USPS changes salary rules for postmasters

Downgraded employees will see pay drop after two years if their salary exceeds grade maximum.

The U.S. Postal Service is proposing to eliminate salary protection for postmasters and nonbargaining employees who move to lower-grade jobs.

In a Jan. 28 letter to union leaders, USPS acting Manager of Labor Relations Policy Administration Joe Cavallo wrote that employees who are downgraded during reduction-in-force procedures will have their pay reduced after two years if their current salary exceeds the maximum of the lower grade. Previously, workers received indefinite saved-salary protection.

The proposed change affects postmasters and USPS employees under the Executive and Administrative Schedule who accept a lower grade nonbargaining position in a management-initiated action. According to Cavallo, that could include a RIF avoidance or notice period, placement in a nonduty, nonpay status for 30 days, or a RIF process.

"These revisions balance the interests of employees affected by organizational changes with the operating and financial challenges confronting the Postal Service," Cavallo wrote. "These revisions afford employees a reasonable duration to adjust to changes, and they permit the Postal Service to match compensation costs more reasonably with the work being performed."

National League of Postmasters President Mark Strong, National Association of Postal Supervisors President Louis Atkins and National Association of Postmasters of the United States President Bob Rapoza met with Postmaster General Patrick Donahoe, USPS Chief Human Resources Officer Anthony Vegliante and Labor Relations Vice President Douglas Tulino on Wednesday to discuss the proposed revision.

"We are very disappointed that after months of working on [delivery unit optimization] and specifically addressing RIF in which we were assured that no postmaster's salary would be impacted that less than 30 days later this change has been proposed," Strong said in a statement.

Another meeting with association leaders and USPS executives is scheduled for next week.