Posted on 08/12/2011 2:14:49 AM PDT by Islander7
SEATTLE — The financially strapped U.S. Postal Service is proposing to cut its workforce by 20 percent and to withdraw from the federal health and retirement plans because it believes it could provide benefits at a lower cost.
The layoffs would be achieved in part by breaking labor agreements, a proposal that drew swift fire from postal unions. The plan would require congressional approval but, if successful, could be precedent-setting, with possible ripple effects throughout government. It would also deliver a major blow to the nation’s labor movement.
In a notice informing employees of its proposals — with the headline “Financial crisis calls for significant actions” — the Postal Service said, “We will be insolvent next month due to significant declines in mail volume and retiree health benefit pre-funding costs imposed by Congress.”
During the past four years, the service lost $20 billion, including $8.5 billion in fiscal 2010. Over that period, mail volume dropped by 20 percent.
The USPS plan is described in two draft documents obtained by The Washington Post. A “Workforce Optimization” paper acknowledges its “extraordinary request” to break its labor contracts.
“However, exceptional circumstances require exceptional remedies,” the document says.
(Excerpt) Read more at washingtonpost.com ...
“We are absolutely opposed” to the layoff proposal, he said. “We are opposed to pulling out of the Federal Employees Health Benefits plan.”
National Association of Letter Carriers President Fredric V. Rolando said: “The issues of lay-off protection and health benefits are specifically covered by our contract. . . . The Congress of the United States does not engage in contract negotiations with unions, and we do not believe they are about to do so.”
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Yeah, about that? They should have thought about that before the Congress said that it could capriciously violate any contract law with the GM and Chrysler takeovers.
Their turn to get the shaft.
I believe you can smell a strike in the air. It would be curious to see a two-week strike and how people are affected by this. We might prove that two-day-a-week delivery is sufficient for all of us.
It came to an abrupt end when I asked them to name one federal government program that was working better than if the private sector ran it, and not losing money. They shot back the USPS!
I gave up and let them move on.
I wonder what they are thinking now...
That's not too far off, really. Obama's either one of the dumbest men to ever occupy the office of POTUS or he's deliberately trying to destroy this nation.
Privatize the postal service. Fire the dead wood. There are plenty of them at my local facility.
Forgot that one.
What a mess. I have no idea what a postal carrier makes these days but I’ve rarely had a problem with any of the ones servicing my neighborhood. I also know several and my best friend is married to one. This news will be devastating to them. I don’t pretend to understand all the ins and outs of their current health care plan or where the actual waste is. I would imagine its the same as most corporations, too many carriage drivers, not enough horses.
I’m taking a pass on this one...the Constitution provides for a Post Office, just how that is accomplished is what needs to be worked out.
It might be time to privatize the industry. How that would work with current employees I don't know. Butt it may be worth looking at.
LLS
You can go to 4 day route delivery with 6 day PO Box service and 6 day counter service and 6 day Express and Priority service. This would save a good deal of money.
US Postal Service Facing Financial Problems Largely Created by Congress
http://www.msnbc.msn.com/id/21134540/vp/30012522#44115351
no taxpayer money is used for the operations of the USPS
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