Ask postal employees about the Postal Service’s Pay-for-Performance (PFP) program and you’ll hear a wide range of opinions as to why they think the program is not working. Many believe the program is unfair and can be subject to manipulation,
The IBM Center for The Business of Government, Dr. Carl DeMaio, president of the Performance Institute, Dr. David Norton, president of the Palladium Group and co-founder of the Balanced Scorecard Collaborative, and organizational performance guru Jay Schuster cited the Postal Service’s PFP program as a model because it links individual contributions to organizational success. According to Postal Service officials, the PFP program’s foundation is a balanced scorecard of objective, independently verifiable measures of service, employee engagement, and financial performance. Performance indicators are measured at national, district, business unit, and individual levels. In its 2010 Comprehensive Statement of Postal Operations and Annual Report, the Postal Service stated the PFP program continued to drive organizational achievement as measured by a 2.2 percent increase in Total Factor Productivity (TFP) in 2010 compared to 2009.This marked the ninth year of positive TFP growth since 2000. The current PFP program evolved over a 12-year period and became the only basis for annual salary increases and lump sum awards for executive and administrative employees beginning in 2004. In implementing its PFP program, the Postal Service joined the ranks of many private sector firms where pay for performance is a standard feature for management and executives.
What’s the best way to encourage good performance? Employers have always struggled with this question. One answer is to pay employees based on how well they perform their jobs. Many private sector employers have adopted pay-for-performance (PFP) programs, and several federal agencies have also experimented with PFP. Some federal PFP programs have operated successfully for many years; others have been more controversial. Last year, Congress terminated a PFP program at the Defense Department. Employees complained that the program was arbitrary and lacked transparency. Clearly, designing a successful PFP program is not always easy.
The Postal Service adopted an annual PFP program in 2003. PFP is the only source of annual pay adjustments for Postal Service non-bargaining employees. Employees and their managers review targets and expectations at the beginning of the year. During the year, managers provide feedback to employees through mid-year performance reviews. Then, at the end of the year, employees receive a rating.Read More
Safety is a key component of all Postal Service operations, activities, and facilities. Nonetheless, safety issues do occur in the Postal Service as in other organizations. Recently, Occupational Safety and Health Administration (OSHA) inspectors found electrical safety violations in several Postal Service Processing and Distribution Facilities (P&DCs).
Electrical Safety issues at Postal P&DCs identified by OSHA include:
• Electricity problems in facilities
• Failure to adequately lock out machines’ power sources to prevent unexpected start-ups
• Inadequate training for employees exposed to electrical hazards
• Failure to provide electrical protective equipment to protect employees from arc-flash hazards and electrical current
• Failure to use appropriate safety signs, safety symbols or accident prevent tags to warn employees about electrical hazards
March 18 marks the 40th anniversary of one of the most momentous events in postal history — the postal strike of 1970. The night before, postal workers in New York voted 1,555 to 1,055 to go out on strike in protest of a House committee vote to limit their wage increase that year to 5.4 percent on the heels of a 41 percent increase in Congress’s own pay. The wildcat strike and picketing were effective in shutting down postal operations in New York and quickly spread to about 30 other cities. Within days about 152,000 workers in 671 locations were on strike. It was illegal for federal workers to strike, or even to advocate a strike, but union officials said they had no control over the action.Read More
“Undercover Boss,” a CBS show that began airing in February, follows Chief Executive Officers (CEOs) as they go undercover to work primarily in lower-level positions in their own companies.
Beyond its entertainment value, the episodes have exposed a significant disconnect between senior management and employees.Read More