usps network presentation
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8/4/2019 USPS Network Presentation
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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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Two Announcements
RadicalNetwork
Realignment
MailProcessing
Facility StudyList

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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 FacilitiesThrough 2011
As of 8/31/2011
P r o c e s s i n g
F a c i l i t i e s
6

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P r o c e s s i n g
F a c i l i t i e s
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Proposed Decrease in Processing FacilitiesThrough 2013

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Mail Processing Facility Footprint
487 Facilities Today
Current Mail Processing Sites8

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Mail Processing Facility Footprint
Studying 252 Facilities for Potential Closure
Currently Under Study
Announced Today
Gaining Sites 9

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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 Reduction14
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
151,00035,000
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Total Career Employees
Total Mail Processing Employees
Fewer Mail Processing Positions
O

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Our Future Network
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$20 billi C R d i b 2015

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$20 billion Cost Reduction by 2015
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K A R i i L i l ti A ti

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Delivery Frequency – authority to go from 6- to 5-Day Delivery
FERS Refund – return $6.9 billion in overpaymentsto the Postal Service
Resolve the current mandate to pre-fund Retiree
Health Benefits by $5.5 billion annually andmanage 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
K A R i i L i l ti A ti

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Managing Workforce – allow reductions in thenumber of bargaining unit postal employees tofollow Reduction-in-Force provisions applicableto other federal employees
Retirement Plan – allow Postal Service to
provide a defined contribution retirement planfor its new hires; can be accomplished via OPM
Streamlined Governance Model to speedpricing 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)