The Postal Service will continue the network rationalization of its mail processing operations next year, PMG Pat Donahoe announced today.
Up to 82 facilities will be consolidated beginning in January 2015 and concluding prior to the fall mailing season. The changes are expected to generate $750 million in annual savings.
“The Postal Service has recorded substantial losses over the last three years and continues to see steep declines in First-Class Mail volume and revenue. As a result, we find ourselves with excess capacity in the network and few alternatives to reduce costs. Our operating costs are continuing to increase, and our debt and other liabilities threaten our financial viability,” Donahoe said in a video message to employees.
USPS also is grappling with legislative mandates, ongoing uncertainty over legislative reform, and a court review of recent price changes, which have delayed much-needed investments in new equipment and vehicles.
In 2012 and 2013, USPS consolidated 141 mail processing facilities, generating annualized cost savings of approximately $865 million. The consolidations required no employee layoffs.
For employees who may be impacted by upcoming consolidations, the Postal Service remains committed to finding reassignment opportunities in other locations. Donahoe emphasized that the Postal Service also remains committed to keeping employees informed.
“For now, I ask that you continue to do your job to the best of your ability and continue to work with your customers to assure them that the transition will be smooth. You have my commitment that I’ll continue to keep you informed as we work with you to make these transitions,” Donahoe said.
Planned Network Consolidation Notice (PDF)
You say you’ve run out of ways to save money? Try this. Many small post offices have a postmaster. Many of these offices don’t need a postmaster. One postmaster can run 3 or 4 offices. Give that postmaster a $5000 raise for every post office he takes over. If he takes over 2 post offices, it will cost you $10,000. You then can eliminate 2 postmasters at approximately $60,000 each. Therefore, you will be saving $110,000 just for those 2 post offices. Do this across the country and you will save millions.
Postmaster General Patrick R. Donahoe, should do us all a favor and close his office. He is a lead sinker and until he goes we will all wind up at the bottom under Fed-ex, ups, Amazon and Staples.
you post toasties are really full of yourselves. the mail is gone, it aint coming back. the pmg is here to stay and there is not one thing you can do about it. for 8 years you all been bitchin and moanin’ but continue to provide customers with terrible service and a ghetto attitude. I hope you all get laid off and replaced with some of these illegals. even though they cant read or write they will do better than you asll
good riddance, especially the assholes in Madison,wi
suck it
Call off sick everyone & call off often, and enjoy your summer with your family’s and friends! Peace
sorry.. typo. mail gone by 2015
I am retired over a year and I still cant believe the line of bull that the po spews out. I don’t keep in touch much with current employees only a few that I really care about. first, if they saved that much in the last two years (865 million according to the article) then how are they still losing money? if it was that cost effective then why are you still in the red? cant have it both ways. second, as far as keeping your employees informed, your simply lying by omission. the clerks at the facility I retired from had their meeting and were told the mail is gone from their facility by jan of 2105. as far as what their options were, i.e. jobs at gaining facilties, layoffs for unprotected employees, will ALL clerk jobs be reposted (that is the ones left) and available to ALL employees to bid or will there be restricted bidding?, what about the max mile rule you can send me?, will there be another buyout prior to jan 2015?, how many clerks will remain in the building and what will their jobs be and what will the hours be? and last, there are carrier jobs that have been held back for years and not posted will they be given the option to carry and stay in the facility they are in now? I know this. none of these questions were answered at the meeting in this facility. does someone somewhere have that info? of course.. its on a need to know basis and you don’t need to know even tho you may have to make some life changes including selling your home, quitting, finding new housing in wherever you may end up. and that’s why postal workers for the most part hate their jobs.. and if you don’t.. its cause you haven’t dealt with this shit long enough.. don’t worry you will get there..
Donawhore is still PMG because only four of the ten seats on the BOG are filled and three of them are useless Republican privatizers who provide no oversight and are 100% backing Donawhore.Also,Issa,if he were providing real oversight in Congress,would have called for his removal by the BOG.
How is it that a few months ago we got a video from the PMG about how well things were looking, along with an MOU for the conversion of PSE’s to help re-staff plants understaffed for the last 2 years? Did we see PSE conversions, or did we get a long list of excuses and no action? Now we get this, effectively stopping all action in what can only be seen as a tantrum over the end of the PMG’s 5 day plans. Some plants have almost as many PSE’s and MHA’s as career employees, and if their plant consolidates all they get is a “thanks for working 76 hour weeks” and a pink slip.
Why is Donawhore still the PMG???
This will effect many employee’s and customers using
the mail to go electronic which will carve into the
estimated profits of the PMG. In the Northeast they are shutting two facilities Shrewsbury & Waltham with the letter
mail from these facilities coming to Boston. The clerks who
are making over $100,000 in (O.T.) working automation every
night will be salivating at this news. Management has yet to
be able figure it out, While others being effected across
the country will not be so fortunate. It still comes back
to an incompetent congress who has had more then enough time
to put there individual party concerns aside and act in a
bipartisan manner for the good of the service and the people.
I need to have early out offer 25.000 in the October, let US leave with dignity and I will say GOOD BYE
It’s amazing how upper management are ALL LIARS. Donahue, just had a video out to all employees about how well the postal service was doing, and for employees to encourage people to apply at the post office, because jobs will be created. PSEs has the opportunity to become career employees, but now YOU want to call a meeting and CLOSE 82 facilities. YOU TRULY NEED TO GO. When you became PMG, that’s when the postal service started to see downfall. You’re pathetic!!!’ You don’t give a darn about communities. Just give our great service that we have been providing to our loyal customers, to UPS AND FEDEX because that’s what you’ve done.
Sell what facilities the USPS owns instead of bailing on the ones they lease, so Diane Feinsteins hubby makes enough commission$ to hold them over through these tough times. Then turn aroun and lease them from whoever bought them. Sounds like a plan.
Now the Postal Service should consolidate it’s limousines. Upper management can ride around together and save funds! And just maybe it will be possible to hire more vice presidents.
UPS and FedX now consolidate parcels and we deliver he final mile for next to nothing while they profit. We subsidise FedX by paying for their planes. The corporate welfare that the USPS is paying these two companies is sickening. This plan by the big shots is working. Unfortunately once these other shipping companies have all of the leverage they will use it to spike prices and the American people will be screwed.
Why 89? Why not 88, 84, 90? Always something odd with you people.
Reform? You’ve gutted the place already.
Congress will put the screw’s to all new and old employees with retirement an health care reform, cuts cuts cuts.
Up coming union contract benefit’s & pay, cuts cuts cuts.
Obama will put the final touch to ink on 5 day delivery, cuts cuts cuts.
A little here and a little there….
Does this mean an early out with incentives for APWU members? Sounds Like a good way for the usps to rid itself of us overworked and underpaid clerks and et’s
get ready for the letter carriers to make some gravy, management always screw these consolidations up, the PMG sleeps with lucifers children.
This is his whole idea to make the service as terrible as possible and drive people away while he waits for his payoff. And the damn unions seem helpless or unwilling to do anything to stop this asswipe thief. My own union the NALC has its convention this year and I hope the delegates call for Donohoe’s head. We must make a mandate to our own union leaders that we demand whatever it takes to get Donohoe out and maybe indicted for what is no doubt tons of criminal activity he and his henchmen have had to do to cripple the USPS as successfully as they have.
DONAHOE IS GOING TO RUIN THE POST OFFICE. THAT IS HIS GOAL IN LIFE! HE NEEDS TO BE TERMINATED.
All those plant closings.
And not one cut will be made to the liars and thieves in the eas/mgmt ranks.