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FOOTER (10PT. ARIAL, BOLD, GREY, CAPS)
TITLE OF PRESENTATION (24PT. ARIAL, BOLD, ALL UPPERCASE)
Subtitle (20pt. Arial, Bold, Title Case)
SEPTEMBER 15, 2011
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TITLE OF PRESENTATION (24PT. ARIAL, BOLD, ALL UPPERCASE) SEPTEMBER - - PowerPoint PPT Presentation
TITLE OF PRESENTATION (24PT. ARIAL, BOLD, ALL UPPERCASE) SEPTEMBER - - PowerPoint PPT Presentation
TITLE OF PRESENTATION (24PT. ARIAL, BOLD, ALL UPPERCASE) SEPTEMBER 15, 2011 Subtitle (20pt. Arial, Bold, Title Case) FOOTER (10PT. ARIAL, BOLD, GREY, CAPS) Two Announcements Mail Radical Processing Network Facility Study Realignment
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Mail Volume Shifting to a Less Profitable Mix
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Volume in Billions of Pieces
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NETWORK CAPACITY
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NETWORK CAPACITY
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Decrease in Processing Facilities Through 2011
As of 8/31/2011
Processing Facilities
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As of 8/31/2011
Processing Facilities
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Proposed Decrease in Processing Facilities Through 2013
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Mail Processing Facility Footprint
487 Facilities Today
Current Mail Processing Sites
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Mail Processing Facility Footprint
Studying 252 Facilities for Potential Closure
Currently Under Study Announced Today Gaining Sites
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Mail Processing Facility Footprint
Proposed Network
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Mail Processing Redesign
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Current Reach
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Potential Network Change
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FUTURE NETWORK Support 2-3 day Service Standards Revised Entry Times Reduced Equipment Reduced Footprint BENEFITS Eliminate Excess Capacity More Efficient Transportation Network Fully Utilized Workforces Up to $3 Billion Cost Reduction
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Driving Efficiency
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CHANGES Planning for new mail processing footprint and transport pattern Transitioning to 2-3 day service standard OUR APPROACH Industry-specific strategies Ongoing communication and collaborative solutions
Our Customers
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Our Employees
559,000 151,000 35,000
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Total Career Employees Total Mail Processing Employees Fewer Mail Processing Positions
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Our Future Network
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$20 billion Cost Reduction by 2015
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Delivery Frequency – authority to go from 6- to 5- Day Delivery FERS Refund – return $6.9 billion in overpayments to the Postal Service Resolve the current mandate to pre-fund Retiree Health Benefits by $5.5 billion annually and manage legacy cost going forward
- Transfer CSRS overpayment ($50 billion), or
- Allow Postal Service to restructure its healthcare
system to make it independent of federal programs — USPS Health Care Program
Key Areas Requiring Legislative Action
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Managing Workforce – allow reductions in the number of bargaining unit postal employees to follow Reduction-in-Force provisions applicable to other federal employees Retirement Plan – allow Postal Service to provide a defined contribution retirement plan for its new hires; can be accomplished via OPM Streamlined Governance Model to speed pricing and product decisions
Key Areas Requiring Legislative Action
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FOOTER (10PT. ARIAL, BOLD, GREY, CAPS)
TITLE OF PRESENTATION (24PT. ARIAL, BOLD, ALL UPPERCASE)
Subtitle (20pt. Arial, Bold, Title Case)