Postal Service Offers $15,000 Buyouts

(AP)  The Postal Service is offering $15,000 buyouts to employees in an effort to cut costs at a time when the post office is being buffeted by the recession and the popularity of e-mail and electronic bill payment.

Up to 30,000 employees could take the offer at a total cost of about $450 million, the agency said Tuesday. The post office said it could save as much as $500 million in the next two years.

The agency said it reached an agreement on the buyout offer with the American Postal Workers Union and the National Postal Mail Handlers Union.

The majority of those who could take the buyouts work in the mail processing facilities, the post office said.

The offer is open to those eligible for retirement and early retirement. It also includes employees in select positions, such as retail clerks, distributors and mail handlers who are willing to resign voluntarily.

Letter carriers, who are in different unions, weren't offered the buyouts because the number of addresses the post office must service is growing, Postal Service spokeswoman Yvonne Yoerger said. "That's not an area where we need reduction," she said.

The workers have to decide by Sept. 25.

Employees who take the offer would get paid $10,000 over the months of October, November and December. They would get an additional $5,000 in October 2010.

The buyouts are part of a series of cost-saving efforts by the post office. A hiring freeze is also in place and management salaries have been frozen. The post office has also cut more than 100 million work hours since the fiscal year started last Oct. 1. It's stopped construction of new facilities and closed six district offices, along with other steps.

The Postal Service lost $2.4 billion from April through June, according to numbers released earlier this month. The agency has lost $4.7 billion so far this year and expects to be $7 billion in the red by the end of the fiscal year on Sept. 30.

[grammysgreat]

The American people are to blame for the situation the Postal service is in. Every time the Postal service tried to consolidate those small little post offices that dot the country the people in those areas put up such a cry to their politicans that the Postal Service always backed down. I used to act as a postmaster and it cost app. $60,000 to $100,000 to operate those little places and serve sometimes only 100 families. Furthermore, the goverment really screwed the Postal system when they implemented the Fers program. Those left on CRS can only touch their SS contribution at a great discount. So my money that I put in is going to support those illegals. And for all those Postal workers that do fit the descriptions above, their are many more, like myself who had to retire early on disability at age 53, with the back of a 70 year old from picking up their slack. You should be saluting the ones who have made your mail reach you, for the rest there are others just like them in other businesses. However, I still don't agree with a buyout. If they can retire already they don't deserve the bonus to go.

[PostalOneToo]

by StopSocialism August 25, 2009 5:39 PM EDT
Let's see: As a post office employee I can stay "Retired-in-Place" for decades more drawing a salary well above the US norm, while getting constant salary increases, generous, gold-plated health benefits and a good 3-4 hours of sleep during every working day with NO CHANCE of getting fired thanks to my all-powerful union - OR - I can get $15,000 and kiss all that goodbye.

Gee, that's a really tough one!


It's people like you who give the rest of us a bad name. I hope you get caught sleeping.

[toldyouso29]

The Postal Service is offering $15,000 buyouts to employees in an effort to cut costs at a time when the post office is being buffeted by the recession and the popularity of e-mail and electronic bill payment."

Only an idiot would take a 15,000.00 buyout which, after taxes would be about 12,000 dollars. Let's see--have a job that pays me 45K each year until I retire and guarantees health benefits OR...take a lump sum of 15K that won't even see me through this year...Hmmmmm. that is a tough one. Okay Monty, I'll take let me have the chump change in this dying economy for 100.....And the answer is--"what is a fool"

[puzzler125]

Don't trash someone who started work at 21 and after 30 years retires. We should all be so lucky to put in 30 years and then either retire, stay retired or look for other work. Military does it all the time!

[Postyman]

The Postal Service has never been allowed to compete with private companies such as UPS, FEDX etc. UPS, FEDX and other private delivery companies have been able to take part in the rate increase process to determine what the Postal Service could charge. The Postal Service has been prohibited from having its own fleet of airplanes, rather it has been relegated to having to purchase space on competitor companies airplanes to carry mail. Commercial airlines have been used in the past, but many times the mail was left on the tarmac because they did not allow space for the contracted mail dispatches. Managers and Supervisors are now required to work short staffed, vehicle shortages to relieve overtime of city-carriers, clerk shortages to operate window hours, distribute mail at stations, cover operations from opening - closing of offices. Area and District Managers demanding evermore work with less manpower; with threatening language and actions. Would you want to work under such leadership or conditions?

[ontheleft]

It's pretty sad that postal jobs are now considered high paying jobs. Shows you how far we've fallen.

[rightbehind]

Much worse than that. The neocons have sacrificed national security and allowed technology to leave the US in favor of free trade and the fast buck. It also help them to undermine labor at home. We now spend over 50 billion a year fighting cyber crime. An article I read was concerning routers that forward classified information to those we don't want to have it as well. I was talking to my neocon neighbor about this and he said we only let them have what we want them to know. I have attended school with some of the foreigners and they are sharper than this guy ever thought about being. A lot of damage has been done.

[Aldymac]

Looks to me like Bush made sure postal workers had a retirement to fall back on. What are the dems now doing? Taking it away?

[rightbehind]

No the republicans are lining the pockets of heath care insurance companies but used the retiree's as the reason for the fund transfer. Could you imagine having to buy your health care coverage in advance through the year 2017? That is what the post office is being forced to do.

[puckface]

You people are morons.
First thing is, retirement is 30 yrs not 25.
Thank management for the downfall of the PO.
I'm retired 3 yrs now, under old system, thank god.
Getting my money every month and enjoying my health benefits. hahaha
What do you losers have to fall back on ???
I thought so.

[Ichabod09]

Getting my money every month and enjoying my health benefits. hahaha
What do you losers have to fall back on ???
________________________________________________________________________
Enjoy it while it lasts. If the government were a poker game, somebody would have been shot by now for trying to changes the rules in the middle of the game-you do realize the Fed is financially broke and soon will not be able to pay your pension with real money?

Suggest you get in shape skippy, because that fat arse and pregnant gut you obtained while working for USPS is not conducive to the work for which you are qualified when the free ride is over.

[rightbehind]

After health care is taken care of this law that the republicans created in 2006, "The postal accountability and enhancement act" needs to be repealed and any funds other than those due by the health care industry should be refunded to the Post Office.

[rightbehind]

The post office is going into the red because of a "republican" created law that requires them to pay "in advance" for retiree "health insurance" through the year 2017.

[patocc123]

So your saying when the government gets involved with healthcare and retirement in bankrupts that department?

Plus noone will ever know if another company can be competitive with mail delivery other than packages. The US government doesn't allow it and has a monopoly on it. But hey whatever floats your boat as a political hack.

[rightbehind]

What I'm saying is like every other thing that republicans have done first they wrap themselves in the flag then write fubar legislation to line the pockets of private industry at the expense of this Great Nation and its people. What they have done to the post office needs to be exposed.