SAFETY: Boring or Necessary?

Its all about going home to your family every night.

An RCA from a Missouri Post Office was driving her privately owned vehicle (POV) when she was involved in a motor vehicle accident. She had completed her route and was returning to the Post Office when another driver lost control of their vehicle and hit the carrier head on.
3

The carrier was transported to a local hospital and was pronounced dead at approximately 6:30 PM CST.

THE CARRIER WAS EJECTED FROM THE VEHICLE BUT SURVIVED THE ACCIDENT. THE INVESTIGATION SHOWED THAT THE CARRIER WAS WEARING A SEAT BELT BUT THAT IT HAD MALFUNCTIONED DURING THE ACCIDENT.

10

SAFETY AND ENVIRONMENTAL PERFORMANCE MANAGEMENT

Motor Vehicle Accidents (MVAs) Rural Carriers YTD MARCH 2012

Source: EDW/MSTR/HS Reports Last Data Download Date: 4/16/2012 Des Acts: 710, 700, 701, 720, 730, 740, 750, 760, 770, 780, 790

YTD DECEMBER FY 2012

Slide # 12 Date Prepared : 1/19/12 Prepared by: jgr/s&h

MVAs Rural Carriers FY 2010, 2011 & 2012 MONTHLY TREND CHART
900 800 700 600 500 400 300 FY 12 FY 11 FY 10

Oct 499 495 457

Nov 516 519 393

Dec 675 813 668

Jan 566 721 623

Feb 447 591 589

Mar 491 491 429

Apr 407 410

May 452 456

Jun 532 523

Jul 501 554

Aug 533 563

Sep 462 445

YTD DECEMBER FY 2012

Slide # 13 Date Prepared : 1/19/12 Prepared by: jgr/s&h

MVAs Rural Carriers YTD BY AREA RANKED % DIFF TO SPLY

Sorted

Area
C -EASTERN J -GREAT LAKES F -PACIFIC B -NORTHEAST E -WESTERN G -SOUTHWEST K -CAPITAL METRO Area Total

YTD FY 10
627 392 111 282 562 668 517 3,159

YTD FY 11
702 500 135 381 646 703 563 3,630

YTD FY 12
556 402 110 316 568 685 557 3,194

YTD DIFF (12 to 11)

-146 -98 -25 -65 -78 -18 -6 -436

YTD % DIFF (12 to 11)

-20.80% -19.60% -18.52% -17.06% -12.07% -2.56% -1.07% -12.01%

YTD DECEMBER FY 2012

Slide # 14 Date Prepared : 1/19/12 Prepared by: jgr/s&h

MVAs Rural Carriers YTD BY CLUSTER RANKED % TO SPLY - TOP 10

YTD MARCH 2012
YTD DIFF (12 to 11) -6 -7 -11 -28 -25 -23 -8 -45 -19 -24
SORTED

Rank
1 2 3 4 5 6 7 8 9 10

Area
PACIFIC NORTHEAST EASTERN WESTERN SOUTHWEST WESTERN PACIFIC EASTERN EASTERN NORTHEAST

Cluster
967-HONOLULU PFC 117-LONG ISLAND PFC 140-WESTERN NEW YORK PFC 570-DAKOTAS PFC 760-FORT WORTH PFC 840-SALT LAKE CITY PFC 920-SAN DIEGO PFC 400-KENTUCKIANA PFC 440-NORTHERN OHIO PFC 060-CONNECTICUT VALLEY PFC

FY 11
7 9 22 57 52 55 23 132 58 74

FY 12
1 2 11 29 27 32 15 87 39 50

YTD % DIFF (12 to 11) -85.71% -77.78% -50.00% -49.12% -48.08% -41.82% -34.78% -34.09% -32.76% -32.43%

YTD DECEMBER FY 2012

Slide # 15 Date Prepared : 1/19/12 Prepared by: jgr/s&h

YTD DECEMBER FY 2012

Slide # 16 Date Prepared : 1/19/12 Prepared by: jgr/s&h

16

YTD DECEMBER FY 2012

Slide # 17 Date Prepared : 1/19/12 Prepared by: jgr/s&h

18

19

EMA
April 7, 2012 (Pay Period 9) EMA Rate (Increase BY 1.5 Cents) = 71.5 Cents Per Mile Or a Minimum of $28.60 Hourly Rate = $7.75 Next CPI-W (May) is Scheduled To Be Released on June 14, 2012
20

21

EMA COMPONET COMPARISON 2009 vs. 2012

22

RELATIVE IMPORTANCE OF COMPONENTS IN THE CPI-W

Motor vehicle insurance Motor vehicle maintenance and repair
7.07%

2009

2.99%

Motor vehicle fees

13.97%

2.29%

46.83%

26.85%

Motor vehicle parts and equipment New and used motor vehicles Motor fuel

2012

24

EMA vs. USPS Vehicles

As of PP 08/2012

EMA 38,372 routes 2,533,490 miles

( 2,541 less routes on EMA than previous year )

USPS 35,089 routes 960,455 miles

(MOU requires 40,804 USPS Vehicles by December 2013)

EMA routes represent 52.23 % USPS routes represent 47.77% EMA rts travel an avg. 66.02 miles daily. USPS rts travel an avg. 27.37 miles daily.
25

USPS DATA

26

27

28

29

30

National Route Data

As of Pay Period 08/2012 = 73,461 routes
H Routes = 12,330 or 16.8% J Routes = 17,277 or 23.5% K Routes = 37,677 or 51.3% A Routes = 6,172 or 8.4 % All Regular = 67,289 Mileage Routes = 5 = = = = +0.01% SPLY -1.30% SPLY +1.30% SPLY -0.1% SPLY

31

Route Averages
L Routes Non-L routes All routes Stops Regular boxes Central boxes Route length Standard hours average 631 boxes average 452 boxes average 551 boxes average 424 average 438 average 113 average 47.56 miles average 47.05 (47:03)
32

Breakdown of Average Rural Route Evaluation by Work Elements

All Constants 4% Random Letters 3% All Other Elements 16% Boxes* 34%

Parcels 4%

DPS Letters 9% Flats 10% Route Length 20%

33

34

TRC REPORT
AREA NORTHEAST EASTERN WESTERN PACIFIC SOUTHWEST GREAT LAKES CAP METRO NATIONAL REGULAR ROUTES 4,915 12,054 11,849 2,549 16,855 8,778 10,145 67,175 TRC COMPLIMENT 291 1,408 357 219 527 280 494 3,576 % OF TRCS .06 .12 .03 .09 .03 .03 .05 .05 TRCS ALLOWED 737 1,808 1,777 382 2,532 1,316 1,521 10,076

-(108) SPLY

LEGISLATIVE

36

Senate Passes S. 1789 by a vote 62-38

S. 1789 passed April 25, 2012 60 Votes were required for final passage 39 total amendments offered, each required 60 votes to be accepted Udalls amendment to maintain 6 day mail delivery failed 56-43. The NRLCA opposed final passage

Senate Majority Leader Harry Reid (D-NV)

What S. 1789 Does

Returns $11 billions in FERS money Some of the money can be used for voluntary separation who leave the the USPS by Oct 1, 2015 The USPS may offer either a cash buyout up to $25K, or Additional service credits for CSRS (1 year) or FERS (2 years) employees Hope the voluntary separation will lead to an 18% reduction in career employees Allows the USPS to eliminate Saturday mail delivery in 2 years Must identify customers who may be disproportionately affected by 5 day and develops measures to ameliorate the negative impact Determines 5 day delivery is necessary to achieve long-term solvency Modified overnight delivery standard for First-Class Mail and periodicals for a period of 3 years. Changes FECA Benefits Requires certain steps to be taken before a post office or processing facility can be closed or consolidated

Next Steps
Wait & See period for the House to act Once the House passes a bill, both bills will have to go to Conference Committee

Congressional Bills
H.R. 2309
Permit the Postal Service to reduce mail delivery from six to five days per week; Transfer about $11 billion in FERS surplus retirement contributions to the Postal Service Fund; Reduce the contribution made by the Postal Service for employees health and life insurance premiums; **Currently, the Postal Service pays 78.5 percent of the health insurance premiums and 100 percent of the life insurance premiums for most of its employees. H.R. 2309 would lower those employer contributions to about 70 percent for health insurance and 33 percent for life insurance. For employees covered by a CBA, the lower employer contributions would take effect after the expiration of the agreement. Change the payments that the Postal Service is required to make to the Postal Service Retiree Health Benefits Fund (PSRHBF)

S. 1789
Prohibits USPS from eliminating Saturday delivery for at least 2 years Transfers about $11 billion the USPS has overpaid into FERS Use it to offer cash buyouts to reduce the workforce or credit service years toward retirement Workers Compensation Reforms-compensation levels for new enrollees would be set at 66 2/3 percent of salary until retirement. At retirement, compensation would be reduced to 50 percent of salary at time of injury. Arbitration language Creates a 40 year amortized payment schedule for retirees health benefits; reduce the prefunding goal to 80% The bill also allows the amount of these payments to be reduced if the PMG and the postal unions can negotiate a separate USPS health insurance plan

41

USPS PROPOSED

42

Labor Relations Update

43

National Arbitration

Currently there are 18 cases pending 9 of those cases are city/rural disputes

44

National Step 4s Pending

Currently there are 47 cases pending

45

Area Arbitration

Currently there are 466 cases pending 219 of those cases are contractual 247 of those cases are discipline

46

Step 3 Appeals
May 15, 2012 = 1179 Step 3 Appeals. 2011 = 1273 2010 = 1534 2009 = 1435 2008 = 981 2007 = 1,044 2006 = 937 2005 = 972

NLRB Open Cases

Currently there are 31 cases open with the National Labor Relations Board

48

ITS NOT WORTH YOUR JOB!

National Steward System

Scheduled to become Effective November 3, 2012

District Representatives Assistant District Representatives Area Stewards 217 job offers/contracts were mailed out on February 24, 2012. All individuals who were offered DR or ADR contracts were recommended by the State Board and/or the State Steward. (Except HI & AK) 23 Contracts (12.43%) were offered to individuals not currently State/Assistant State Stewards.

DR:
Positions Offered: 48 Positions Accepted: 48

Full Time ADR:

Positions Offered: 39 Positions Accepted: 39 Total Full Time Representatives = 87 Currently there are 56 Full Time State/Assistant State Stewards. NSS adds 31 Full Time Positions nationwide.

Part Time ADR:

Positions Offered: 99 Positions Accepted: 97

Total:
Positions Offered: 188 (RR, DR, ADR) Positions Accepted: 184 Note: The 2 part-time ADR positions that remain open will not be filled at this time.

Proposed vs. Actual

RR: 4 proposed DR: 54 proposed FT ADR: 37 proposed PT ADR: 115 proposed Total proposed: 210 4 actual 48 actual 39 actual 97 actual 188 actual

Representative Ratio

There are a total of 184 DRs and ADRs. This equates to one steward/representative for every 400 routes.

 Area Stewards:
Positions Initially Offered: 32 Positions Accepted: 20 These positions were offered to current State or Assistant State Stewards that were not offered DR or ADR positions. Additionally, 143 Area Steward contracts will be offered to current Local and Area stewards.

USPS April 2011

Western Great Lakes Eastern

Northeast

Capital Metro

Pacific

Southwest
Northeast

57

Routes: 5,524 DR: 4 FT ADR: 2 PT ADR: 17 Total = 23 Stewards

Routes: 13,435 DR: 9 FT ADR: 6 PT ADR: 16 Total = 31 Stewards

Albany
Position DR FT ADR PT ADR PT ADR PT ADR Name Heidi Taylor Catherine Miles Frank Opper Heidi Lampert Jeff Hawley No. 19 7 18 6 9

No. New England

Position DR FT ADR PT ADR PT ADR PT ADR PT ADR PT ADR Name Paul DeFranc Catherine Miles Hank Traver Bill Lebeau Debrah Maddox Margaret Schillemat Neal Yeaton No. 4 7 3 5 2 8 1

2 4 3

5 6

Connecticut Valley/Greater Boston

Position DR FT ADR PT ADR PT ADR PT ADR PT ADR Name Art Courcy Bill Smith Laurie Raimer Don Ryle Peter Allatin Dean Melcher No. 19

7 8 9

10 21 13 11 22 12
13 10 12 11

No. NJ/Caribbean/Westchester/Long Island

Position DR PT ADR PT ADR PT ADR PT ADR PT ADR Name Phil Tremper Margaret Thorne TBD Steve Martino Dickson Matos Pete Kowal 14 20 17 No. 16 15

18 17 16 14

22 21

15

20

Position DR FT ADR PT ADR PT ADR

Appalachian Name Gareth Settle Roger Robinson Randy Anderson Richard Morrison Cincinnati Name Cathy Funderburgh Mike Aitchison Randy Anderson

Central PA No. 7 8 13 10 Position DR FT ADR PT ADR PT ADR Name Barbara Callahan Sandy Clay Deb Staub Joe Duschl Chrissy Miller Greg Wolverton No. 26 21 20 27 22 25
31 30

Position DR FT ADR PT ADR

No. 9 11 13

PT ADR PT ADR

Kentuckiana Position Name Frankie Hunt Keith Cannon Tim Thompson Tennessee No. 3 6 5
17 15 16 18 28 27 26 22 19 20 10 21 24 25 29

Northern Ohio Position Name DR PT ADR PT ADR Delbert Hutchisson Mike Wallis Susan Thayer

No. 16 17 15

DR FT ADR PT ADR

Southern Jersey/Philadelphia Position Name DR PT ADR PT ADR PT ADR PT ADR Michael Swain Carol Friend Greg Wolverton William Collins Deb Staub

Position No. 24 23 28 25 20 DR FT ADR FT ADR

Name Pat Hashbarger Rick Harris Von Dykstra

No.

14 11 13

2 4 1

23

Western New York Position Name DR PT ADR PT ADR Karen Kipp Debby Everts Fred Kinner

No. 31 30 29

6 5

8 3

Western Pennsylvania Position Name DR PT ADR PT ADR PT ADR PT ADR Gwyneth Whitfield Randy Anderson Kathy Gerhard-Kempner TBD Terry Morgan

No. 19 13 18 14

4 1 2

Advantages of NSS
The NSS is designed to transfer the responsibility of stewards from the respective State to a postal district. Allows flexibility to assign representatives to multiple districts and in some cases multiple areas. In most cases, this results in a smaller geographical area and less routes for each representative to cover.

DR and ADR Responsibilities

Will attend State Conventions. Will attend Local/County/District meetings. Will attend State Board Meetings. Will attend Area Conferences. Will conduct Labor Relations Seminars. Will conduct Local Steward Training. Will conduct Enhancement Training. Will conduct Mail Count Seminars.

NSS Implementation
Target Date November 3, 2012 The number of representatives, full time and part time, is our starting point. National Board may increase/decrease based upon work load and geographical needs. Adding part time vs. full time employees Mentoring Area/Local Stewards

CHAPTER 5-MEETINGS

CHAPTER 5-MEETINGS

CHAPTER 5-MEETINGS

CHAPTER 5-MEETINGS

CHAPTER 5-MEETINGS

NRLCA Constitution language

The following constitutional language is applicable to Regional Representatives, District Representatives and Full Time Assistant District Representatives. Article IX A person serving full time in this position cannot serve on their respective State Board.

Routes & Membership Data

72

FINANCIAL
Financial Trends Of The NRLCA Programs & Services

MEMBERSHIP 10 YEAR REVIEW

Year 2012(YTD) 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 Routes 73896 74591 75935 68317 68317 65770 63984 62298 61228 60457 58468 15428 Regular 54240 55122 55957 56595 56834 55519 54227 52708 51480 51004 50567 3673 Relief 30098 30708 32070 33900 33561 31906 29168 28754 27687 26866 25486 4612 Retired 19711 20583 20867 21070 21627 22384 22759 23151 23858 24450 24981 (5270) Associate 590 724 969 1065 1260 1361 1410 1327 768 725 865 (275) Total 104639 107137 109863 112630 113282 111170 107564 105940 103793 103045 101899 2740

STATEMENT OF FINANCIAL POSITION TREND

4,676,103 3,446,942 8,254,224 6,483,890 Assets 30-Jun-10 9,571,500 7,747,401 8,278,923 5,555,205 0 5,000,000 10,000,000 15,000,000 Liabilities

10 Months 2012

30-Jun-11

30-Jun-09

STATEMENT OF ACTIVITIES TREND

16,000,000 14,000,000 12,000,000 10,000,000 8,000,000 6,000,000 4,000,000 2,000,000 0 30-Jun-09 30-Jun-10 30-Jun-11 10 Months 2012 13,292,660 14,309,247 13,930,967 13,015,089 11,850,735 14,196,366 14,106,003 12,310,581

Revenue Expenses

FUNCTIONAL PROGRAMS & SERVICES

Functional Fixed Cost Basis - 10 Months
Magazine 6% 9% 4% 49% 8% Labor Relations Seminars Steward Training National Convention State Meeting Contract Negotiations 11% 8% 3% 1% 1% Insurance Govt Affairs 0% Facilities Administrative

Route Growth vs. Membership

Routes (Reg & Aux) 2012 -- 73461=(-) 1130 (PP/08) 2011 74591= (-)1344 (PP/11) 2010 75935= (-) 823 2009 76758= (+) 185 2008 76573= (+) 2945 2007 73628= (+) 1373 2006 72255= (+) 1974 2005 70281= (+) 741 Membership 104,713 = (-) 2845 (PP/08) 107,558 = (-) 2317 109,875 = (-) 2357 112,630 = (-) 652 113,282 = (+) 1389 111,893 = (+) 4329 107,564 = (+) 1624 105,940 = (+) 2147

5000

4329
4000

ROUTES MEMBERS
2147 1866 2279 1654 1485

3000

2000

1389

1000

185
0

2005
-1000

2006

2007

2008

2009
-652 -1243

2010
-837

2011
-262

2012
-1130

-2000

-2357
-3000

-2317 -2845

-4000

79

WITHHELD DATA.
1,500 + ROUTES POSTED PER EXPIRATION OF M.O.U. RCAS CONVERTED TO REGULAR DOES NOT SHOW INCREASE IN MEMBERSHIP WILL INCREASE BOTTOM LINE.
80

Can we preserve the Evaluated System??

Rural Evaluated System

Not for pay purposes only !!!!! Managers must understand principles.

Carriers must understand principles.

83

Are we REALLY 5.25 hours under??

The USPS believes the graph UNDERSTATES the hours under evaluation. Then NRLCA believes the graph OVERSTATES the hours under evaluation. Postal Service EXCLUDES vital data. Payroll work hours do not always reflect what is recorded on PS Form 4240.

CONTRIBUTING FACTORS
Splitting routes. Limited Duty. Business routes; closed on Saturday. Christmas Overtime Period excluded.

What can carriers do to help?

Ensure actual work hours are recorded accurately every day. Lunch Breaks, early reporting? Confront violators. File grievances when necessary.

BUFFALO NIAGARA WELCOMES THE NRLCA

108th National Convention Hotel Information

BUFFALO NIAGARA CONVENTION CENTER

110,000 square feet of function space, including a 64,410 square foot unobstructed exhibit hall Exhibit Floor with unlimited weight load Ceiling Height of 36 feet 22 Breakout rooms and a 12,367 foot ballroom Accommodates 7,000 people for a meeting, and 5,000 for banquets Flexible and functional space Portable seating/staging, tables, podiums, microphones, public address system

August 14-17, 2012 Buffalo, New York

Buffalo Niagara Convention Center

Participating hotels have agreed to sponsor the rental expense of the Buffalo Niagara Convention Center based on a room block pick up of 80%. Should room block fall below 1,400, cost would be full rental of $28,000.00. Complimentary transportation service between the Adams Mark; Hyatt Regency; Comfort Suites and the Buffalo Convention Center Parking is between $6.00-$12.00 per day depending on the need to go in and out 6,000 parking spaces conveniently located around the convention center to include ramps, surface lots and street parking 90

HEADQUARTERS HOTEL

Hyatt Regency Buffalo

Hyatt Regency Buffalo National Headquarters Hotel

Flat rate of $139 13.75% tax Suites $278 on up Complimentary usage of refrigerators, not to exceed hotels inventory Complimentary usage of rollaway beds, not to exceed hotels inventory Self parking is between $6.00-$12.00 per day depending on if the need to go in and out Valet parking is not available
92

Hyatt Regency Buffalo

2 Fountain Plaza - Buffalo, NY 14203
395 sleeping rooms including 15 suites Twenty-four function rooms with over 20,000 square feet of meeting and banquet space Award-winning four-star E. B. Green's Steakhouse featuring live entertainment and the private Director's Room for up to 50 people Harriets Restaurant with seasonal menu for breakfast, lunch and dinner, seven days a week The 24-hour Business Center offering copying, faxing, computer and Internet Services Fitness Facility Business Plan and Gold Passport Levels available Bridge walk way directly to Convention Center

AUXILIARY HOTEL

Adams Mark Buffalo

Adams Mark Buffalo Niagara Auxiliary Headquarters Hotel

Flat rate of $139 13.75% tax Complimentary usage of refrigerators, not to exceed hotels inventory Complimentary usage of rollaway beds, not to exceed hotels inventory Self parking is $10 per day Valet parking is not available
95

Adams Mark Buffalo

120 Church Street- Buffalo, NY 14202
486 Deluxe sleeping rooms featuring complimentary high speed internet WI-FI Internet access in public areas Deco Restaurant serving breakfast lunch and dinner as well as 24 hours room service Upscale Tiffany Rose lounge featuring an extensive wine list 72,000 square feet of state of the art meeting and banquet space making it Buffalos largest hotel and conference center In-House Audio Visual Department & extensive equipment inventory Full service business center featuring high speed DSL internet access

Comfort Suites Downtown Buffalo

Flat rate of $139 13.75% tax Complimentary self-parking for registered guests Complimentary usage of refrigerators, not to exceed hotels inventory Complimentary usage of rollaway beds, not to exceed hotels inventory Toll free telephone calls up to 20 minutes each 3 Blocks from Convention Center
97

OVERFLOW HOTELS
Comfort Suites Downtown Embassy Suites

Embassy Suites Downtown Buffalo

Flat rate of $169.95 13.75% tax Self parking is $10 per day Complimentary usage of refrigerators, not to exceed hotels inventory Complimentary usage of rollaway beds, not to exceed hotels inventory 3 Blocks from Convention Center
99

BUFFALO'S INTERNATIONAL AIRPORT IS THE GATEWAY TO BUFFALO NIAGARA

The Buffalo Niagara International Airport's terminal opened in 1997. The airport is presently serviced by all major carriers with approximately 300 arriving and departing flights daily, and is ONLY 15 minutes from downtown Buffalo.

Low cost air carriers flying in and out of Buffalo Niagara:

National Convention
August 14-17, 2012 Buffalo, NY August 13-16, 2013 St. Louis, MO August 12-15, 2014 Grapevine, TX August 18-21, 2015 Reno, NV August 16-19, 2016 Nashville, TN