Notice of Class Action Lawsuit:

Life Insurance Beneficiaries
May Be Due Additional Payments

APWU Web News Article #003-14, Jan. 13, 2014

APWU has been asked to notify our members of a private class action lawsuit on behalf of beneficiaries of certain deceased postal employees.

The lawsuit covers the beneficiaries of deceased APWU and NALC bargaining unit members who were employed by the Postal Service during the period that the Annuity Protection Plan was in effect, from July 21, 1981, through Nov. 20, 1994.

The life insurance beneficiaries of deceased postal employees may be entitled to additional life insurance benefits or interest on their benefits.

For more information, click here [PDF]. You can obtain additional details by e-mailing Class Counsel at classaction@steinmitchell.com.

Union Denounces USPS Plans to Dismantle Mail Processing Network

APWU Web News Article 101-2011, Sept. 15, 2011

APWU President Cliff Guffey condemned USPS plans to study 252 mail processing facilities for possible closure, saying widespread closures would “dismantle the mail-processing network.” On Sept. 14, the USPS released a list of offices where studies will take place.

“The Postal Service should be urging Congress to address the cause of its problems – not slashing service and demolishing its network,” the union president said.

A 2006 law has pushed the USPS to brink of insolvency by imposing a burden on the Postal Service that no other government agency or company bears. The Postal Accountability and Enhancement Act requires the Postal Service to pre-fund the healthcare benefits of future retirees. The mandate, which forces the agency to pre-fund a 75-year liability in just 10 years, costs the USPS more than $5.5 billion annually.

“The mail processing network is a major asset,” Guffey noted. “Destroying it is misguided and counterproductive.

“Degrading service is not the answer to the Postal Service’s problems,” he said, noting that extensive closures would force the USPS to reduce delivery standards and delay mail delivery. “The Postal Service should be looking for ways to strengthen service and increase its relevance in the age of digital communication.”

Guffey said he was extremely displeased by the Postal Service’s refusal to provide the union with any advance notice of its plans.

Legislators Must Apply Pension Overpayments to Pre-Funding Bill

APWU News Bulletin 09-2011, May 17, 2011

Guffey to Senate Subcommittee:

In testimony before a Senate Subcommittee on May 17, APWU President Cliff Guffey urged legislators to take immediate action to restore financial stability to the cash-strapped agency.

“This is not a request for a subsidy or bailout of the Postal Service,” Guffey said at the hearing before the Subcommittee on Federal Financial Management, Government Information, Federal Services, and International Security.

“The Postal Service is very capable of dealing with the challenges it is facing because of declining mail volumes and a shift to electronic transmissions,” the union president said. “What it cannot sustain is the burden of the unique and unreasonable requirement that it pre-fund its retiree health benefits over a 10-year period.” No other government agency or private company bears this burden.

The hearing was called to examine management plans and legislative proposals to address the USPS financial crisis, including an updated version of a bill introduced last year by Sen. Tom Carper (D-DE), chairman of the subcommittee.

A Mixed Bag

Guffey praised provisions of Sen. Carper’s “POST Act” that would permit the USPS to use overpayments to its pension accounts to meet the pre-funding obligations, noting they would “give the Postal Service more than $5 billion in breathing room each year.”

But he also criticized several negative aspects of the bill. The proposed legislation would give the Postal Service authority to close post offices solely for financial reasons, and would require arbitrators to consider the financial health of the USPS when contract negotiations end in arbitration, he pointed out.

Guffey objected to proposals to allow management greater freedom to close small post offices, saying consideration must be given to the availability of postal services in these communities.

“We are sensitive to the cost and the possibility of deficits in small postal offices,” the union president added. “In our new National Agreement, we have agreed to flexible schedules and to the use of lower-wage and temporary workers in small facilities where such savings might increase the viability of small postal facilities.” Cutting service is not the answer to USPS financial difficulties, Guffey said.

Postal Workers Get the Blame

The union president also expressed the APWU’s “unalterable opposition” to proposals that would change the standards for arbitration when contract negotiations end in an impasse.

“The draft legislation we have seen would destroy the fairness of postal bargaining in several ways: It would put an arbitrary time limit on interest arbitration; it would make postal employees pay the price for congressionally-caused deficits employees have been powerless to prevent or alleviate, and it would place a cap on increases in postal wages.

“These provisions would gut free collective bargaining by postal employees, and the APWU is adamantly opposed to them,” Guffey said.

The APWU appreciates Sen. Carper’s leadership is addressing the pre-funding requirement and the overfunding of postal pension funds, Guffey said. “We will help in any way we can to support sensible legislation that does not seek to address postal financial problems at the expense of postal employees.”

APWU members are encouraged to contact their local legislators and urge them to support bills to correct the USPS financial crisis. “We must make legislative action a priority,” Guffey said.

Union Members Ratify Contract

APWU members approved a new contract May 11, with more than 75 percent of those casting ballots voting in favor of ratification. The final tally was 69,451 to 22,351 in balloting that ended May 10. The agreement will expire May 20, 2015.
“The new contract is an important achievement for the APWU,” said President Cliff Guffey. “We were able to retain protection against layoffs, bring back thousands of jobs in each craft, and limit excessing.
“The agreement includes many big changes, and I realize that some union activists are apprehensive,” Guffey added.“With help from the national union, I am confident that locals can implement the new provisions and protect the rights of APWU members.
“We also must make legislative activity a priority,” Guffey said. “We must support bills — such as H.R. 1351 — that will enable the Postal Service to remain viable in the future. This measure, which would correct postal funding inequities, is essential to our future.
“APWU members must visit members of Congress frequently and talk to them about our issues,” he said.
“In addition, we must focus on organizing,” the union president noted. “We have an opportunity to reach out to newly-hired workers and to non-members who are already on the rolls,” he said. “They will benefit from many of the new provisions, and we must let them know that their participation will make the union stronger.
“As a result of the new contract, the USPS will begin hiring — for the first time in many years. New people will strengthen the union and improve work life for current employees,” Guffey said.
New Provisions
In addition to safeguarding jobs and restricting excessing, the contract [PDF - members only] awards wage increases of 3.5 percent, as well as seven uncapped Cost-of-Living Adjustments. The first increase will take place in November 2012.
The agreement also includes several new concepts: The “full-time” designation will apply to any position of 30 or more hours per week and to any position of 48 hours or less per week. This will allow for the creation of a variety of full-time schedules, including four 10-hour days, three 12-hour days, and four 11-hour days.
However, no current employee can be forced into a full-time position of less than 40 hours per week or more than 44 hours per week. Furthermore, there will be no mandatory overtime for employees in non-traditional assignments or in functional areas that utilize non-traditional full-time assignments.
The new agreement also provides for the creation of new positions for non-career Postal Support Employees.
These employees will have the opportunity to join the ranks of the permanent, career workforce by seniority. They will be part of the APWU bargaining unit, and will receive raises, health benefits, and leave.
Transitional Employees and Casuals will be eligible for conversion to Postal Support Employees if they have passed the appropriate tests and are on the register. “We will begin to spread the word among TEs and Casuals right away and encourage them to take the necessary exams,” Guffey said.
The Numbers
Ballots were mailed to 176,611 union members, and more than 50 percent were returned by the deadline.
“I wish more union members voted,” Guffey said, “but I am pleased that participation increased substantially over previous ratification votes.” Forty percent of eligible union members took part in the ratification process for the 2006-2010 contract.
“The increase demonstrates that our membership is interested and active,” he said. 
Ballots were mailed to 35,668 non-members, who were invited to vote, provided they completed union sign-up cards that were enclosed in their ratification packets.
The vote count was conducted by the American Arbitration Association on May 11 near Washington, DC, under the supervision of the Rank and File Bargaining Advisory Committee. Clarice Torrence, chairperson of the committee, announced the final results at 3:30 p.m. Eastern Daylight Time.
Results showing the voting by individual locals will be posted at www.apwu.org as soon as they become available. Winners of the union’s voter-participation contest will be announced as soon as they have been identified.
Bargaining between the APWU and the USPS began Sept. 1, 2010, approximately 90 days prior to the expiration of the old contract on Nov. 20. The parties agreed to several extensions while negotiations continued.
On March 14, the union and management announced a tentative agreement. The Rank and File Bargaining Advisory Committee voted unanimously to endorse the agreement, as did the National Executive Board.
Thanks
“I want to thank the members of the union’s Negotiating Team for their invaluable assistance,” Guffey said. “They are Greg Bell, Executive Vice President; Mike Morris, Director of Industrial Relations; Rob Strunk, Director of the Clerk Craft; Steve Raymer, Director of the Maintenance Craft, and Bob Pritchard, Director of the Motor Vehicle Craft. In addition, APWU staff worked long hours and provided expertise that was crucial to our success.
“I also appreciate the seriousness and dedication of the members of the union’s Rank and File Bargaining Advisory Committee,” Guffey said. “They worked diligently to represent the membership of our union.
“Finally, thank you to all the union members who made the effort to read the agreement and vote. No matter how you voted, the APWU is stronger and better because of your participation.”

Workers Memorial Day 2011: APWU Honors Those Killed or Injured on the Job

APWU Web News Article 046-2011, April 20, 2011

Each year, the APWU and the labor movement honors hard-working Americans killed or injured on the job and renews the fight for better health and safety protections in the workplace.

On April 28, the union joins the AFL-CIO in observing Workers Memorial Day on the 40th anniversary of the Occupational Safety and Health Act (OSHA). This year’s theme is Safe Jobs Save Lives: Our Work’s Not Done.

Despite the gains that have been made in the past four decades in ensuring safe workplaces, thousands of workers are still killed on the job, and millions more suffer from work-related injuries and illnesses.

“Unregulated and uncontrolled job hazards put workers in serious danger and cost lives,” AWPU Cliff Guffey said. “We must continue the fight to ensure every worker has the right to a safe job.”

This past year, the Postal Service was scrutinized for numerous willful and serious safety violations, including exposing employees to electrical hazards, under-recording illnesses and injuries in the workplace, and risking workers’ health from risks posed by Delivery Bar Code Sorter Machine operation. OSHA fined the USPS millions of dollars for these violations, and inspections are ongoing.

Although the union and our allies have fought hard for tougher enforcement on serious violations, proposed new safeguards for workplace hazards, and won protections that have made jobs safer, many anti-labor representatives are attacking these measures and trying to slash the budget for job safety enforcement and standards.

“No stone must be left unturned in our efforts to protect workers,” Guffey said. “On April 28, let us pause to remember those who have suffered and rededicate ourselves to safety on the job.”

For Workers Memorial Day materials and suggestions for how to organize an observance, please visit the AFL-CIO Web site.

APWU, USPS Reach Tentative Agreement on New Contract

APWU News Bulletin 01-2011, March 14, 2011

The American Postal Workers Union and the U.S. Postal Service have reached a tentative agreement on a new contract, union President Cliff Guffey announced today.

“Despite the fact that the Postal Service is on the edge of insolvency, the union and management have reached an agreement that is a ‘win-win,’ proposition,” he said.

“Throughout the bargaining process, the union has sought to negotiate a contract that would be fair to our members and that would enable the USPS to succeed in the future,” he said.  “The tentative agreement accomplishes those goals. [Full Story]

APWU President Cliff Gufffey announces we have a tentative agreement.

Guffey: USPS Will Have to Do Better

APWU Web News Article 132-2010, Nov. 18, 2010

Postal Service negotiators continue to express interest in APWU contract proposals, “but so far have failed to put anything in writing,” APWU President Cliff Guffey reported to the Rank and File Bargaining Advisory Committee on Nov. 18.

At a morning bargaining session, management representatives re-

APWU President Cliff Guffey briefs the union’s Rank and File Bargaining Advisory Committee on Thusday.

Postal Service negotiators continue to express

hashed their previous oral statements, he said. “If they expect to get an agreement, they will have to do better.”

“We want to see everything in writing,” the union president said.

“Work and stability remain our paramount concerns.”

[more 2010 contract negotiations news]

Above Photo: APWU President Cliff Guffey briefs the union’s Rank and File Bargaining Advisory Committee on Thursday.

Follow Contract Negotiations on Facebook, Twitter

APWU Web News Article 126-2010, Nov. 12, 2010

With the Collective Bargaining Agreement scheduled to expire Nov. 20, the APWU will post frequent updates about the status of negotiations. To stay informed about late-breaking developments, union members can visit www.apwu.org, or they can follow the union on Twitter and Facebook.

To receive text-message notifications when updates are posted, union members can establish a free Twitter account at www.twitter.com. Once the registration process is complete, account holders should search for “apwunational,” and click the “follow” button. Members can then choose to receive text message alerts when the union has posted an update. In addition, members can visit www.twitter.com/apwunational for the latest news.

The APWU will also be posting updates on its Facebook page frequently. To join the many APWU members, officers, and supporters who are already “fans” of the union, members with Facebook accounts can search for “APWU,” or may access the union’s page directly by typing in www.facebook.com/APWUnational. Members may then click “Like” to join the group and view the union’s recent posts.

Second Early Out Payment Scheduled for Oct. 29

APWU Web News Article 116-2010, Oct. 19, 2010

Former postal employees who retired or separated from the Postal Service in 2009 as part of the negotiated Early Out Incentive agreement are entitled to receive an additional $5,000, tentatively scheduled for Oct. 29, 2010.

Those who participated in the retirement incentive program received $10,000 as part of the agreement in 2009. The final $5,000 payment is scheduled to coincide with the Pay Period 22 payroll.

Checks will be mailed with other paychecks from the Postal Data Center to the local office where eligible retirees were employed. Those who choose to retrieve their checks in person should contact the office in advance to determine where they should report. Those who prefer to have checks mailed to their current address should provide a written, signed request to the highest-ranking postal official at the installation where they were employed.

Retirees are encouraged to join the APWU Retirees Department to stay in touch with postal friends and retirees; learn more about retiree benefits and issues, and assure and protect benefits. To join, visit the Retirees Department Web page for an enrollment form, or download one at www.apwu.org/dept/retiree/retjoinform.pdf.

Crucial Postal Bill Clears First Hurdle

APWU Web News Article 071-2010, July 22, 2010

Legislation to restore financial stability to the Postal Service cleared its first hurdle July 21 when the House postal oversight subcommittee approved H.R. 5746. The bill, which was introduced by Rep. Stephen Lynch (D-MA) on July 15, would alter the methodology for allocating the Postal Service’s share of pension costs for employees whose careers spanned the former Post Office Department and the USPS.

“This is an important first step,” said Myke Reid, APWU Legislative and Political Director, “but we still have a long way to go.” The bill must be considered by the full Oversight and Government Reform Committee before it can be voted on in the House.  (Full Story)

Union Urges Affected Workers To Complete NRP Questionnaire

APWU Web News Article 068-2010, July 15, 2010 

(07/15/10) To strengthen the fight against the Postal Service’s harsh National Reassessment Program (NRP), the APWU is encouraging limited-duty and permanent-rehabilitation employees to complete a questionnaire sponsored by a law firm that has filed a class-action complaint against the USPS. The complaint alleges that the NRP discriminates against disabled employees. The NRP, which was initiated nationwide in 2006, “is part of an aggressive campaign by the Postal Service to reduce costs by denying work to injured employees,” said APWU President William Burrus. “The union has fought the program every step of the way,” he said. [full story]

OSHA Safety Citations Update OSHA Fines USPS for Safety Violations at Minneapolis MPC

(06/29/10) Adding to the growing number of safety citations issued to the Postal Service in recent weeks, the Occupational Safety and Health Administration (OSHA) fined the USPS $210,000 for exposing employees to electrical hazards at the Eagan, MN Processing and Distribution Center (P&DC). OSHA issued the Postal Service citations for “severe and ongoing” violations at the facility. Inspectors found employees working on live machinery without proper equipment or training, exposing them to the risk of electric shock.

[full story] | [USPS Also Cited for Violations at Southern Maine PDC]

APWU Offers Pins to Commemorate Postal Strike

APWU Web News Article 040-2010, May 7, 2010

40th Anniversary Pin

To honor more than 200,000 postal workers who participated in the Great Postal Strike of 1970, the APWU invites union members to purchase lapel pins that commemorate the 40th anniversary of the illegal work stoppage. Proceeds from sales of the pins will benefit the union’s Committee On Political Action (COPA).

Members can order the pins online at http://www.apwustore.org/ for $15 apiece. They also will be available at the 20th Biennial National Convention, which will take place on Aug. 23-27 in Detroit. The circular pins are gold and embellished with shiny stones.

In March 1970, postal workers across the country began an eight-day unauthorized strike, risking their jobs, their pensions, and their freedom. Their actions halted mail service and sparked significant changes in the lives of postal workers, politics, and the nation’s postal service. Less than a year later, five unions merged to form the APWU.

Because sales of the pin will benefit COPA, payment cannot be made from the funds of local or state organizations. Only personal checks, personal credit cards, or money orders will be accepted.

OSHA Cites USPS for Safety Violations in Denver Findings Occur Just Days After Citations Issued in Providence

APWU Web News Article 039-2010, May 5, 2010

Five days after the Occupational Safety and Health Administration (OSHA) issued citations and fines of more than a half-million dollars to the Postal Service for safety hazards in Providence, RI, the agency charged the USPS in Denver with similar violations. The Postal Service willfully exposed workers to serious and potentially fatal hazards, including shock and electrocution, at the Denver BMC, OSHA said. The agency issued additional fines of $217,000.

The safety violations [PDF] in Denver mirror the hazards found at the Providence facility, and support APWU claims regarding the Postal Service’s failure to adhere to OSHA electrical safety standards.

In four “willful” violations, inspectors found postal employees working on equipment they were not familiar with and properly trained to maintain; on machinery with exposed, live parts that were not de-energized; in areas with potential electrical hazards; and without protective equipment for the eyes and face, exposing them to injury from electric arcs, flashes, or flying objects. These violations accounted for $210,000 in fines.

The remaining $7,000 fine was associated with a serious safety violation in which safety signs, symbols, or accident prevention tags were not used to warn employees about potential electrical hazards.

OSHA inspections of the facility were conducted between Nov. 2, 2009, and April 22, 2010, after the APWU Denver BMC Local filed a complaint. The local acted in response to a request from Industrial Relations Director Greg Bell, who urged local presidents to file complaints with OSHA regarding the Postal Service’s failure to comply with electrical safety regulations.

The APWU expects more safety violations to be issued by OSHA in the coming weeks. Check http://www.apwu.org/ for updated information.

PRC Report Finds Excessive Postage Discounts

(03/30/10) Confirming charges the APWU has made for more than a decade, the Postal Regulatory Commission (PRC) concluded on March 29 that the Postal Service grants excessive postage discounts to large mailers. The USPS suffered a loss of $3.8 billion in Fiscal Year 2009. The PRC’s Annual Compliance Determination (ACD) identified 30 types of worksharing discounts that exceed USPS savings when work is performed by large mailers. [full story]

APWU Urges Members To Support Six-Day Mail Delivery

APWU Web News Article 019-2010, March 8, 2010

The APWU is asking union members to contact their U.S. Representatives and encourage them to co-sponsor House Resolution 173, which urges the Postal Service to continue to provide mail delivery six days per week.

The resolution, which was introduced by Rep. Sam Graves (R-MO), expresses the “sense of the House of Representatives that the United States Postal Service should take all appropriate m

easures to ensure the continuation of its six-day mail delivery service.” The Postal Service is asking Congress to reduce the number of mail delivery days required by law from six days per week to five.

In a message to legislative activists, Legislative and Political Director Myke Reid warns that, if accepted by Congress, five-day delivery would begin a “death spiral” for the USPS. “In addition to the thousands of jobs lost, there will undoubtedly be an erosion of confidence in the Postal Service’s ability to provide the services the public relies on.”

“Mail delivery is not only a vital part of the national economy, but also provides the timely delivery of needed goods and services to all segments of society,” the message notes.

“People currently depend on the Postal Service to provide those services, and if we don’t, they will find someone else who will,” Reid cautions.

Workers in Small Offices We Want to Hear From You

APWU Web News Article 001-2010, Jan. 5, 2010

Postal employees in small offices whose hours have been reduced while managerial hours have been increased are being asked to complete and return a union-sponsored questionnaire [PDF] on the subject. Work-hours for part-time flexible clerks at many small offices have been slashed, APWU President William Burrus noted in a column in the January/February issue of The American Postal Worker magazine.

The National Agreement limits management’s right to shift work from clerks to other employees, Burrus wrote, but management continues to violate arbitrators’ rulings on the issue. “While the APWU-USPS contact recognizes the right of supervisors and postmasters to perform bargaining-unit work in small offices, arbitrators have repeatedly concluded that supervisory work cannot increase at the expense of work for clerks,” he said.

“Some employees have had hours reduced to two hours per week; others have been forced to travel to distant offices; many have surrendered — and terminated their employment. In most instances, these reductions should not have taken place,” Burrus wrote.

The Postal Service persists in violating prohibitions on increasing the workload of postmasters, postmaster-reliefs, and other supervisors at the same time that clerk hours are being reduced, the union president said. The union and management have agreed that Rural Letter Carriers cannot perform clerk work (including when they are on light duty), but management often violates this ban as well.

The union has initiated a series of national-level grievances seeking to have the work returned and to make affected employees ‘whole,’ Burrus wrote.

Employees who worked at small offices between 1993 and the present are asked to complete the survey, which appears in the January/February issue of the magazine, along with a Business Reply Envelope.

Completed forms should be mailed to:

APWU Survey
1300 L Street NW
Washington DC 20005

Department of Labor to ReconsiderBush’s Last-Minute FMLA Changes

APWU Web News Article #145-09, Dec. 10, 2009

Secretary of Labor Hilda Solis announced [PDF] Dec. 7 that she is reviewing changes made early this year to regulations governing the Family and Medical Leave Act. The announcement has set off speculation that the Department of Labor will overturn revisions implemented at the very end of the Bush administration.

APWU members may recall that just four days before President Bush left the White House, he implemented several regulatory changes to the FMLA, some of which have caused problems for workers, including postal employees. The APWU was among several workers’ advocacy organizations that fought the imposition of the new rules.

Included among the changes were a narrowing of the definition of a “serious health condition,” requirements for additional medical documentation, requirements that medical evidence be provided more frequently, and permission for employers to contact an employee’s healthcare provider directly, without the employees’ knowledge or permission.

“We hope the Department of Labor will reverse policies that were pushed through just before President Obama took office,” said APWU Legislative & Political Department Director Myke Reid.

APWU President William Burrus wrote to Solis in June, saying that the Bush FMLA rules “weakened the law and made it more difficult for workers to exercise the right the legislation was designed to protect.”

The expected “new” regulations will be developed and published by November, Reid said, and the APWU’s concerns again will be shared with the Department of Labor. “Eleven months may seem like a long time, but notice must be given and a 60-day ‘comment period’ is required. We are optimistic that the subsequent review will work in our favor.”

Postal Service Relies on Incomplete Data, Discriminates Against Underserved Communities

APWU Testimony on Station Closings

APWU Web News Article #135-09, Oct. 29, 2009

An analysis of the postal stations and branches being considered for closure shows that the USPS study process “discriminates against communities with high percentages of low-income, minority and transit-dependent residents,” according to recent testimony submitted to the Postal Regulatory Commission (PRC) by the APWU. In addition, the union asserts, the Postal Service uses incomplete data to support its conclusions.

In testimony submitted to the PRC on Oct. 21, economist Anita B. Morrison and APWU steward Michael T. Barrett enumerated significant deficiencies in the Postal Service’s methodology in selecting stations for closure. The national union has intervened in proceedings before the commission, which is preparing to issue “an advisory opinion” on the station-and-branch initiative.

Morrison’s testimony [PRC 10-21-09 Morrison - PDF] provided statistical evidence that the USPS plans would most severely impact communities where the postal services are needed the most — low-income neighborhoods where computer use is relatively low and where residents are especially dependent on public transportation.

More than three out of four stations — 287 of 371, or 78 percent — under consideration for closure have median household incomes below the national average, Morrison testified, and 41 percent have incomes below $20,000. These households are most likely to be affected by the inconvenience and cost of accessing more distant post offices, she said.

Pointing out that post offices in more well-to-do areas were less likely to be considered for closure, Morrison wrote: “This suggests that the process favors postal stations in more affluent neighborhoods.”

She also noted that “closure of a branch post office can have significant negative impacts on local business districts,” particularly in walkable neighborhoods that are critical to reducing America’s dependence on cars.

Morrison criticized the Postal Service’s procedures for gathering public input. “USPS currently gathers information from interested stakeholders without a specified forum for sharing initial feedback with the public,” she wrote. “In addition, the feedback represents a reactive rather than pro-active approach. Expanding the methods of soliciting feedback and adding other affordable feedback options could greatly improve this process.”

Incomplete Data

Testimony by Michael Barrett, of the Buffalo (NY) Local, [PRC 10-21-09 Barrett - PDF] asserts that the USPS uses incomplete data to support its conclusions, and overlooks information that would offer a more accurate indication of cost savings and the impact of closures on nearby stations and branches.

“The current analysis of cost savings performed by the Postal Service is cursory at best,” Barrett said. Many transactions currently performed at stations slated for closure will migrate to other postal facilities, he said, and so will the costs associated with them.

In addition, he noted, “The Postal Service calculates the total salary and fringe benefits costs associated with employees of stations or branches under study and considers this entire total to be savings to the Postal Service.” These costs will continue at other facilities, he said, and must be considered in USPS evaluations.

The data necessary to more accurately measure these costs is readily available to the USPS using current resources, Barrett testified.

USPS studies fail to accurately analyze the ability of nearby facilities to accommodate the migrating business, he said. “Where a neighboring station or branch does not have sufficient space for a separate box section dedicated to the closed station or branch,” Barrett’s testimony noted, “the closing will initially turn the entire volume of arriving box mail into Undeliverable As Addressed (UAA) mail. ... It is obvious from the UAA costs reported [by the USPS] that these additional processing costs are not insignificant.”

This should be accounted for in each USPS discontinuance study,” the APWU steward testified. “Yet despite the ready availability of the information needed to determine the additional processing costs,” the Postal Service does not appear to consider them at all.

Commenting on the testimony, Assistant Clerk Craft Director Mike Morris said, “Barrett and Morrison made important points about the consequences of USPS plans to close hundreds of stations and branches. We should share these conclusions with elected officials and other community leaders.”

Morris and APWU Vice President Cliff Guffey are coordinating the APWU’s response to the Postal Service’s Stations and Branches Initiative. A “tool kit” [PDF] to assist locals fighting the closure of stations and branches is available in the “Members Only” pages at www.apwu.org.

Union Negotiates Monetary IncentiveFor Retirements, Separations

Moratorium on Excessing Through Oct. 9

APWU Web News Article #099-09, Aug. 25, 2009

APWU-represented employees who retire or separate on or before Nov. 30, 2009, will receive a monetary incentive of $15,000, in accordance with an agreement negotiated by the union. The incentive will be paid in two installments to eligible employees.

“This agreement achieves a long-standing objective of the APWU,” said union President William Burrus
.
The incentive will be offered to eligible career full-time employees who terminate their service through regular retirement, Voluntary Early Retirement, or voluntary separation. (Eligible PTR and PTF employees will receive proportional percentages of the incentive.)

To qualify for regular retirement, employees must have at least 30 years of service and be age 55; must have at least 20 years of service and be age 60, or must have at least five years of service and be age 62.

To qualify for early retirement, employees must have at least 20 years of service and be 50 years of age or must have 25 years of service at any age. (The annuity is reduced for employees covered by the Civil Service Retirement System [CSRS] by 2 percent for each year employees are under age 55.)

Employees who do not qualify for regular or early retirement but wish to receive the incentive may resign.

Not covered by the agreement are employees who were issued a notice of discharge on or before Aug. 24; MPE 9s, ET 10s, and ET 11s who cannot be replaced without training; Operating Services employees; employees in the Accounting Services section of the IT/ASC bargaining unit, probationary employees, and Transitional Employees.

Eligible full-time employees may, at their option, end their service on or before Sept. 30, or they will be assigned a date of Oct. 31 or Nov. 30 by management, based on operational needs. Employees will be paid $10,000 within two pay periods after separation, and will receive an additional $5,000 on Oct. 29, 2010. Part-time employees will be assigned a date of Nov. 30.

Negotiations over the agreement, which was finalized Aug. 24, took two months, Burrus said. “Our goal was an incentive of 50 percent of a year’s salary. Because of the difficult economic times, however, the agreement had to be structured to avoid adding to the deficit. Nonetheless, we feel that the settlement will provide a modest incentive to employees to end their service.

“The USPS financial condition is precarious,” Burrus said. “The congressionally-imposed obligation to pre-fund the retirees’ health insurance fund has caused tremendous deficits over the last two years, and without legislative relief, improvement is not in the forecast.

“Management has been forced to reduce costs, but unfortunately, the cuts have been applied disproportionally to bargaining-unit employees, especially to those in mail processing,” the union president said.

“Because our contract prohibits layoffs, the only means for cutting work hours have been to reassign full-time employees and to reduce the hours of PTFs,” Burrus noted. “Excessing and work-hour cuts cause severe hardships for our members,” he said, “so finding a way to make voluntary complement adjustments became an urgent matter.”

There will be a moratorium on excessing from Aug. 24 through Oct. 9 to allow time to assess the vacancies created by the retirements and separations. During this period, excessing notices that have already been issued will be reviewed.

If more than 25,000 employees indicate they wish to accept the offer, the parties will discuss implementation, based on a proportion of the number of employees in the complement of the APWU and Mail Handler crafts. Mail Handlers are expected to receive an offer virtually identical to the APWU-negotiated agreement.

The agreement includes the following:

• There will be a $10,000 payment to eligible full-time employees who terminate their service through regular retirement, Voluntary Early Retirement, or voluntary separation, to be paid as soon as administratively possible, but no later than two pay periods after separation;
• Each full-time employee who terminates employment also will receive a $5,000 payment on Oct. 29, 2010;
• Part-Time Regular and Part-Time Flexible employees who terminate their service will receive a proportional percentage of the $10,000 and $5,000 incentive, as follows:

Number of Paid Hours ...................Percent of Incentive Payment

Under 520...............................................................................25
520 and under 1020...............................................................50
1020 and under 1520..............................................................75
1520 and over............................................................................100

The agreement applies to all non-probationary career postal employees in the APWU bargaining unit employees, including employees in the Clerk Craft, Maintenance Craft, Motor Vehicle Services Craft, mail equipment shops, material distribution centers, occupational health nurses, with the following exceptions or limitations:

• Employees who were issued a notice of discharge on or before Aug. 24, 2009, are excluded;
• MPE 9, ET 10, and ET 11 employees will be eligible if the residual vacancy created as a result of their retirement or separation can be filled by a qualified employee who does not require additional training to fill their vacancy;
• Operating Service employees are not eligible;
• Employees in the Accounting Services section of the IT/ASC Collective Bargaining Agreement are not eligible.

For the full text of the agreement, click here [PDF].