.S. Postal Service has overestimated how much it saves from cutting employee compensation, according to a new audit, because it has failed to include new costs
associated with high turnover and increased overtime.
As a result of cutting pay for new employees and offering an increasing number of workers non-career positions that earn less generous benefits, USPS has reported about $10
billion in savings between fiscal years 2016 and 2018. The Government Accountability Office, however, could only substantiate $8 billion of that total and found even that amount likely overstates the
actual savings. Without a better read on the true impact of its personnel cost cutting, the auditors said, the Postal Service will be ill-informed as it makes future financial
USPS had 77,000 fewer employees in 2018 than it did 10 years earlier, though most of its job cuts came in the first half of that period. The agency
has mostly added jobs in recent years due to an increase in delivery points and more labor-intensive package delivery. It has slashed a total of 300,000 jobs since 1999. In addition to the job cuts,
USPS has sought to reduce compensation costs by lowering pay for new career employees. Under new collective bargaining agreements, for example, a new city letter carrier hired in 2016 would see a
starting salary of $37,000, compared to $48,000 for someone hired previously. Wage growth has also slowed to 1% per year for postal employees, compared to 2.3% in the private sector. GAO said it was
unable to verify $2.3 billion of the savings USPS claimed from the pay reductions due to insufficient data.
The Postal Service has also hired more non-career employees who can be more easily laid off, face less certainty in their schedules and receive
less generous benefits. They now make up 20% of the USPS workforce, up from a 10% cap under previous labor agreements. Postal management has claimed $8.2 billion in savings from this change between
2016 and 2018, but GAO said that number was actually $6.6 billion.
USPS’ third method of cutting personnel costs stemmed from reducing its share of employees’ health insurance premiums from around 84% to around
74%. The Postal Service said it achieved $1.6 billion in savings from that reduction, but GAO said it was $1.4 billion.
Postal management failed to consider several factors in determining its savings, GAO said. Non-career employees generally work more hours than
their career counterparts, the auditors found, including more overtime and premium pay hours like Sundays. Lower-paid career workers also worked more and in many cases performed more overtime. USPS
also compared the average pay for new non-career employees to median pay for career employees at all levels, rather than the career employees' starting salaries. USPS therefore estimated a gap of $25
per hour between career and non-career employee pay, whereas GAO said the difference was actually closer to $8 per hour when accounting for all factors.
Some stakeholders, such as union officials, told GAO the less attractive non-career positions have created recruiting difficulties and the less
experienced workers are less productive. Postal management, however, denied those assertions. GAO found USPS was struggling with turnover, with 3% of employees leaving each month. The Postal Service
denied that pay rates were affecting turnover, but GAO found in fiscal 2018 that 4.2% of workers at the lower pay rate left each month compared to 0.36% of those at the previous, higher rate. A USPS
inspector general report found the Postal Service spent $30 million on non-career employee turnover costs in fiscal 2017.
GAO warned the errors could lead to poor decision making.
“ Given that USPS regularly evaluates and manages employee compensation in its labor negotiation, as well as overall budget planning, without
guidance on what factors are necessary to consider when developing employee compensation cost estimates, USPS risks making ill-informed decisions about whether to maintain, or make additional,
changes to compensation,” they auditors said.
Postal management disagreed that the agency had exaggerated its savings, but agreed to incorporate more factors into calculations going forward. The GAO report follows
2018 findings from the USPS inspector general that found the agency realized just 5% of its projected savings by eliminating overnight delivery of regular, first-class mail and pushing back some of
its two-day delivery to a three-day window.
The Postal Service, which advocated the changes to enable the closure or consolidation of nearly 200 processing plants, estimated it would save $1.6 billion but
instead saw just $90 million.
RURAL CARRIERS LABOR DEAL RATIFIED: Copied USPS Link
The National Rural Letter Carriers' Association (NRLCA) membership has ratified a new three-year labor contract with the Postal Service. The contract covers approximately 131,000 employees
represented by the union. Highlights of the agreement include annual general wage increases, a reduction in the employer share of health premiums, additional operational flexibility to use rural
carrier associates, and enhanced health benefits for eligible non-career rural carrier employees. In addition, the agreement includes a comprehensive memo of understanding on the implementation of a
rural carrier standards study. The new agreement runs through May 20, 2021. For more info: https://link.usps.com/2019/08/06/labor-deal-ratified-2/
Have you tried Informed Delivery ?
Once again at our National Convention we heard the PMG ask how many had signed up for Informed Delivery. She was
encouraging everyone to get and use it. Check out www.usps.com today to learn more.