USPS OIG Report: Dynamic Route Optimization and Cost Savings Initiative 

Objective Our objective was to evaluate the cost savings for implementing the Postal Service’s Dynamic Route Optimization (DRO) initiative. The Postal Service began implementing the initiative in fiscal year (FY) 2016. The initiative allows for morning Highway Contract Routes (HCR) to change from a fixed-price contract with set routes (static) to a rate per mile…

 Continue reading

DOL Investigation Finds Mail Hauler Failed to Pay Employees Prevailing Wages and Fringe Benefits

U.S. Department of Labor News Release April 22, 2019 ATLANTA, GA – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Postal Fleet Services Inc. – based in Saint Augustine, Florida – will pay $329,057 in back wages and benefits to 53 employees for violating requirements of the Fair Labor…

 Continue reading

APWU: Salmon Co. Drivers in El Paso Unanimously Ratify CBA

04/22/2019 – Drivers from the newly unionized Salmon Co. in El Paso, TX unanimously ratified the terms of their first Collective Bargaining Agreement. These APWU new members received most of the terms of the negotiated Salmon contract for the Dallas Area Local. Due to the organizing efforts and continued support of Texoma Local representatives Sonny…

 Continue reading

USPS OIG Report: Highway Contract Routes – Extra Trips in Mid-Carolinas District

Objective Our objective was to assess the effectiveness of the Postal Service’s extra trip process for Highway Contract Routes (HCRs) in the Mid-Carolinas District. The Postal Service uses contracted supplier operated routes, or HCRs, to transport mail and equipment between plants, post offices, or other designated points that receive or dispatch mail. An extra trip…

 Continue reading

USPS OIG Report: Consolidation of Mail for the Atlanta NDC

Objective Our objective was to assess the efficiency of the U.S. Postal Service’s transportation consolidations of mail (loading, unloading, and trailer utilization) for long-distance Highway Contract Routes (HCR) at the Atlanta Network Distribution Center (NDC). Consolidation Deconsolidation Facility (CDF) contractors provide bedloading and recontainerization services for the Postal Service at 19 NDCs. Bedloading is when…

 Continue reading

USPS OIG Report: Consolidation of Mail for Chicago and San Francisco NDCs

Objective Our objective was to assess the efficiency of the U.S. Postal Service’s transportation consolidation of mail (loading, unloading, and trailer utilization) for long-haul Highway Contract Routes (HCR) for the Chicago and San Francisco Network Distribution Centers (NDC). Consolidation Deconsolidation Facility (CDF) contractors provide bedloading and recontainerization services for the Postal Service at 19 NDCs….

 Continue reading

OIG Report: Fuel Consumption and Cost Risk Mitigation

Background The U.S. Postal Service has a surface transportation network that, in fiscal year (FY) 2016, consisted of almost 16,000 supplier-operated highway contract routes (HCR) and about 7,600 Postal Service-owned mail transport vehicles. This fleet makes USPS one of the largest users of diesel fuel in the U.S., purchasing about 251 million gallons in FY…

 Continue reading

OIG Report: HCR Survey Compliance – Southern Transportation Category Management Team

Background The U.S. Postal Service uses highway contract routes (HCR) to transport mail between plants, post offices, or other designated points where mail is received or dispatched. This includes contract delivery service (CDS) route contracts, which are contracts with individuals or companies to deliver and collect mail from homes and businesses. As of January 2016,…

 Continue reading