OIG Says USPS Relocation Rules Were Not Violated In Purchase Of Employee’s Million Dollar Home
The OIG responds to a request by Senator Charles Grassley, Ranking Member of Committee on Finance (PDF) to evaluate USPS’ relocation benefits program.
Based on review of the documentation associated with this relocation action, as well as controlling regulatory authority, the Office of Investigations did not substantiate the allegation that relocation rules were violated. U.S. Postal Service Handbook F-15 Part 3, Relocation, issued March 2002 and in effect at the time of the relocation in question, addresses relocation benefits for non-bargaining employees. This policy provided no ,limit on the purchase price the Postal Service could be obligated to pay.
While Postal Service relocation benefits are generally comparable to other federal and private sector companies, the benefits it provides to relocating employees are very costly to the Postal Service. In calendar year 2008, the Postal Service spent $73 million for relocations that occurred during this time period were exorbitant. IN one instance, the Postal Service paid over $1.9 million to relocate a vehicle maintenance program analyst interstate. The majority of this cost came from a $1.7 million loss on the sale of this employee’s home. IN another instance, as cited by the national media and in your letter, the Postal Service paid $1.2 million to purchase and employee’s home though its real estate management firm. The home is currently under contract for $950,000, which will result in a Postal Service loss of $250,000 on the home sale.
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No Comments on OIG Says USPS Relocation Rules Were Not Violated In Purchase Of Employee’s Million Dollar Home
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nick on
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PMG Potter on
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Michael McAleer on
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Manager on
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MERI on
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management sees nothing wrong with this program. its not their money, what do they care. they also spend money needlessly on marketing firms doing surveys throughout the country. they have paid out millions for work that should be done in house.
PRICELESS
This seems completely reasonable to me. Postal managers owning million dollar homes and the PO eating losses on them for VOLUNTARY moves.
I knew I should have gone into management when they offered it to.me…oh…hindsight where were you….
Damn craft personnel! I need to hire another V.P. to look into this matter!
Of course they need to hire another VP, they need a VP over the VPs.
Hey!!! I know….Let’s abolish and excess some more employees to make up for these losses!!!
The Postal Service will pay PCES relocation benefits up to 5 years after retirement.
from the EL-380
second attempt
potter was hired to privatize the postal system. the more money lost, the easier it will be to excess craft employees and replace them with TE’s.
potter is envious of his competition’s financial situations and through clever and incompetent management will see his future be compensated.
his legacy will be” privatizing the postal system”.
his golden parachute will be in the millions.
PRICELESS
I care!
This is another program that management uses to rape the Postal service. For this agency to pay more than a million dollars for an employees home in order to get that individual to accept a transfer is ludicrous. There is no possible justification for this type of expenditure. The manager in question could not possibly be that important, or in any way make up for that expenditure with his knowledge. He may have been the most qualified for the position, but there were sure to be others qualified that wouldn’t cost the P.O. over a million dollars to sign. Most likely there would be someone in the immediate are, that would not need to transfer, who was qualified for the position, or who could have been trained for the position for considerably less money. Potter tells Congress that employee salaries, and benefits are the problem, and then turns around and pays a “signing bonus” equal to that of a professional athlete to a manager in order to fill a position. Even if no rules of this program were violated, whoever was behind the selection of this manager did not work in the best interests of the Postal Service, and needs to be officially reprimanded for this move. This program should be shelved, or at least changed to include a formula, that would require the cost of the relocation to be measured against the cost of training and promoting a local employee for the position.
How can a leader ask his employee unions to do more to “save” the Postal Service, when the management of that service is raping it for every dime they can.
Michael J. McAleer
Br 42 NALC
Jersey City, NJ
We managers deserved everything we are stealing!
alright u guys…. go check out my blog and see that not only do they have the po buying their houses but they get an additionsl $20,000 per 90 day detail!!! how many postmasters and plant managers have gone thru ur facilities @ $20,000 per trip???