Tag: USPS

A new performance-review system for 70,000 U.S. Postal Service managers will result in improved mail operations, postmaster general John E. Potter told the Washington Post.

“If our people are happy, our customers will be happy because service will be up and costs will be down,” Potter said, according to the Post. “If we have unhappy folks, the system will be sending a message that they haven’t performed. To me, that is truly a breakthrough — that we’re able to get through the entitlement culture and get to people and say, ‘OK, listen, there is no more mystery here. This is what your job is. These are the indicators that you are being held accountable for.’ ” Managers were getting raises of 2.5 percent to 3 percent every year, regardless of their performance. Under the new system, raises are determined by how well they meet customer service goals, improve workplace safety and control overtime and other measurable costs. There are no guaranteed increases or cost-of-living adjustments.

U.S. Postmaster General John E. Potter, working with Postal Service employee groups, has launched an innovative pay system for 70,000 management employees that uses goals and performance indicators to determine the size of their annual raises. Potter is betting the pay-for-performance system will spur most postmasters, managers and supervisors to continually improve mail operations because they will have a chance to earn bigger raises than in the past. “If our people are happy, our customers will be happy because service will be up, and costs will be down,” he said.

United Airlines and other carriers were paid USD284 million to ship international mail last year, five times higher than actual costs, the Postal Service said in seeking to freeze the rates and negotiate lower fees.

Rates should be based on the market, without adding costs such as maintenance and salaries the government considers in setting fees, the service said in a Department of Transportation filing last month.

A fair rate would cut international mail costs to USD50 million, the filing said.