USPS Suspends Employee Award and Incentive Program

Postal Service Expands Cash Conservation Initiatives

As a follow-up to the dire financial situation that has forced the Postal Service to suspend the biweekly payments of its contribution to the Federal Employee Retirement System (FERS), the Postal Service is moving forward with two new cash conservation initiatives effective July 1, 2011.  They are:

  • Suspension of discretionary awards for FY 2011.
  • Freezing of Postal Service officer and executive compensation as it relates to the Postal Service’s pay-for-performance program.

The award program for employee recognition and incentive awards is suspended until further notice and applies to all Executive Administrative Schedule (EAS) — administrative and managerial positions — and Postal Career Executive Service (PCES) — senior managers. This prohibits awarding cash, cash equivalent and non-cash tangible items intended for employee recognition. Employees represented by unions will still be eligible to receive awards as outlined in their agreements.

In addition, officer and executive compensation, as it relates to the Postal Service’s pay-for-performance program, will be frozen until further notice.

Despite significant cost reductions in areas within its control, and even with the emergency FERS action, the Postal Service needs Congress to enact legislation that would do the following to return the Postal Service to financial stability:

  • Eliminate the current mandates requiring retiree health benefit pre-payments.
  • Return Civil Service Retirement System and FERS overpayments to the Postal Service.
  • Give the Postal Service the authority to determine the frequency of mail delivery.

The Postal Service receives no tax dollars for operating expenses, and relies on the sale of postage, products and services to fund its operations.

13 thoughts on “USPS Suspends Employee Award and Incentive Program

  1. We tried that the last 4 years. Hasn’t worked too well. Go back to being a Break Even Gov. Service. Plus, no business for profit will have universal delivery.

  2. Bud or Speller?,

    Your comprehension ability leaves a lot to be desired. You see, I previously stated that I would like to see the government completely removed from the Postal Service. Let the fine men and women of the company run the company like a business without congressional involvement. Appreciate your feedback.
    BTW, work on cleaning up your language. Women and children could be reading this material. Thank you

  3. I don’t think you get it, csm. The PO used to be a break-even government service. Now it isn’t. The PO is 1.5 billion AHEAD over the last 4 years without the Postal “Reform” crap. You are the one saying “socialism” and we shouldn’t be payed except through Congress. That was the way it was before 1970 and the result was few raises and increasingly unhappy workforce.
    BTW, the PO would be WAY AHEAD over the last 4 decades, except for the Fed always shaking the extra money out because the PO has, since 1970, the only agency actually GENERATING MONEY. Finally, I resent having nitwits like you adding to the voices of millionaire Congressmen that budgets have to be fixed on my back, while the crooks that caused all this are hoarding their money like good little capitalists. You are the douchebags saying taxing a billionaires another 1% is socialsim but are calling for us in the middle class to bear the brunt of the givebacks. F you and your Corporate Welfare State.

  4. Bud,

    Never intended to offend anyone, nor did I claim to be a proficient speller. However, it appears that you got part of the message. First, let’s be clear, there are no profits and second, I never stated to give anything to the executives. Let me see if you can understand my spelling. The Postal Service is losing Billions of dollars that is spelled: B,I, L,L,I,O,N,S! Therefore, if something is not done pretty soon to stop the bleeding, there will be no Postal Service. Hence, no executives, no managers, no supervisors, and no craft employees. Hope you were able to understand my rather poor grammar.

  5. Sure, burnie, it’s all “socialism”. Give all the profits to the top execs. And we’ll get by on 2 bucks a day.
    BTW, learn how to spell if you want anyone to think you can reason anything out.

  6. Eliminate Saturday delivery. Align all pay by demographics based on location civilian counterpart occupation, and cost of living. For example, clerk in Manhattan, NY would receive higher pay than clerk in Dothan, AL. (no offense meant to Dothan!). Current pay system is tantamount to socialism where everbody gets paid the same by position across the country. Eliminate expenditures assoicated with tracking and monitoring 1st class mail performance. It’s a dinasaur and the Post Office is losing significant volume every year and will continue to do so into the future. Close insignificant offices regardless of Congressional votes that may be lost. Sell off property that is non-essential. Allow the Postal Service to have pricing flexability. Put workers compensation costs under the Congressional budget……….maybe they will do something about it. Reduce pay across the board in trying times (such as now).

  7. mismanagement scum trash on the run. who thought watching the PO mismanagement lose billions would be so fun.

    I hope they lose 50 billion next year and maybe they will layoff 40% of the overstaffed non-producing mismanagers that they should.

    this PMG Don Hoe seems a little slow in how to turn a company around…….cut them now or cut them later….but dimbulb they will have to be RIF’ed sooner or later. if you had a Harvard MBA you would know it is sooner. lmao!

    bottom line….letting them twist in the wind (unemoloyment) is good for the bottom line!

  8. What a bunch of crock . Management said years ago that they didn’t get raises . Until it was found out that they called it pay for mismangement . They get a good rating , thats the lowest they can get . Just like them scum of the earth they are . So they will just call it by another name . But nothing will change . Why not call it what it really is ? Take it up the ass award !

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