Contract Update

Contract Update

The information provided below was disseminated during the special contract meeting, which is required by our constitution. The meeting was held in Washington DC on November 21, 2000.

Our current contract continues to govern as no new National Agreement has been reached. Even though negotiation time frames have expired the parties are continuing to meet in hopes that an agreement can be hammered out. The Postal Service is also continuing in negotiations with APWU while negotiations with Rural Carriers have been cut off.

Below is a breakdown of the core components/proposals from each party. Keep in mind that this information is what is considered as, “on the record” while during negotiation talks much of what is said is “off the record”.

Each party’s proposals were for a 4-year contract.

NPMHU Proposals:

5% - 5.5% per year in wage increases

2.5% to 3.4% to be in the form of general wage increases per year and the remainder to be under the continuation of the current COLA program.

	Night differential back to 10%
	Sunday premium increased to 50%
	Freeze health care costs.
	Increase in clothing allowances.
	It should be noted that in addition to the items listed above, the Union’s original submission of work rules changes (as distributed to each of the offices) still remains on the table in its entirety.

USPS Non-Economic Proposals:

· Article 6 – Elimination of the no lay-off protection clause for all employees not currently protected (less than 6 year).

Article 7 – Increase in PTF compliment from 10 % to 30 %.

·         Deletion of the maximization language

·         Increased casual compliment during certain periods (undefined)

·         Ability to employee casuals for more than 90 days at a time.

Article 8 – Casuals to be assigned to overtime prior to the OTDL.

Article 10 - Reduction in Annual leave and sick leave for new hires.

S/L – 2 hours per pay period

A/L – 0 – 5 years          10 days per year

5 –10 years          13 days per year

10 –20 years        16 days per year

20 years and up   20 days per year

Article 12 – Right to reschedule unassigned regulars once every 6 months

Reduction of the rule on finding work within a 50-mile radius to a 35-mile radius. This is with the intent that if work is not available within a 35-mile radius then they don’t have to retain you as an employee if excessing occurs

· Article 15 – Elimination of Step 3 of the grievance procedure.

Right to initiate disputes at Step 4 (interpretive issues).

MOU’s – Elimination of the following MOU’s in the back of the contract:

Leave Sharing, Sick Leave for Dependent Care, Annual Leave Exchange Option, Joint Education and Training Fund & Supervisors doing Bargaining Unit Work.

USPS Economic Proposals:

	· Reduce night shift differential to $1.00 per hour.
	Sunday premium only to be paid for hours that actually fall on Sunday.
	Increase employee’s health care contribution by 1% per year.
	No increase in clothing allowance.
	Pay for performance (undefined).
	Elimination of the Cost of Living Adjustment (COLA)
	No base wage increase.
	Lump sum payments of $500.00 per year for non-probationary employees.

More than likely we will move on toward arbitration and these proposals will represent what the parties will be bound to supporting during hearings. As I referred to above, much of what is discussed, and the give and take, which the party are willing to make, is done during off the record discussions. These discussions apparently still offer some hope, otherwise all of the parties would have already terminated talks, as the proposals from the service are clearly way out of line.

A last point of information when it comes to the subject of arbitration over wages is worth sharing. In arbitration both parties are primarily tied to the argument of pay comparability. Meaning how are we paid in comparison to the public sector work force that do similar work to the work we perform. Unfortunately this comparison is not really in our best interest as we are compared to public sector general laborers such as dockworkers with UPS. These employees are part-time which seriously skews income figures. Neither party is allowed to argue the financial situation of the Postal Service be it good or bad. The reason is that the USPS is to be non-profit and has the ability to increase rates to pay it employees.

Unless something drastic occurs between now and December 7, 2000 it is assumed that will be when the next update will be discussed. The reason being our next Semi-Annual Meeting of the Local Unions is scheduled to begin on this date.

David E Ross

President Local 321

NPMHU