The Postal Reorganization Act of 1970 included the goal of matching postal employees’ compensation with that of private sector workers. The recently enacted Postal Accountability and Enhancement Act (PAEA) did not alter that goal. However, such a comparison is virtually impossible since private sector compensation varies considerably by locale, whereas postal compensation does not. It is also difficult to decide what constitutes a comparable job, and how benefits should be considered. Given the Postal Service’s financial situation and calls for down-sizing, the issues surrounding this policy take on special meaning. Over the course of the next two weeks, we’d like to ask you about this policy in general, its applicability in the diverse labor market across the country, and what changes might be in order to facilitate the financial situation and the level of service afforded the public.
So, first of all, as a general matter and notwithstanding current contracts, does it make sense to attempt to match private sector compensation? Does the goal in the 1970 legislation still make sense today?
Loading ...How should Postal Service pay be set? If private-sector comparability is used, what types of jobs are comparable to postal work?
This blog is hosted by the OIG’s Risk Analysis Research Center (RARC).
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Although the Postal Service is called to operate like a business, it also serves an very important public function (binding the nation, etc.) for which it retains a valuable monopoly. As a result, Postal Service salaries cannot be wholly detached from the public sector. Salaries for both public and private sectors for comparable functions should be considered in setting an appropriate salary, which is sufficiently competitive to attract and retain the best qualified persons for the job.
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It is long overdue for Postal Service wages to match prevailing local conditions. Even the rest of the federal government instituted local pay for blue collar positions during the Civil War!
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I agree with GG’s comment. But both private and public sector employees have salaries that differ by region. what doesn’t the Postal Service follow suit. That’s the perplexing question.
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I could never figure out how someone could afford to live in California, New York, etc while working at the PO. However, I would hate to see low cost areas cut the salaries of the employees.
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it’s called COLA
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Matching the wages and benefits of UPS drivers for letter carriers might be almost fair, although letter carriers have a more difficult job.
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Clearly the only jobs even remotely similiar to that of Mailmen is UPS drivers and FedEx drivers. How does the Mailman’s pay compare to these? You should put that on your blog.
The people who sort the mail and work the window should get the same as their counterparts at UPS and FedEx.
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With what we need to know, I don’t see how Window/Distribution clerks should make minimal wages like the ups and fedex clerks. They work 4 hours per day. We work at least 8. The knowledge we have in our heads should mean something.
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And we got to remember all them questions too!
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Postal employees pay should be in line with that of UPS employees. This is the private sector they should be compared to, not some other lower wage comparisons the Postal Service would like to campare them to. Also, the wages should be uniform as to not discriminate by regions.
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Nobody is forced to work in the public sector. the post office can not match the pay of the private sector and I for one, do not think it should try. You know what the pay is up front. I suggest you choose the public job and the pay that goes with it or you go into the private sector. I work for the USPS to the serve the public. If my scheme had been to get rich, I certainly would have gone into the private sector. I do feel sorry for those who work for the USPS and complain,complain, and complain about what they make.
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Ive carried mail for 25 years and havent complained about my pay, rural carrier, but when you folks get raises we get mail counts, and our salary goes down, we add new homes our salary goes up, then we get a raise up again, then we get another mail count and we make less than we made years ago, we are treated poorly, and myself and a lot of others always thought it would get better, guess what its still worse! Started working for PO 6 days a week 25 years ago and now working 6 days a week for less pay than a year ago! PO puts in machines and tells us we now get paid one minute for every 27 flats we deliver, funny our time goes down for this, but keeps the city boys working 8 hours a day on 6 hours worth of mail! People need to be treated fairly, and a lot of Postal Managers need stats , whether they are there or not!
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I’ve been a city carrier [city boy] for 25yrs and work 40hrs if not more a week. My question for the poor rural carrier is how many hours a day/week do you work? I am guessing that it doesn’t total 40. If they would set up the rural routes like they do city routes there would be no need for half the routes in your station, but what do I know?
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Ive worked in offices with city in the past, have gone out with more mail on a longer route than some and finished before you guys, you work at one pace, which is fine, when we are finished we are off for the day you finish to early and your doing someone elses job, about 10 years ago we were short handed had a city boy sort mail on my route, had just bid on it and havent gotten it yet, he was on route for a month, never cased and delivered it but spent 6 hours a day in the office, cut our routes in half FSS is going to do that but not city boys working on any!
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So with you on that…People do not realize what it is like driving , delivering mail , packages , & flyers.. Everytime we get one new rule , they brake 2 more…Contract is almost irrelevent.. We do have a good job , but with alot of people who take it for granted.. by means of customer service. Long gone are the days that people HAD to HAVE the post office. I think we’re all going to have to give a little.. It’s just a matter of how much..That includes the post office.
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Either you are a boss or you are a liar…your telling me that you wouldn’t want to be paid fairly like ups or fedex (we do more work in a day than they do and get paid less) It’s people like you that make a mockery of these kinds of forums!!!!….SHAME on YOU!
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I have delivered mail over 30 years. The United Parcel driver who delivers to my home has been with UPS for 9 years. We compared W-2 forms last year, he makes over 20K more than I do with the Postal Service.I think that Postal Service Carriers pay should be raised to match the pay of United Parcel Service drivers, we delivery a lot more stops per day every day.
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As a letter carrier in the great lakes region I cannot think of any job that can be compared to ours. With FSS coming in the spring, and a return to a multiple bundle system with longer routes of approx. 7 hours on the street; relays in excess of 30 minutes long; in the elements collating mail in our hands; up and down snow and ice covered streets and stairs… who do you do a wage comparison with???
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Mailman are hardworking people, who serve the public regarind rain, snow, or shine. Mailman are consider underpay when you compare the usps mailman to ups driver. Mailman only makes $25 an hour compare to $28 for ups driver. my brother inlaw works for the ups as a driver.
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No one seems to have factored in the job security aspect of working in the PO. In the private sector you can be gone tomorrow for no special reason. So, high risk (fired/laid off) should provide a higher potential gain (better $$$). PO employees are spoiled: overpaid and with new technology generally underemployed. NAPUS, NAPS, and all the unions have one thing in common: featherbedding. Sure, we need PMs in N Sutton, S Sutton, E Sutton and W Sutton….NOT!!!! All within 5 miles of each other!!! Gotta love these one person offices…
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I believe that it should be comparable to other govt. jobs. Equal to a GS-7 to a GS-11. Regardless of the Cost of living at local areas, I believe that you should match the Federal Sector ONLY.
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The fact of the matter is that there is only one pie from which to draw salaries. Why should it be sliced up based on the location of your workplace. We all do the same job…we should receive the same pay. The Postal Service is not going to come up with more money…they will just take it from some and give it to others.
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cool, base my salary as a city letter carrier against that of ups, theyre elivery drivers are up to $29.00/hr, while the nalc top pay is at about $26./hr
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When discussing pay, the craft employees should not be the only ones brought up. Postal management could be compared to the private sector, also, which would not be a pretty picture. While Postal craft workers could be compared to UPS and FEDEX workers, who are paid more and have better benefits than us, postal supervisors could be compared to managers at fast food places, with salaries in the $20-30,000 range. The Postmaster General, on the other hand, could be compared to a major business CEO, and could be paid millions. Since we are a Federal business, our craft wages are set by negotiated contracts, and the managers are just set accordingly.
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The wages should be different depending on region. I work as a level 10 for the USPS and my wages are just above poverty in california. There should be some type of regional compensation.
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Don’t we have a contract,isn’t that how we do business.
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I think locality pay is long overdue. Pay what is required in the local markets to get people qualified to do the work required. However, let’s get away for this inflated sense of self importance and overly complex position descriptions. The work is pretty routine. If you are a carrier follow the mail and put it in the right box-pretty simple. If you are a clerk, your job is much less complex than a bank teller who makes 50% of what PO clerks make. Most letter carriers and clerks make over 50K – ridiculous!
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Bad idea. Are you really going to pay people living in the coldest, worst weather areas less money than their fair weather counterparts?
Sure, the cost of living is lower in say, Wisconsin or Michigan. But they are out braving the worst roads, and walking conditions and cold weather.
They are out when schools are closed and when other businesses are shut down due to snow storms or below zero conditions.
They have to buy more expensive equipment, 4 wheel drive vehicles, while the higher cost of living areas need……air conditioning.
Do you REALLY think they should be paid less when they are out putting their LIVES on the line while the rest of the working population in their area is home, watching the storm from inside the house?
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