From APWU:
During Senate hearings on the Postal Service financial crisis in February, Postmaster General Patrick Donahoe again stressed his desire to reduce costs by pulling 1.1 million U.S. Postal Service employees and retirees out of the Federal Employee Health Benefits Program. Such a move could only occur with congressional approval.
Despite employee skepticism and doubts expressed by the Director of Office of Personnel Management, the Postal Service continues to push for this change, touting it as an “economically responsible” part of postal reform, and insisting that employees and retirees would save nearly $700 million dollars annually in premiums.
Meanwhile, OPM raised serious concern about “unintended consequences” for other federal employees if the USPS is allowed to remove postal employees and retirees from the FEHBP. An independent consultant and author of Consumers’ Checkbook Guide to Health Plans for Federal Employees told Congress that the move would destroy the FEHBP, “disrupt the health insurance of 8 million Americans, and breach statutory entitlement promises made to millions of federal retirees.”
Stay tuned…in July the Government Accountability Office is due to issue a report on the effects of the USPS withdrawing from the FEHBP.
note: Last year’s Senate bill 1789 stated that the Postal Service’s new health benefits program shall be available for participation by any officer “at the option solely of that officer” which included the PMG. Not sure if this proposal is still on the table.
In other news….
Trumka: Congress Must End Logjam on NLRB Appointees
In a Delaware County Daily Times letter to the editor, AFL-CIO President Richard Trumka this week called on Congress to approve President Obama’s appointees to the National Labor Relations Board (NLRB). In the letter, Trumka states that, “In order to rebuild our economy and level the playing field for all working people – union and non-union – the law protecting workers’ rights must be enforced. That’s the role of the NLRB – and it needs to work.”
Unfortunately, the NLRB is under attack by extremists in Congress. Some anti-union senators are refusing to confirm President Obama’s nominees to the panel, which will soon deprive it of a quorum, and are pushing legislation to weaken the board. To enable the board to continue protecting workers’ rights, senators in Washington must put their partisanship aside and confirm President Obama’s crucial nominees to the NLRB.
To read President Trumka’s letter to the editor in full, please click here.
via e-Team Report, June 14, 2013
Salaries should be based on revenue. Decrease in revenue resulting in massive losses should be offset with decrease in salaries starting with headquarters, areas, and districts high level managers as they basically contribute zero in revenue generation. Most have positions that in todays markets could be eliminated. Craft employees suffers consequences of poor management decisions in failure to operate cost effective in reducing services that are no longer needed such as 6 day street delivery. 212,000 inefficient vehicles delivering 6 days a week is a wasted cost both in fuel and work hour cost.
Demand for services and products do not exist for 6 day delivery. Parcel delivery from online purchasing is only market USPS has any potential to regroup and survive. UPS and FED X have very successful business in generating revenue and operating cost effective in their business model which USPS should emulate.
I would advise anyone who is a federal employee and has a long way to go to seek employment elsewhere. The rules are being changed in the middle of the game and may also be changed when you are retired. It is not worth the sacrifices you make with working holidays and constantly having your shift changed.
Postal management will do anything to screw employee’s. I thought, I was safe when I retired, Guess not!! Now, I have worry about, Postal Screw Ups coming after me in retirement. Congress should step in and fire the lot.
Donahoe promises that the new postal health benefit plan will be both cheaper for the employee and for the postal service and the benefits will be as good or better than are available now. If that is true, it seems odd that Donahoe and all the senior officers of the postal service have specifically exempted themselves from this “now and improved” plan that saves money for everybody.
History always repeats itself, especially with the Post Office. If they say there going to save 700 Million, they’ll probably lose 700 Million. Nope! Probably 900 Million to a Billion!
Will we ever learn? Never Mind!
STUPID!!!!!!!!!!!!! Employee costs will increase and coverage will worsen.
The retirees should implement a class action lawsuit immediately!!!
leave my FEHB alone mr. donnyho..i don’t want it messed with after I retire also..why is the best thing to do always is dumping on the workers and not the management..if you want to create a piece of junk insurance program for yourself then good for you, but stop robbing from the rest of us and calling it reform…..
Does this have to do with possible 5 day delivery???? Then Who cares!
If you think USPS promises are sacred , I give you Part Time Flexies circa late 70s , early 80s and NEVER kept even by the US Supreme Court !