Rural contract arbitration results announced

From USPS Newslink:

The outcome of the binding arbitration process between USPS and the National Rural Letter Carriers’ Association has resulted in a contract.

The agreement is effective July 3, 2012 and lasts through May 20, 2015.

The Postal Service is facing a critical financial situation that requires both substantial cost savings from within, as well as substantive legislative reforms from Congress. The arbitrator’s decision includes important cost-savings provisions that will benefit the Postal Service over the life of the contract. However, it does not go as far as the Postal Service believes is necessary to address its financial challenges.

The results of the Interest Arbitration Award include the following provisions:

  • A 2-year wage freeze, followed by modest increases
  • A lower wage scale for new career employees (more than 10 percent lower)
  • Lower wages for new non-career employees (more than 20 percent lower)
  • An increase in the employee share of health insurance premiums (the same phased-in schedule as the American Postal Workers Union agreement)
  • An agreement to reopen health insurance negotiations if Congress or another union acts on a proposal for new health insurance package other than the Federal Employees Health Benefit plan.
  • Work standard changes that will improve productivity and lower costs

The NRLCA statement on the award is available at

Click here to download the award directly from the NRLCA web site

Rural Carrier Contract Award