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Dayton
Business Journal...
U.S. Postal Service
eliminating 7,500 jobs
by Jeff Clabaugh, DBJ Contributor
Thursday, March 24, 2011
The U.S. Postal Service plans to eliminate 7,500 administrative and
executive jobs this year and is going to close seven district offices
as part of its ongoing reorganization. One of those offices is in Ohio.
Postmaster General Patrick Donahoe announced the reductions in
Washington Thursday afternoon and said these latest moves will save
$750 million a year.
The Postal Service will offer early buyout incentives to eligible
employees, including those who are at least 50 years old with at least
20 years of service, or any age with at least 25 years of service.
Incentives include a cash payment of $20,000 spread over two years.
“It’s critical that we adjust our workforce to match America’s changing
communications trends as mail volumes continue to decline,” Donahoe
said. “At every step and with every change, our focus remains on our
customers and continuing to provide outstanding customer service.”
While the job cuts announced Thursday are at the executive level,
Donahoe says further workforce cuts will be forthcoming.
The seven district offices that will close are in Columbus, Ohio; South
East Michigan, Northern Illinois, South East New England, South
Georgia, Big Sky and Albuquerque. Those offices house only
administrative duties, not mail services, and their functions will be
assumed by remaining district offices.
The Postal Service has already slashed payroll and operating expenses
and will close dozens of post office retail locations, with several in
the District targeted. It is also seeking Congressional approval to
drop Saturday mail delivery and to postpone payments to its retiree
health care benefits fund.
The U.S. Postal Service lost $8.5 billion last year, compared to a $4.7
billion loss in fiscal 2009.
Read it with links at the Dayton Business Journal
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