Federal Manager's Daily Report

The Postal Service has announced a hiring freeze on management positions and has said it will ask OPM for permission to offer early-outs and buyouts to non-bargaining unit employees, the latest in a series of changes following the recent appointment of Louis DeJoy as postmaster general.

The USPS meanwhile is restructuring into three main operational lines–retail and delivery operations; logistics and processing operations; and commerce and business solutions—and has appointed leaders for each, along with several other C-suite positions.

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The announcements follow recent changes in processing and delivery procedures designed to reduce overtime and other costs by adhering more closely to regular schedules even though delays in delivery may result. Numerous members of Congress have been pressing the agency to fully explain those steps, and language to block them has been proposed.

The USPS at the same time has announced operating losses in its third fiscal quarter of $2.2 billion, about the same as in the prior year, despite a surge of almost 60 percent in revenue from package delivery during the pandemic. USPS said there is “great uncertainty” whether that higher level will continue, however, and meanwhile revenue from first class and advertising mail were down by 6.4 and 37.2 percent.

Opinion: Principled Proposals for Postal Reform are not a Bailout
The impending death of the U.S. Postal Service has been proclaimed so many times in the last decade that it is difficult to know whether to call the medics or the gravedigger this time around.

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Turnover among non-career employees at USPS fell slightly over 2018-2019 from 42.8 to 38.5 percent but that is still above the target rate of 34 percent and dissatisfaction with supervisors is a main reason, an IG report has said.

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Primer: Early out, buyout, reduction in force (RIF)