Obama Blueprint Proposes Postal Employee Benefit Cuts

March 3, 2009 by
Filed under: Benefits, NAPUS, usps, white house 

Update: Statement of NALC President William H. Young in response to provisions in the administration’s budget affecting the U.S. Postal Service
 
WASHINGTON – NALC President William H. Young issued the following statement:

“We are aware of the problem in the budget. We are working with a friendly administration to resolve it.”

eNAPUS Legislative& Political Bulletin

February 27, 2009

Yesterday, President Obama released the outline of his Fiscal Year 2010 Budget. On page 126 of the 134-page document is a reference to the Postal Service that reads, “Realign USPS employee/employer benefit contributions.” The proposal projects a 5-year cost savings to the Federal government of approximately $4.2 billion, and a 10-year savings of about $9.5 billion. A detailed explanation of the Blueprint is not currently available, and may not be on hand until early April. So, we are pushing for President Obama to revisit the Postal proposal in the interim. NAPUS and other postal employee groups have already communicated our displeasure to the White House and to Capitol Hill. Nevertheless, as it stands now, the proposal calls for USPS benefit contributions, on behalf of its employees, to be less than called for in existing union contracts and managerial consultative agreements.

The Blueprint, drafted by the White House Office of Management and Budget, reflects past attempts by the USPS to ratchet down employee compensation. For example, in September 2007, the Postal Service Office of Inspector General (OIG) suggested that the Postal Service reduce Postal employee benefits to the level afforded to non-postal federal employees. (Non-postal employees do not collectively-bargain over pay and benefits.) In addition, there were attempts to go after employee benefits in the Postal Reform Act; Congress rejected the requests then. NAPUS will aggressively argue for White House reconsideration of the proposal, or push for Congressional rejection once again.

Based upon discussions with knowledgeable Capitol Hill budget staff, the Budget Blueprint assumes that the USPS would cut its share of the Federal Employee Health Benefits Program (FEHBP) premium from 82% to 72% of the “weighted average premium” and would reduce its contribution of the Federal Employee Groups Life Insurance (FEGLI) contribution from 100% to 33%. Currently, the USPS Professional Career Executive Service (PCES) and OIG directors receive 100% FEHBP and FEGLI benefits. To get at these assumed savings, Congress would have to strip the right to collective bargaining over benefits from current law. This process is known as “Budget Reconciliation.” However, it is questionable how the Federal budget would profit from this proposal, because the benefits are NOT funded by taxpayers. In addition, the total premium remitted to the Office of Personal Management (government revenue) would not change. It would still add up to the same revenue number: the sum of the employee and the employer contributions.

It is a long way from Blueprint to Reconciliation – the protracted 2010 Budget process is just beginning. Consequently, NAPUS may recalibrate our legislative agenda for our 21-day-away Leadership Conference to deal with the Budget Blueprint, if it’s still an issue.

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No Comments on Obama Blueprint Proposes Postal Employee Benefit Cuts

  1. Schlep on Tue, 3rd Mar 2009 4:50 am

    2. Obama is for the workers…Ha Ha Ha Ha Ha…

  2. Ben Dover on Tue, 3rd Mar 2009 4:53 am

    3. So thats why our union steward gave us vaseline.

  3. Ed on Tue, 3rd Mar 2009 4:57 am

    4. regs better accept this, otherwise they’ll just hire more TE’s

  4. duh on Tue, 3rd Mar 2009 4:59 am

    5. dang, mr.president is that what i get for my campaign contributions and vote? thanx alot buddy!

  5. Dunkin on Tue, 3rd Mar 2009 5:39 am

    6. Here we go all you Obama supporters. “How do you like him now” He is for the worker!!!

  6. flstci99 on Tue, 3rd Mar 2009 6:41 am

    7. I think our fearless leader, Bill Buress, has led us down the primrose path. The APWU was the first Union to throw its support to President Obama and now it looks like he got the gold mine and we are getting the shaft. Does Mr. Buress have any credibility any longer????

  7. NotAnObamaSupporter on Tue, 3rd Mar 2009 7:56 am

    8. I’m not an Obama supporter.

    But does anyone think John McCain would have done anything better for Postal Workers?

    I recall how he suspended his campaign to rush to Washington in order to support then President Bush’ “Stimulus Spending Bill”… it was too important of an “emergency” to wait a few days on before passing it, it was so important and so great of an “emergency” that there was no time to read or debate the details of the Bill.

    Bush gave us the “TSA”
    Bush gave us the “Department of Homeland Security”
    Bush gave us the “Prescription Medication Bill”
    Bush refused to “Secure our Boarders”

    Compared to Reagan, the two Bushes were liberal socialists.

    Compared to the Bushes, McCain is a liberal socialist.

    After 8 years of GW Bush “conservatism”, the nation is groomed and ready for Obama as he is just another baby step further down the same road.

    I don’t understand why it was OK for Bush to be a closet socialist and why it is not OK for Obama to not hide it?

  8. Postal Analyst on Tue, 3rd Mar 2009 8:36 am

    9. You idiots. I personally doubt that President Obama was personally involved (or even aware) of any such reference to USPS benefit contributions.

  9. joe b. on Tue, 3rd Mar 2009 9:15 am

    10. This was put together by the number crunchers that are involved in every presidential administration. Bush had them as well and did not always support their findings in the end. Obama is about as likely to support this as a lifelong scab is likely to join their union.

  10. APWU Member on Tue, 3rd Mar 2009 2:41 pm

    11. Change we can count on???? We all had the chance to elect a leader that is truly in the corner of working men and women. That leader was Hillary Clinton. Congratulations all you Obama loving fools. Obama promised you nothing, and now we all get screwed. Way to go fools, you voted for this clown just so you can say “I elected a Black President.” Pathetic!!!!!

  11. mechman on Tue, 3rd Mar 2009 2:42 pm

    12. Did anyone really think that the UAW would have to concede the things they did and the rest of us would just chug merrily along without any of this comming our way? Look around people are losing their jobs left and right so why would mgmnt not try to come after us? Is it right…no. But don’t blame the union in fact this is the time that more people should be joining the union to contribute and help fight these things. But sadly a lot of people will just sit on the fence whining and not doing anything to help and then wonder why they lost their job.

  12. Proud Muslim on Tue, 3rd Mar 2009 2:51 pm

    13. I told you so…

  13. APWU Member on Tue, 3rd Mar 2009 3:03 pm

    14. Mechman,

    How about attacking Obama??? This scumbag is attacking the very people that elected him, and yet illegal aliens get free helath care, free welfare, and DO NOT DARE deport these people. Obama is ONE AND DONE. In 2012, it looks like another Republican to get this ass out of there. Change we need? Change we can do without! All of you YES WE CAN fools can certainly be proud now.

  14. mailman on Tue, 3rd Mar 2009 3:13 pm

    15. For those who are not familiar with western history,let me spell it out. We are on the path of becoming “serfs”. A serf was property of a Baron,Duke or any other nobleman. Pretty soon the rich with the help the government will be doing the same to us,forcing people to work 16 hours each day for a morcel of food.By the way dont’ expect your union to save you.

  15. Told You So on Tue, 3rd Mar 2009 4:01 pm

    16. “Mr. Obama is keeping his promises, just leave him alone”.

    The Great Messiah had sold you all. “CHANGE”.

    Listen guys so many of you all was so blind to see through OBAMA.

    Obama has a plan and to take down America, Just wait and see. Time will tell.

  16. Mickey on Tue, 3rd Mar 2009 5:21 pm

    17. All i can say is this SUCKS and so does our union
    They need to STAND up and fight for us instead of taking our money. What is it we are paying them for? LIFE SUCKS and then you die

  17. Mailhandler Joe on Tue, 3rd Mar 2009 6:21 pm

    18. Well that what you dumb asses get for voting and supporting this sham. All he will do is screw ya in the end. All he wants is power.Power to tell you how much you can make how much they will take and make sure you have no say in the matter. Way to fricking go dip shits

  18. retired golden boy on Tue, 3rd Mar 2009 7:25 pm

    19. With the current economy, postal employees are over paid.

    This is fair.

  19. Wise one on Tue, 3rd Mar 2009 8:07 pm

    20. Well retired golden boy, I can guarantee that you were not a craft employee that has put up with the bull that has been slung or you wouldn’t talk this way. Why don’t you go polish your silver spoon and think up some more good stuff for tommorow. I bet your ass is wide and it hurts from sitting on it for so long!!!

  20. step on Tue, 3rd Mar 2009 8:16 pm

    21. You bunch of cry babies. Grow up and get a real job. We created this monster anyway,i.e.- the Government!!! How long did you think this gravy train could last anyway. Learn to do somthing else.

  21. curse all of you on Wed, 4th Mar 2009 12:00 am

    22. Listen to all of you….Party affiliation is king huh??? Your blind faith of dem or rep is absolutly absurd! You elect these scumbags into office and they are nothing more than a bunch of lawyers….and what do lawyers do? Screw you out of money!!! They are doing what they do best…democrate or republican….it doesn’t matter…..wake up people…

  22. C.R. on Wed, 4th Mar 2009 12:23 am

    23. Okay, I agree with the previous posts, ALOT of people have lost their jobs, homes, families, savings, retirement accounts, personal items. I have as a postal employee currently Lost interest in my TSP. which really bites, It is just used as a tax shelter for me right now. Believe it or not, I still feel fortunate. However, I knew it would directly come our way sooner than later. Obama or McCain, it DOESN’T matter. We are ALL going to have to “eat” the left overs from the “big eaters” on wall street and Big bankers. THAT is the cause of this current and continuing crisis. Corporate greed and deregulations. What Obama’s proposal is, we dont exactly know, but we are sure it would be benefit reductions.How much is not stipulated, dont panic yet. As for our 6 year contract clause, I will not bet on it in our next contract. Nothing is permanent especially in these times. I always knew individually, none of us have the power to change much of anything, but collectively, we control the economy! If you look at it this way, we can control many things. Cut back, buy in bulk than share the costs with others, buy only sale items, get as much and as many medical test and procedures as you can afford for your condition, before your insurance rates go up. take care of your health. (its all we own)go to farmers markets. Do we really need 3 televisions? come on, it takes a change in attitude. Eat at home, not so much out, spend time with your families. Learn how to work on your own vehicles. the internet is FULL of how to’s. I am a female and I have learned so much about my car I take it into the garage (I dont have many tools) and I tell them what I want done. I have saved so much money its exciting. Buy your parts directly and ask your garage to install it. you’ll save over half the price of parts. Most are doing this now. In addition, many of us are smart enough to go back to school and learn a trade. The news reports are stating many people are starting businesses from home. Dont be complacent. If the post office wants us to perform for a pittance, we’ll have a choice. I say NO!

  23. Postal Doc on Wed, 4th Mar 2009 8:11 am

    24. What’s wrong with you guy’s, history continues
    to repeat itself.. You all forget Reagan forcing
    a take out ( illegally) Medicare out of our
    paychecks at $45.00 a paycheck.. You can’t use
    it , you can’t claim it.. It’s like betting the
    10 horse in a 9 horse race.. Forever the P.O.
    is federal when it’s bad but when it’s good
    we are not federal..
    Just remember your union & there pleas for
    Copa , how has that worked to benefit us..I
    can’t thing of anyway it has.. In fact besides
    protecting workers with poor sick time & bad
    attitudes what has the union done to help us..
    With all the so-called cutbacks , there will
    once again be supv training classes to make
    more supv’s.. These are the son’s & daughters
    of the people who have run this company into
    the ground by poor spending & bad judgements..
    Bottom line we don’t have a say as we will
    never ever have the backing of the public ..

  24. Copus COPA on Wed, 4th Mar 2009 3:06 pm

    25. Sure glad that all my COPA contributions went to Obama!

  25. Dan the Mailman on Wed, 4th Mar 2009 3:30 pm

    26. Thats why I don’t give to COLCPE BECAUSE it doesn’t matter

  26. mechman on Wed, 4th Mar 2009 4:13 pm

    27. Yeah boy the Union really sucks. I mean if we would just disband the union and leave everything in the hands of management we would be so much better off. I mean they don’t try to take away our benefits every time the contract comes up it’s the union who propses that. It’s the union who proposes that we give back some of our hourly wages and it’s the union who proposes that we rescind the no lay off clause. You people who blame the unions for what you have will really miss it when, because of no support, management takes it all away. Do you really think that the union isnt fighting for you? Do you really think the union sucks? If you do then I’d like to see you at the front of the line when they ask for volunteers to give back your union won wages and benefits. Everyone will have to make concessions….The UAW and us included. If you can’t see that then maybe you need to read a newspaper and see how bad it is before you complain about how bad you have it

  27. ApeMan on Thu, 5th Mar 2009 4:41 am

    28. Hey, how ’bout those Dodgers!

  28. Artie choke on Thu, 5th Mar 2009 7:10 am

    29. This may choke Stymie but it wont choke Obama

  29. Wolfe on Thu, 5th Mar 2009 8:36 am

    30. What does the color of the current presidents skin have to do with the budget?

    Some people will believe anything they read. OPEN YOUR EYES!

  30. republican postal worker on Thu, 5th Mar 2009 10:56 am

    31. Wow, what do you think of him now UNION…..

  31. mechman on Thu, 5th Mar 2009 8:10 pm

    32. Yeah what do you think of him now that they came out with an article saying contrubutions won’t be raised by this budget. What a bunch of losers. Yeah those copa contributions and the union backing him boy oh boy that was a big mistake. Suck on that one for a while.

  32. A%%hole on Fri, 6th Mar 2009 5:22 am

    33. republican postal worker, why don’t you just quit? you shouldn’t be even working at the socialist post office, should you? F#$king hypocrites.

  33. Postal Idiot on Sat, 7th Mar 2009 3:34 am

    34. God Damn, the Pusher Man..

  34. CHANGES BEGIN on Sat, 7th Mar 2009 1:49 pm

    35. CHANGES ARE ALSO COMINGS FOR ALL POSTAL EMPLOYEES. PAY CUT AND HIGH PREMIUM RATES FOR HEALTH BENEFITS AND NO MATCH ON TSP. HOPEFULLY, UNIONS REFUSED TO AGREE TO OBAMA PLANS AND HE PRIVATIZED IT.

  35. Archie Bunker on Sun, 8th Mar 2009 2:35 am

    36. Wow!
    I’ll bet were all glad that the unions all supported Bareback Yomamma now! Good Job BURASS for encouraging everyone. And you guys thought Bush was bad, HA! He wants to cut your bennies and he hasn’t been in office 100 days yet! Change we can believe in! Yeah, right…

  36. Meathead on Sun, 8th Mar 2009 5:09 am

    37. There are all of you Republikkkans again. You should be willing to not have benefits. I thought that was all that socialist nonsense. You F@#KING hypocrites.

  37. Topsy Turby on Thu, 2nd Apr 2009 10:17 am

    38. Don’t get suckered into this. The President is union friendly and health wise. After all his wife is a medical attorney. How quickly we fall for the proganda. It’s by design to divide us. We need to stand together and not panic. Write your congressmen. Craft workers are the back bone of the postal service. They cannot survive without us. But thinking about it I would love to see Potter delivering the mail. That would be a true Kodac moment!!!!