Archive for the 'plant consolidations' Category

USPS to file plans for service downgrades, network reductions

WASHINGTON, Dec. 5, 2011 /PRNewswire-USNewswire/ — The U.S. Postal Service today announced it will move forward with its proposal to change service standards. This action is being taken in response to on-going financial challenges caused by the dramatic and continual decline in First-Class Mail volume and the resulting revenue loss.

“The U.S. Postal Service must reduce its operating costs by $20 billion by 2015 in order to return to profitability,” said David Williams, vice president, Network Operations. “The proposed changes to service standards will allow for significant consolidation of the postal network in terms of facilities, processing equipment, vehicles and employee workforce and will generate projected net annual savings of approximately $2.1 billion.” This is part of the overall savings expected from the network optimization initiative, which is projected to save up to $3 billion by 2015.

The size of the existing Postal Service network is dictated by the current overnight transit time in existing service standards. The Postal Service is proposing, through the rulemaking process, to move First-Class Mail to a 2-3 day standard for contiguous U.S. destinations; however, there would be an opportunity for mailers who properly prepare and enter mail at the destinating processing facility prior to the day’s critical entry time to have their mail delivered the following delivery day.

On Sept. 15, the Postal Service announced it would begin studying 252 out of 487 mail processing facilities for possible closure. At that time, the Postal Service also announced it would be considering changes to service standards in an Advance Notice of Proposed Rulemaking published in the Federal Register. The Advance Notice filing was a formal effort to gather input from the public early in the process to ensure their views can be factored into the service change proposal.

The Postal Service will send to the Postal Regulatory Commission (PRC) a request for an advisory opinion regarding service standard changes associated with a significant rationalization of its mail processing network. Shortly thereafter, the Postal Service will publish a notice in the Federal Register soliciting public comment on the specific proposed changes.

Illinois congressman demands to see data on Rockford plant closing proposal

Office of Rep. Donald Manzullo (R-IL) News Release

Rockford, Dec 1 – Congressman Don Manzullo (R-Egan) is demanding to see the data the U.S. Postal Service is using to support the closure of the Rockford mail processing center and its move to Madison, WI.

Manzullo also wants the public hearing – required as part of the consolidation study – to be postponed from Dec. 8 to early January to give local officials time to analyze the data and offer alternatives to shuttering the local facility and sending nearly 200 jobs north to Wisconsin. Such a move would also cause delays in mail delivery to homes and businesses in the eight northern Illinois counties (Boone, Winnebago, Stephenson, JoDaviess, Carroll, Whiteside, Ogle and Lee counties) currently served by Rockford.

In a letter to Postmaster General Pat Donahoe, Manzullo explained how he worked with Rockford postal officials during the last consolidation study in 2006 to present alternative information that convinced the Postal Service to abandon its plan to move Rockford mail processing operations to the Chicago suburbs. Local officials again need to see the USPS data comparing operations in Rockford with Madison so they can correct it if necessary. And once they get the information, they need time to analyze it. That’s why Manzullo is requesting that the public hearing scheduled for next week at the Clock Tower Resort be moved to early January.

“The Rockford processing center was under a similar review six years ago and we found that the data in the previous USPS was incorrect, and resulted in keeping the Rockford facility open,” Manzullo said. “It is impossible to effectively offer comment on a proposal without knowing the assumptions and information that underlie the proposal.”

The Rockford mail processing center is consistently rated among the most efficient centers in the nation, and Rockford workers provide excellent overnight delivery service to their customers in zip codes starting with 610 and 611. Manzullo is working with U.S. Senators Dick Durbin (D-IL) and Mark Kirk (R-IL) to keep the jobs and overnight delivery service in northern Illinois. Manzullo, Durbin and Kirk met with Postmaster General Pat Donahoe on Nov. 1 to share their concerns with the potential move of operations to Wisconsin and the damage it would cause to northern Illinois. During the meeting, Donahoe said he would share the study data with the Members of Congress.

Video: USPS employees nervous about possible Savannah center closing

SAVANNAH, GA (WTOC) -

The future of the United States Postal Service distribution center in Savannah is in serious doubt.

Employees found out Tuesday that a study was complete suggesting the facility be shut down and mail in Savannah be filtered through distribution centers in Jacksonville and Charleston. WTOC first reported the study’s findings Tuesday, as the livelihoods of more than 200 people are now in limbo

Read more: USPS employees nervous about possible Savannah center closing – WTOC, Savannah, Georgia, news, weather and sports |.

Manasota FL postal facility will remain open

From the Bradenton Herald:

The U.S. Postal Service announced Monday that it has completed its study of mail processing operations at the Manasota Processing & Distribution Center.

“This was a careful review,” said District Manager David Patterson in a press release, “and we have determined that there will be no significant changes made at this time.”

via Manasota postal facility in Tallevast will remain open – Local – BradentonHerald.com.

West Virginia delegation urges USPS to consider impact of plant consolidations on WV jobs

WASHINGTON, D.C. – Senator Jay Rockefeller today led West Virginia’s Congressional delegation in sending a letter to the United States Postal Service (USPS) Postmaster General Patrick R. Donahoe expressing their strong concerns about the potential mail processing consolidations in West Virginia.

The delegation urged USPS to seriously consider the impact that the consolidations would have on jobs, and requested that the USPS consider moving and keeping mail processing operations in West Virginia as it seeks to meet its budget challenges.

“I’m deeply concerned about the negative impact that the proposed mail processing consolidations would have – especially on West Virginians’ jobs,” said Rockefeller. “The good jobs that the Postal Service provides are important to our state, and consolidation would have negative effects on hard working West Virginians who rely on those jobs and on our communities who rely on their professionalism and service. We must work to keep jobs here in West Virginia, and I urge the USPS to look at ways to do just that and take advantage of the exceptional workforce we have.”

“While I understand that the Postal Service is facing a series of tough choices, I do not believe that West Virginia and our workforce should have to bear a disproportionate share of cuts,” Manchin said. “West Virginians are the hardest workers I’ve ever met, and the Postal Service should take advantage of our excellent workforce instead of cutting jobs. My office stands ready to help any workers who may lose their jobs in this process, and I encourage the Post Office to give anyone who is laid off the help they need. It’s clear the Post Office needs to change how it operates, and I will continue to push them to make changes that don’t affect the hardworking frontline employees.”

“The Postal Service is making grand promises about maintaining mail delivery services but is falling short in providing the facts and details we need to know whether these promises are anything more than just wishful thinking. With so many consolidations and closures happening at once, we must continue to press the Postal Service to ensure that it seriously and fully considers the concerns of the American people and how its consolidation proposals will realistically affect their daily lives,” said Rahall.

“West Virginia’s mail processing facilities provide hundreds of good-paying jobs. I strongly urge the Postmaster General to carefully examine the economic consequences of shutting down all but one West Virginia facility. With such high unemployment, we need to do everything we can to protect the jobs we have while addressing pressing budget challenges,” stated Capito.

“The post office closures in our area are very disappointing,” said McKinley. “Local post offices are an important institution in many rural and small-town communities. The uncertainty surrounding the postal service concerns all West Virginia lawmakers, and we were compelled to urge the Postmaster General and other officials to stop these closures. It’s also vitally important that we address the postal service’s funding challenges head-on, in a way that is fair to customers, postal workers and taxpayers.”

rockefeller

Durbin adds amendment to stop USPS from closing Quincy IL plant

[WASHINGTON, D.C.] – U.S. Senator Dick Durbin (D-IL) today announced that, in his role as Chairman of the Senate Appropriations Subcommittee on Financial Services and General Government (FSGG), he has inserted language in the committee’s annual appropriations bill that would help protect jobs at the Processing and Distribution Annex in Quincy, Illinois and ensure community involvement in the study regarding consolidation and closure of the facility. The legislation was approved by the Senate Appropriations Committee and awaits a vote by the full Senate. Read the rest of this entry »

APWU Launches Phase 2 Of Television Ad Campaign

The APWU has launched Phase 2 of its television ad campaign, in conjunction with the National Association of Letter Carriers and the National Postal Mail Handlers Union, APWU President Cliff Guffey announced. Spots will air on CNN, MSNBC, and FOX News. The ad will run for approximately two months.

This APWU TV ad will air on CNN, MSNBC and Fox.

The ad is designed to explain – in just 30 seconds – the true cause of the Postal Service’s financial crisis.“The Postal Service has been recording financial losses, but not for the reasons you might think,” the ad says. It quickly identifies the problem – a 2006 law that imposes a $5 billion annual burden on the Postal Service that no other agency or company bears. At the same time, the Postal Service is forced to overpay billions more into federal accounts, it says.

The ad concludes with a simple message, “Congress created this problem, and Congress can fix it.”

“The USPS’s difficulties have gotten the attention of legislators and the news media,” Guffey said. “But, unfortunately, the cause of the problem is frequently misunderstood. It is crucial that we tell the real story.”

The ad is intended to help win support for legislation that would address the Postal Service’s crisis. H.R. 1351, which was introduced by Rep. Stephen Lynch (D-MA), would do that, Guffey said, without cutting pay, reducing benefits, eliminating collective bargaining rights, or slashing service. It has more than 200 co-sponsors.

However, Rep. Darrell Issa (R-CA), the chairman of the House Committee on Oversight and Government Reform, has blocked consideration of H.R. 1351. Instead, he introduced H.R. 2309, which would be devastating for the Postal Service, the American people, and postal employees, Guffey said. Rep. Issa’s bill would order $1 billion worth of post office closures in the first year and $1 billion worth of facility closures in the second year. It also would empower a board to unilaterally cut wages, abolish benefits, and end protection against layoffs.

In addition to the ad campaign, the postal unions have joined forces in an effort to Save America’s Postal Service. Rallies are set for Sept. 27 in every congressional district. For more information, visit www.apwu.org or SaveAmericasPostalService.org.

NAPS Statement on USPS Network Reorganization Plans

From the National Association of Postal Supervisors:

Today the Postal Service formally announced that they would be conducting a study of the current mail processing network with the goal of eliminating about half of the processing facilities in the distribution network.

National Association of Postal Supervisors President Louis Atkins stated that “the current processing network employed by the Postal Service provides for overnight delivery of First Class Mail in virtually every corner of the country.

Today, if you mail a letter across town or to a destination that is within a distance of 60 miles or so from the point where you mailed your letter, that letter will be delivered the next day. The Postal Service measures their performance on this delivery and this year they are delivering this type of mail on time at a 96.3% success rate”. This important overnight service will be lost if the Postal Service’s plans are implemented to drastically cut the network capabilities they now have in place.

Atkins added: “We are now in this financial crisis because the Postal Service has a requirement to pre-fund future retiree health benefits in a plan that is so bizarre that they are actually setting money aside for employees who will retire seventy-five years in the future. We are setting aside funds for people’s retirement that are not even born yet! ”.

Many employee groups and the mailing community have pointed out that the Postal Service has been overpaying both of the retirement systems that provide annuities to postal employees to the tune of $55 to $75 billion dollars. Those within the postal community have sought to have these overpayments used to satisfy the pre-funding requirements that were mandated by the last Postal Reorganization Bill that was passed in 2006.

Because of stalled legislation in the United States Congress that could easily correct the current financial struggles of the Postal Service, they have had to resort to making drastic reductions in the number of post offices and other operational changes to try to balance the costs of running the Post Office in line with revenue.

Atkins, who was a career postal employee and former postal manager, is sympathetic to the dilemma facing the Postal Service. He understands that no one in the leadership of the Postal Service relishes the idea of dismantling the institution that has served this country, even before the country was founded.

“Since the Congress cannot take the responsibility that they have to resolve this serious problem, the Postal Service is attempting to do it on their own. We have already cut 1,000’s of positions and closed administrative offices, all of which did not affect the customer. These changes will be the first to be directly felt by the mailing community and the American public”, said Atkins.

Congress could resolve this problem by passing HR 1351, a bill that has already received wide support from both democrats and some republicans. Atkins stated that the Postal Service is an American institution that works for all Americans and there should be bi-partisan support in
the Congress to keep the Postal Service in good health.

NAPS members will be joining with the members of the four major employee unions on September 27th to highlight our mutual efforts to convince the Congress to pass HR 1351 in this session of Congress. NAPS members, along with the employees they manage, will be making personal visits to local offices of every member of the Congress to deliver petitions and the message to act immediately on the passage of HR 1351

Sen. Carper Statement on USPS Announcement Regarding Changes to Its Distribution Network

WASHINGTON – Today, Sen. Tom Carper (D-Del.), Chairman of the Senate subcommittee that oversees the U.S. Postal Service, released the following statement on the U.S. Postal Service’s announcement regarding changes to its distribution network:

"Obviously I am deeply saddened to learn that the Hares Corner processing center in Delaware has been included in the U.S. Postal Service’s list of nearly 250 distribution centers around the country – including two others in our region – that will be studied for closure. It is painful any time the possibility emerges that a community could lose a postal facility – be it a post office or a distribution center – and I know that communities in Delaware and around the country are struggling with the ramifications of the Postal Service’s proposals.

"Like the recently released list of 3,700 post offices also being studied for closure, today’s announcement is just the start of an official process that must be reviewed by both the Postal Service and the Postal Regulatory Commission. This review process involves a public comment period and additional studies on the impact this decision could have on the affected community before it can move forward. I will be following the review process closely to ensure that it is transparent and fair to employees and customers – both business and residential – in Delaware that depend on the Hares Corner facility.

"Today’s announcement is part of an ongoing effort by the Postal Service to streamline its business operations to reflect reduced demands for its services. This dramatic step of proposing to close hundreds of distribution centers around the country underscores again the very dire financial challenges it faces. The hard truth is that, if nothing is done, the Postal Service is going to lose $10 billion this year. Congress and the Administration must act quickly to help the Postal Service save itself. Failure to act will result in the Postal Service being insolvent within a year, if not sooner, bringing more pain to communities across the country and wreaking havoc on our already fragile economy."

via Press Releases – Newsroom – Tom Carper, U.S. Senator for Delaware.

APWU Denounces USPS Plans to Dismantle Mail Processing Network

APWU President Cliff Guffey condemned USPS plans to study 252 mail processing facilities for possible closure, saying widespread closures would “dismantle the mail-processing network.” On Sept. 14, the USPS released a list of offices where studies will take place.

“The Postal Service should be urging Congress to address the cause of its problems – not slashing service and demolishing its network,” the union president said.

A 2006 law has pushed the USPS to brink of insolvency by imposing a burden on the Postal Service that no other government agency or company bears. The Postal Accountability and Enhancement Act requires the Postal Service to pre-fund the healthcare benefits of future retirees. The mandate, which forces the agency to pre-fund a 75-year liability in just 10 years, costs the USPS more than $5.5 billion annually.

“The mail processing network is a major asset,” Guffey noted. “Destroying it is misguided and counterproductive.

“Degrading service is not the answer to the Postal Service’s problems,” he said, noting that extensive closures would force the USPS to reduce delivery standards and delay mail delivery. “The Postal Service should be looking for ways to strengthen service and increase its relevance in the age of digital communication.”

Guffey said he was extremely displeased by the Postal Service’s refusal to provide the union with any advance notice of its plans.

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