Postal inspector general criticizes executive awards program

For two consecutive years, every eligible executive in the Postal Inspection Service received a cash payout from its executive awards program, according to an inspector general's audit.

For two consecutive years, every eligible executive in the Postal Inspection Service received a cash payout from its executive awards program, according to an audit issued by Assistant Postal Inspector General Kirt West. The awards program, approved by the Postal Service Board of Governors in 1998, provides cash awards for outstanding service or accomplishments by Postal Inspection Service executives. Awards cannot exceed 20 percent of an executive's base salary, and recipients are recommended by the chief postal inspector and approved by the postmaster general. In preparing the report, "Postal Inspection Service Executive Awards Program" (OV-AR-02-001), the IG's office reviewed all cash awards given during fiscal 1999 and fiscal 2000 and discovered the Inspection Service gave awards averaging $10,000 to all of its eligible executives during those years. In a written response to the report, Inspection Service officials said the awards were issued based on organizational success, not individual performance. However, the program approved by the board of governors specified that executive awards be based solely on individual achievements. "Award justifications were the same for each executive awarded and cited only general organizational achievements," the audit found. "The Inspection Service did not review executive performance appraisals to ensure that only individuals who were successfully performing their jobs received awards." Inspection Service officials said that individual performance was assessed during the process, though not by a formal review of an executive's performance appraisals. The IG recommended that Inspection Service officials create a performance review board to oversee the awards program and retool it to bring it in line with those of other federal agencies. In their response to the report, Inspection Service officials said they would not implement the changes recommended by the IG because those changes would reduce the program's effectiveness.