Project Title: Delivery Charge Codes
Start Date: Monday, June 26, 2017
Estimated Report Release Date: December 2017

We are conducting an audit to assess the accuracy and reliability of city carrier labor cost attribution.

City carriers perform both office and street activities. City carrier street costs are developed separately in two distinct groups: letter routes and special purpose routes (SPR).

Letter routes service virtually all delivery points daily, except Sundays. SPR are extended delivery services mainly for early mornings, evenings, and Sundays. SPR are generally located in dense urban areas and primarily deliver parcels and collect mail from designated collection points.

The Postal Service uses Labor Distribution Code (LDC) 21 to record in-office time, LDC 22 to record street time for regular routes, and LDC 23 for SPR.

• How does the Postal Service ensure city carrier work hours are accurately recorded in LDC 21, 22, and 23?
• Regarding instances when city carrier work hours were erroneously recorded, can you explain how the errors were identified?
• How are attributable costs for Postal Service products and services affected if city carrier work hours are recorded wrong?
• Are there any overarching or general concerns about the accuracy of city carrier work hours? If so, how has this impacted your business?

 

Source: USPS Office of Inspector General