Postal Labor Contract ‘Falls Short’ of Savings, Issa Says

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Postal Labor Contract ‘Falls Short’ of Savings, Issa Says - Bloomberg

The U.S. Postal Service, which negotiated a contract with its biggest labor union that would save $3.8 billion over 4 1/2 years, won’t save enough under that agreement, the agency’s top House overseers said.

The contract with the American Postal Workers Union won’t return the agency to profitability, House Oversight and Government Reform Committee Chairman Representative Darrell Issa, a California Republican, said today.

“This contract falls short,” Issa said at a hearing about the Postal Service’s labor costs. “We have deep concerns that some of the provisions of the contract may in fact be the wrong direction, to less flexibility, less ability to trim the workforce and less ability to in the future make the kinds of investments we need to make.”
 
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