Statement from Rural Carriers Union On 21st Century Postal Service Act
NRLCA President Jeanette Dwyer Issues Statement on 21st Century Postal Service Act of 2011
Alexandria, VA, November 2, 2011—NRLCA President Jeanette P. Dwyer has issued the following statement responding to legislation introduced in the United States Senate, the “21st Century Postal Service Act of 2011.” The bill was introduced by Senator Joseph Lieberman (I-CT), Chairman of the Homeland Security and Governmental Affairs Committee, and Ranking Member Susan Collins (R-ME), along with Subcommittee Chairman of the Federal Financial Management, Government Information, Federal Services, and International Security Tom Carper (D-DE) and Ranking Member Scott Brown (R-MA). The postal legislation would affect rural mail delivery nationwide. Read more
NRLCA Elects Jeanette P. Dwyer as First Female National President
ALEXANDRIA, Va., Oct 11, 2011 (BUSINESS WIRE) — Jeanette P. Dwyer, a 30-year career postal employee, has been elected the first female national president in the 108-year history of the National Rural Letter Carriers’ Association (NRLCA). The election was held during the union’s 107th National Convention in Savannah, GA.
Dwyer, a native of Waccamaw, NC, leads a union with more than 106,000 members who serve as post offices on wheels. Rural letter carriers perform the same work as city letter carriers, but in their own vehicles from which they sell postal products. They also work under a different collective bargaining agreement that requires annual route examinations to ensure rural carriers deliver the maximum amount of mail each work day. Read more
Postal Supervisors will join unions September 27, 2011 in effort to save USPS
The leadership of the National Association of Postal Supervisors (NAPS) has agreed to join forces with the four postal unions representing employees of the Postal Service to designate September 27, 2011 as a day of action to Save America’s Postal Service.
Together, NAPS, the American Postal Workers Union, the National Association of Letter Carriers, the National Postal Mail Handlers Union and the National Rural Letter Carriers Association will rally in every congressional district in the country to concentrate our efforts to build support for H.R. 1351, a bill introduced in the House by Representative Stephen Lynch (D-MA). Read more
Report: Rural Letter Carriers Union Passes New National Steward System
From PostalReporter.com reader:
Today at the National Rural Letter Carriers Association (NRLCA) national convention the delegation passed the proposed national steward system.
Posted: 18 Aug 2011 at 4:25am
Basically, State, Assistant state, and Area stewards will become employees of the national association and will be trained and paid by national. They will represent the postal districts that they are in, instead of the states. State stewards will become district representatives, asst.’s will become asst. district representatives, and area stewards will become area district representatives. Locals will stay the same, although they will be trained by the nat’l association I believe (probably by the District Representative like it is now). Dues will go up in some states, depending on how much of their budget they spend on the steward system. National will spend alot more but the state organizations will not have to spend money on the steward system anymore. In my state, dues will go up only about $4/ pay period. Some states less, others more.
USPS: New Labor Contract Saves $3.8 Billion
Extends Flexibility to Adjust to America’s Changing Mailing Trends
WASHINGTON — It’s official. The American Postal Workers Union (APWU) AFL-CIO ratified March 14 tentative labor contract agreement with the U.S. Postal Service that will save the nation’s mail system $3.8 billion over the four and a half year life of the contract that becomes effective today.
“This contract serves as a testament to the commitment the American Postal Workers Union has to its membership and to preserving the future of the Postal Service,” said Postmaster General Patrick R. Donahoe. “We worked together to negotiate a responsible agreement that is in the best interest of our customers, our employees and the future of the Postal Service. It offers short-term cost relief, structural changes to future labor costs and enhanced workforce flexibility to adjust to America’s changing mailing trends.”
“I am pleased that we were able to negotiate a contract that will strengthen the Postal Service for the future and protect the job security of union members so that we can better serve the American people,” said APWU President Cliff Guffey. “The new contract accomplishes those goals,” he added, “and it shows that public-employee unions and their employers can make collective bargaining work — even when faced with a financial crisis.”
The contract, which is effective May 23, 2011, through May 20, 2015, is a cornerstone for the Postal Service to achieve short-term cost relief, structural changes and enhanced workforce flexibility.
Short-term cost relief
The contract includes a wage freeze for the first two years, with low wage increases over the life of the contract (ranging from 0 to 1.5 percent), totaling 3.5 percent. Cost of living adjustments (COLAs) are eliminated in the first year, deferred in the second to the third year and resumed thereafter.
Structural changes
The agreement establishes a new career pay schedule that on average is permanently 10.2 percent lower than the current pay schedule. It also allows for significantly increased use of non-career employees from the current level of 5.9 percent to 20 percent in clerk craft and 10 percent in maintenance and motor vehicle craft function. As the Postal Service moves to greater use of non-career employees, which will happen as current APWU employees retire, the Postal Service will not be incurring long-term liability costs for retirements and other benefits.
Enhanced workforce flexibility
The contract introduces completely new scheduling flexibility for career employees; rather than working 8 hours a day for 40 hours a week, the Postal Service can schedule employees for irregular shifts with hours totaling between 30 and 48 hours per week. Employees will contribute additional amounts to health care premiums; employer contributions to health care will equal 76 percent at the end of the contract.
The agreement is a key component in the Postal Service’s strategy to address its dire financial condition. Other components include aggressive cost-reductions in excess of $12 billion over the last four years. The postal workforce has been reduced by more than 112,000 employees in the same time frame, through consolidating mail-processing facilities and reducing the Postal Service retail facility footprint.
Nearly 205,000 employees represented by the APWU generally work as clerks, mechanics, vehicle drivers, custodians and in some administrative positions.
Negotiations with the National Rural Letter Carriers’ Association (NRLCA) came to an impasse upon the contract’s Nov. 20, 2010, expiration; however, discussions between the parties continue. If those discussions do not result in a negotiated resolution, the parties will continue to follow the current agreement until a third party determines the outcome of a new contract. Unlike in the private sector, when negotiations come to an impasse, federal employees are not permitted to strike. An arbitrator determines the final outcome and is not legally required to consider the Postal Service’s financial obligations when rendering a decision.
Employees represented by the NRLCA deliver mail in primarily rural and suburban areas. The NRLCA represents 67,000 career employees and 48,000 non-career employees who substitute for career employees on their days off. Employees represented by both unions received more than $20 billion in wages and benefits last year.
Two other unions represent most other postal employees. More than 203,000 employees represented by the National Association of Letter Carriers, AFL-CIO (NALC) deliver mail in metropolitan areas, and 48,000 employees represented by the National Postal Mail Handlers Union, AFL-CIO (NPMHU) work in mail-processing plants and Post Offices.
The NALC and NPMHU begin negotiations this year approximately 90 days prior to the midnight Nov. 20, 2011 contract expiration date. For additional background information on labor negotiations and the Postal Service’s workforce, please click on these links: Labor Negotiations and Workforce.
USPS Puts Hold On Proposal To Expand Ability To Subcontract Rural Routes
The U.S. Postal Service has withdrawn a proposal that “would have expanded its ability to subcontract rural routes to contract delivery service,” according to an announcement this week by the National Rural Letters Carriers’ Association. The decision “came after extensive discussions” between the NRLCA and Postmaster General Patrick Donahoe, as well as other postal officials, according to the release on the union’s web site.
“We have tabled the issue while we are in the process of resolving a labor contract,” Postal Service spokesman Mark Saunders said via email, when asked for confirmation of the union’s claim.
full story: Federal Times
APWU, Postal Unions Urge Obama To Fix USPS Pension Overfunding
The APWU and other postal unions and management associations have asked President Barack Obama to take “immediate action to save almost 100,000 good, middle-class jobs and stabilize the financial condition” of the Postal Service.
“A healthy postal system is critical for a healthy U.S. economy,” the organizations wrote [PDF] on Jan. 12.
“The financial problems facing the Postal Service were made significantly worse by a Bush-era mandate that the agency pre-fund nearly 80 percent of its future retiree health care obligations by 2016 at a crushing cost of $5.5 billion per year… No other agency or company in America is required to pre-fund such obligations at all, much less on such an accelerated schedule,” the organizations wrote.
Had it not been for these payments, the Postal Service would have experienced a $611 million profit over the past four years — despite the recent recession and competition from the Internet, the letter notes. The USPS experienced a deficit of $8.505 billion in Fiscal Year 2010, and anticipates a deficit of $6.4 billion in Fiscal Year 2011.
A Sound Solution
“Fortunately, there is a sound policy solution to this pre-funding burden,” the letter says. “The Postal Service should be permitted to use the surplus in its two pension funds — the Civil Service Retirement System and the Federal Employees Retirement System — to cover the cost of its future retiree health obligations.” Three independent actuarial studies have confirmed the USPS has a surplus of between $50 billion and $75 billion in its CSRS pension account, and $6 billion to $7 billion in its FERS account.
As the letter notes, however, the Office of Personnel Management (OPM) maintains the position it first adopted during the Bush administration: That Congress must authorize the actuarial methods proposed by the studies. OPM claims that laws passed in 1974 and 2003 require the unfair methods that are currently used, even though those laws were repealed by the Postal Accountability and Enhancement Act of 2006.
The chief authors of the 2006 law, Sen. Susan Collins (R-ME) and Sen. Tom Carper (D-DE), have argued that OPM has the authority to adopt fair and accurate actuarial methods for allocating postal pension costs.
“Since OPM refuses to exercise this authority,” the letter says, “we urge you to use your authority as President to direct it to do so.”
“The financial crisis facing the Postal Service in 2011 is a daunting one, but unlike so many challenges facing the nation today, there is a feasible and responsible answer to this short-term crisis,” the letter says. “The Postal Service can avoid short-sighted and self-defeating cuts in service to the American people without a penny in taxpayer support if you take the actions we request.”
The letter was signed by APWU President Cliff Guffey; Frederic V. Rolando, president of the National Association of Letter Carriers; Don Cantriel, president of the National Rural Letter Carriers Association; John F. Hegarty, president of the National Postal Mail Handlers Union; Louis M. Atkins, president of the National Association of Postal Supervisors; and Mark W. Strong, president of the National League of Postmasters of the United States.
U.S. Postal Service Labor Negotiations Fact Sheet
Overview
* The Postal Reorganization Act authorizes collective bargaining on wages and working conditions, generally under laws applying to private industry. As the Postal Service is an essential service to the nation’s economy, Congress mandated that employees represented by unions cannot strike. Impasses in collective bargaining negotiations may ultimately be resolved through arbitration.
Current Operating Environment
* Mail volume peaked at 213 billion in 2006. Since 2007 mail volume plummeted 35 billion pieces — 20 percent. By 2020, mail volume is expected to decline to 150 billion.
* Many mail processing plants previously operated three, eight hour shifts, seven-days-a-week. Today, many facilities have reduced operations to two eight-hour shifts operating five- or six-days a week.
* Seventy-eight percent of Postal Service costs are linked to wages and benefits.
* To remain relevant while meeting today’s changing mailing trends, the Postal Service must manage its labor costs by matching workforce to workload.
* The Postal Service’s goal is to negotiate a contract that’s fair to its customers and its employees while meeting its financial and operational needs.
Negotiations Process
The collective bargaining process for the Postal Service may entail a three-step process: negotiation, mediation and interest arbitration. The parties may negotiate a contract at any of the three steps in the process.
Step 1: The negotiations period begins approximately 90-days prior to the expiration of the contract. During this time, the parties try to reach agreement themselves. If they reach a tentative agreement, it must then be ratified by a vote of the union membership.
Step 2: If they cannot reach agreement, a federal mediator is appointed by the Federal Mediation and Conciliation Service (FMCS), unless both parties waive mediation. If no agreement is reached with the mediator, or if the parties waive mediation, the contract goes to impasse.
Step 3: The impasse proceeds to final and binding interest arbitration. In interest arbitration the dispute goes before a three-member panel. The panel consists of a neutral arbitrator serving as chairperson and two arbitrators representing each party. The neutral arbitrator may be selected by agreement of the parties, or from a list provided by the FMCS.
Employee Unions
Most hourly employees are represented by four unions. The American Postal Workers Union AFL-CIO (APWU) represents employees who work as clerks, mechanics, vehicle drivers, custodians and some administrative positions. Employees represented by the National Association of Letter Carriers, AFL-CIO (NALC) deliver in metropolitan areas; National Rural Letter Carriers’ Association (NRLCA) employees deliver primarily in rural and suburban areas; and, employees represented by the National Postal Mail Handlers Union, AFL-CIO (NPMHU) work in mail processing plants and Post Offices.
Union Employees Contract Expiration
APWU 211,000 midnight, Nov. 20, 2010
NALC 207,000 midnight, Nov. 20, 2011
NRLCA 67,000 career
48,000 non-career midnight, Nov. 20, 2010
NPMHU 49,000 midnight, Nov. 20, 2011
In addition to the four major unions, five other bargaining units collectively cover more than 1,100 employees representing nurses, police officers, Information Technology and accounting services, headquarters maintenance employees and machinists.
Contract negotiations for the NRLCA begin Sept. 13, 2010. The NALC and NPMHU begin negotiations next year approximately 90-days prior to the contract expiration date.
Postal Service Begins Rural Letter Carrier Contract Negotiations
Successful Negotiations Crucial to Postal Service’s Future
WASHINGTON — The U.S. Postal Service, faced with the most dramatic mail volume drop in its history, today began contract negotiations with the National Rural Letter Carriers Association (NRLCA). The current contract expires at midnight, Nov. 20.
Employees represented by the NRLCA primarily deliver mail in rural and suburban areas. The NRLCA represents 67,000 career employees and 48,000 non-career employees who substitute for career employees on their days off.
“The drop in the economy coupled with the shift to digital communications has created the greatest loss in mail volume since the Great Depression,” said Anthony Vegliante, chief human resources officer and executive vice president.
Mail volume peaked at 213 billion pieces in 2006 and plummeted to 177 billion last year. By 2020, mail volume is projected to drop to 150 billion pieces. In 2009 wages and benefits represented 78 percent of total operating costs — $56 billion.
Because Congress designated the Postal Service as an essential service to the nation, if negotiations come to an impasse, postal employees are not permitted to strike. Unlike the private sector, an arbitrator determines the final outcome and is not legally required to consider the Postal Service’s financial obligations when rendering a decision.
The Postal Service receives no tax dollars for operating expenses, and relies on the sale of postage, products and services to fund its operations. It pays 78 percent of its employee Federal Employees Health Benefit Program insurance premiums while other federal agencies contribute 72 percent.
“The Postal Service needs flexibility to adjust to the nation’s changing mailing trends,” Vegliante continued. “Our dedicated employees are committed to their mission to deliver for America. We have a good working relationship with our unions and know they want to keep us strong in this changing environment. Our goal is to negotiate a contract that’s fair to our customers and employees and meets our financial and operational needs.”
Three other unions represent most other postal employees. The American Postal Workers Union, AFL-CIO (APWU) began contract negotiations Sept. 1. The APWU represents employees who work as clerks, mechanics, vehicle drivers, custodians and some administrative positions. Employees represented by the National Association of Letter Carriers, AFL-CIO (NALC) deliver mail in metropolitan areas; and employees represented by the National Postal Mail Handlers Union, AFL-CIO (NPMHU) work in mail processing plants and Post Offices.
| Union | Employees | Contract Expiration |
| APWU | 211,000 | midnight, Nov. 20, 2010 |
| NALC | 207,000 | midnight, Nov. 20, 2011 |
| NPMHU | 49,000 | midnight, Nov. 20, 2011 |
The NALC and NPMHU begin negotiations next year approximately 90 days prior to the contract expiration date. For additional background information on labor negotiations and the Postal Service’s workforce, please click on these links: Labor Negotiations and Workforce.
Postal Workers to Receive Pay Increase November 21, 2009
APWU-represented employees will receive a 1.2 percent increase in annual salaries effective Nov. 21, based on the grades and levels in effect on Sept. 6, 2006. In accordance with the APWU National Constitution and Bylaws, the raise will result in an automatic dues increase. Locals and state organizations that wish to absorb the dues increase must notify the union’s Per Capita Department. The raise will be reflected in paychecks issued Dec. 11.
Here are the pay raise percentages for all postal workers:
APWU: 1.2%
NALC: 1.9%
NPMHU:1.2%
NRLCA:1.5%