Tentative Contract Agreement Reached Between USPS and NALC






The 2016 National Agreement will last 40 months, covering the period May 21, 2016, to Sept. 20, 2019.

General wage increases and pay upgrade

All letter carriers, career and non-career alike, will receive two wage increases and a pay upgrade resulting from a consolidation of the letter carrier pay grades as follows:
•1.2 percent effective Nov. 26, 2016, paid retroactively.
•1.3 percent effective Nov. 25, 2017.
•Carriers paid at the Grade 1 level will be upgraded to Grade 2, and all Grade 2 carriers will receive 2.1 percent additional compensation for all hours effective Nov. 24, 2018.

CCAs will receive additional wage increases of 1.0 percent on these three dates for a total of: 2.2 percent on Nov. 26, 2016 (paid retroactively); 2.3 percent on Nov. 25, 2017; and an additional 1.0 percent increase at the time of the upgrade, Nov. 24, 2018. These additional increases will be paid in lieu of COLAs for CCAs.

Cost-of-living adjustments for career letter carriers

All career letter carriers will receive seven COLAs based on changes in the Consumer Price Index (CPI-W) and using the existing COLA formula and the July 2014 CPI as the base month. The first two COLAs will be paid retroactively and the remaining five will be paid in the future as follows:
•The first COLA will be $21 annually effective Sept. 3, 2016, paid retroactively.
•The second COLA will be $333 annually effective March 4, 2017, paid retroactively.
•The third COLA will be effective in September 2017.
•The fourth COLA will be effective in March 2018.
•The fifth COLA will be effective in September 2018.
•The sixth COLA will be effective in March 2019.
•The seventh COLA will be effective in September 2019.

The COLAs will be applied to the two pay tables for career city carriers in the same manner used in the 2011 National Agreement.

Recently retired letter carriers

Letter carriers who have retired over the last several months will receive applicable retroactive general wage increases and COLAs. The Office of Personnel Management will also make any annuity adjustments made necessary by the retroactive increases.

Step increases for city carrier assistants

The tentative agreement would establish step increases for CCAs. In addition to the wage increases described above, CCAs will receive a 50 cents per hour raise after 12 weeks of service and an additional 50 cents per hour increase after an additional 40 weeks of service. These step increases will be paid retroactively to Nov. 26, 2016, for CCAs with paid hours since Nov. 26, 2016. For example, CCAs with 52 weeks of service as of Nov. 26, 2016, will get a $1.00 per hour raise, effective on that date and paid retroactively.

Step advancement for certain former transitional employees

Effective May 26, 2018, eligible former transitional employees (TEs) will be advanced in Table 2 of the letter carrier pay scale based on their length of service as TEs after Sept. 29, 2007. Such former TEs will be entitled to between one and four step increases as follows:

Length of creditable TE Service

2 years but less than 3 years

Number of Additional Steps 1

3 years but less than 4 years

Number of Additional Steps 2

4 years but less than 5 years

Number of Additional Steps 3

5 or more years

Number of Additional Steps 4

For those eligible former TEs converted to career status prior to May 26, 2018, the step advancement will be effective on that date. For those converted thereafter, the step advancement will be effective upon conversion to career status. All employees eligible for step advancement will retain time-in-step credit.

Health insurance

In 2017, there is no change in the Postal Service’s share of premium costs for career letter carriers’ health insurance (76 percent of the weighted average Federal Employees Health Benefits Program (FEHBP) plan premium, capped at 79.25 percent of any given plan premium). Following the pattern of previous contracts, the Postal Service’s share will decline by a total of 3.0 percent over the term of the tentative agreement. The share will decrease to 74 percent in 2018 and to 73 percent in 2019. The maximum employer contribution for any given plan will be 77.25% in 2018 and 76.0% in 2019. Over the course of the entire contract, the Postal Service’s share for career letter carriers will remain higher than that paid by other federal agencies that participate in the FEHBP (72 percent of the average premium, capped at 75 percent for any given plan).

The bi-weekly impact of these Article 21 changes will depend on which plans carriers enroll in but will, in any case, represent a small fraction of the bi-weekly pay increases provided by Article 9 of the tentative agreement.

On health insurance for CCAs, the tentative contract maintains the Postal Service’s bi-weekly contribution of $125 toward self-only coverage in the USPS Non-career Health Plan, but it would significantly increase the Postal Service’s contribution toward self-plus-one and self-and-family coverage in that plan (now set at the same $125 bi-weekly contribution available for self-only coverage). In the initial year of CCA employment, the USPS will pay 65 percent of the premium costs. In the second year of CCA employment and beyond, the USPS share would rise to 75 percent of the total premium.

Job security protections for letter carriers

The no-layoff clause that protects letter carriers after six years of service as career employees is retained in the tentative agreement. In addition, prohibitions against contracting out city carrier work would be continued for the duration of the 2016-2019 contract, if the contract is ratified.

Joint Workplace Improvement Process

The tentative accord includes an MOU on improving workplace culture. The parties have agreed to establish a Joint Workplace Improvement Process to address a number of issues to provide safe, efficient work environments in which employees are treated with dignity and respect.

CCA complement and conversion to career status

Upon ratification, there would be a one-time conversion to career status for CCAs with relative standing date at least 30 months prior to the ratification date. The conversions would work as follows:
•In 200-workyear offices, eligible CCAs will be converted to full-time regular career status in their installation.
•In 125- and 100-workyear offices, eligible CCAs will be converted to part-time flexible career status in their installation, rather than waiting to convert to full-time career status as a CCA.

The parties have agreed to consider the possibility of another one-time conversion after one year.

Additionally, the parties have agreed to address situations where CCAs work in small offices with no clear path to a career opportunity.

There is no increase to the CCA employment caps in Article 7 of the Agreement or to the number of CCAs currently on the rolls. However, the Postal Service will maintain a percentage of the additional CCAs previously agreed to by the parties through a number of MOUs. These MOUs, which would continue in the tentative agreement, have provided additional career conversion opportunities for CCAs, about 47,000 to date. The vast majority of these CCAs did not have to serve probationary periods as career employees. The MOUs continue to include a weekly meeting to monitor appropriate staffing levels through career conversions and voluntary transfer requests.

CCA holidays

The tentative agreement provides for six paid holidays for CCAs.

CCA leave provisions in local agreements

The agreement requires the parties to negotiate choice and incidental leave provisions for CCAs during local implementation. It also establishes an alternate dispute resolution process for impasses related to CCA leave prior to arbitration.

Article 8 improvements

All overtime, regardless of whether such overtime was worked on a carrier’s own route, will count toward equitability for overtime desired list (ODL) carriers. Additionally, management will be required to post equitability totals weekly, rather than quarterly.

An MOU is incorporated into the agreement to continue to allow the local parties the option of developing a process that allows employees who transfer from another installation or are converted to full time following the signup period to place their names on either the ODL or the work assignment list. Existing agreements pursuant to previous versions of this MOU will remain in effect.

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    I expected NOTHING, and got NOTHING. Thanks, for NOTHING!

  • The Dude

    Irish no one gives a shut about what you wanted in the contract. Go fuck yourself you whiney bitch!

  • Joel Conley

    Seems like a pretty good contract to me.. better pay for CCA’s.. pay raises throughout the first year (so maybe we can retain more of them)..the pay raise in 2018 looks nice. I am happy that they are seeking to work on making the in office work culture better, I wish this would have been able to be resolved in the actual contract.. I’m afraid that the MOA’s will amount to nothing of significance. I also wish it could have been a little longer of a contract. I think one of our recent contracts was a 5 year contract.


    Go suck your postmaster off you FAG ASS,

  • Old Mailman

    Why would you want a longer contract since the raises again will be only 1% and not the 3% we should be getting along with the giveback on the healthcare contribution? and it should actually have been a year shorter so we will be negotiating at the same time and possibly joint bargaining with the APWU.I’m voting no even though there is nothing we can do to stop this from being ratified.

  • Joel Conley

    I like a long contract better for 2 reasons.
    The biggest reason is because when or contracts expire there is usually a year or more between when the contract expires and a new contract is negotiated or arbitrated when we receive no COLA’s or scheduled Pay raises. When there is a long contract that extends the amount of time that we have scheduled raises. This can always be rectified by retroactive pay raises (like in the current contract).. but I would rather have the raises sooner rather than later.
    I also like the stability of a longer contract. I know this is just personal preference.
    Also this is a negotiated contract, not an arbitrated one. You can absolutely stop it if the majority of carriers agree with you that it is a bad contract.

  • RichardCubbuc

    I’m retired for a few years now, (36 years service as a City Letter Carrier) so this won’t affect me much. That being said, I think NALC negotiators game up with a good square deal. Happy for ALL my fellow letter carriers that are still casing and delivering that mail. YOUR retirement day WILL COME!!!