{"id":32156,"date":"2022-05-06T08:24:10","date_gmt":"2022-05-06T13:24:10","guid":{"rendered":"https:\/\/postalemployeenetwork.com\/news\/?p=32156"},"modified":"2022-05-06T08:24:10","modified_gmt":"2022-05-06T13:24:10","slug":"pmg-and-ceo-louis-dejoys-remarks-during-may-5-2022-postal-service-board-of-governors-meeting","status":"publish","type":"post","link":"https:\/\/postalemployeenetwork.com\/news\/2022\/05\/06\/pmg-and-ceo-louis-dejoys-remarks-during-may-5-2022-postal-service-board-of-governors-meeting\/","title":{"rendered":"PMG and CEO Louis DeJoy\u2019s Remarks During May 5, 2022, Postal Service Board of Governors Meeting"},"content":{"rendered":"<p><a href=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2020\/05\/PMG-Louis-DeJoy.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-medium wp-image-28665\" src=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2020\/05\/PMG-Louis-DeJoy-300x173.jpg\" alt=\"\" width=\"300\" height=\"173\" srcset=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2020\/05\/PMG-Louis-DeJoy-300x173.jpg 300w, https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2020\/05\/PMG-Louis-DeJoy-123x70.jpg 123w, https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2020\/05\/PMG-Louis-DeJoy.jpg 478w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n<p>WASHINGTON, DC \u2014\u00a0<em>The below remarks are as prepared for delivery by Postmaster General and CEO Louis DeJoy during the open session meeting of the Postal Service Board of Governors on May 5, 2022.<\/em><\/p>\n<p>\u201cThank you, Mr. Chairman. Good afternoon, everyone and thank you for joining us today.<\/p>\n<p>I would like to thank the Chairman for his kind comments and his support as well as all our Governors for their guidance and public service. We are all participating in the transformation of the United States Postal Service.<\/p>\n<p>I\u2014and the management team\u2014look forward to your continued consultation as we move forward with the many initiatives underway at the Postal Service.<\/p>\n<p>I would also like to recognize Governor Barger and thank him for his service and his support in what may be his last Board meeting.<\/p>\n<p>Governor Barger\u2014your enthusiasm for the organization, support for our leadership team, and specifically your support for me during extraordinary times\u2014has been an important ingredient to the many accomplishments we have made over the last 2 years.<\/p>\n<p>You leave us \u2013 having made an impression on the organization\u2014that will survive your tenure.<\/p>\n<p>The Postal Service management team has been and continues to be very active in pursuing the goals and objectives of the Delivering for America Plan.<\/p>\n<p>Of note is the passage of the Postal Reform Act\u2014which freed the Postal Service from the unfair burdens placed upon us in the 2006 legislation.<\/p>\n<p>I would like to thank Chairs Maloney and Peters, Ranking Members Comer and Portman, Leaders Schumer and McConnell, and Speaker Pelosi and Leader McCarthy for their collaboration and support in passing this bi-partisan legislation.<\/p>\n<p>I would also like to thank all the people who worked in a collaborative and tireless manner\u2014specifically our union leadership, our management associations, our customers, and our mailing industry associations.<\/p>\n<p>Together, we have cleared the way to accomplish the many other initiatives needed to enable the Postal Service to thrive and improve its relevance to the American People.<\/p>\n<p>And finally\u2013I would like to recognize Peter Pastre and our Government Relations team, Tom Marshall and our Legal team and Jeff Adams and our Communications team for the many contributions they made by keeping the Postal voice and message front and center as we navigated towards accomplishment.<\/p>\n<p>Job well done by all!<\/p>\n<p>The Postal Service Reform Act includes language that requires the Postal Service to deliver to 161 million delivery points 6 days a week\u2014forever. This was an important strategy in the Delivering for America Plan and what I believe is an important ingredient to our success.<\/p>\n<p>All efforts are now focused on getting mail and packages\u2013together\u2013into our carrier\u2019s bags and vehicles in the most cost-effective way\u2013as we deliver to every American household and business\u2014six days a week\u2014and some on Sunday.<\/p>\n<p>When we succeed at improving our cost of operations, product portfolio and service reliability, we will become the preferred delivery provider in the nation\u2014not only by having the most assured service and being the most affordable\u2026but also by being the most environmentally friendly method of delivering to each American Household\u2014after all\u2014we are going there anyway\u2014the law requires us to\u2014and we have room in our bags.<\/p>\n<p>Over the next several months the Postal Service will finalize its plans to reinvent and modernize its network of processing centers and delivery units to achieve these objectives.<\/p>\n<p>There is so much great and collaborative work being done throughout the organization to increase our operational precision and cost of performance\u2026and therefore the quality of our service to our customers\u2026and the American people.<\/p>\n<p>The increased energy, focus and aspirations I have seen from our team over the last year are remarkable, and I thank our leadership team for their transformational efforts.<\/p>\n<p>We are ready for our long journey to make both the transactional and structural improvements required to finish what we set out to do\u2026Deliver for America.<\/p>\n<p>A couple of other important notes.<\/p>\n<p>Later in this session you will hear Scott Bombaugh report on service.<\/p>\n<p>I want to point out that Market Dominant Products are in striking distance of 95% on time delivery and that the actual average days to deliver on all market dominant mail is 2.7 days. This means the speed to deliver is on average as fast as it was pre-pandemic, pre-First Class standard changes\u2014and pre-Louis DeJoy.<\/p>\n<p>The Processing and Logistic team led by Isaac Cronkhite\u2014as well as the Retail and Delivery team led by Dr. Josh Colin are laser focused\u2014plant by plant\u2014and delivery unit by delivery unit\u2014to ensure that every piece we handle arrives at in your mailbox in a timely manner.<\/p>\n<p>A massive effort is well underway\u2014to improve on poor operating practices that have been embedded into our system\u2014over the past many years.<\/p>\n<p>Package delivery service scores are also improving as we begin to unwind the\u2014plus one day\u2014pandemic structure and move to reach our regular targets.<\/p>\n<p>It will take both DAILY operational management improvements \u2026as well as multi-year structural endeavors\u2014for us to reach our service goals, but we are on our way.<\/p>\n<p>Concerning our sales, marketing and solutioning efforts\u2014Steve Monteith and Shavon Keys are rolling out USPS connect across the country with a great deal of excitement.<\/p>\n<p>We are being well received in local communities\u2014and as we perfect this service offering, we are confident we will reach our revenue goals concerning the competitive shipping business\u2014 and we will we improve our position in same day\u2014next day and two-day delivery market.<\/p>\n<p>You may note that I said solutioning. In fact, we have put forth a new group led by Jakki Strako, that will work specifically with shippers on how to use the many existing and new features of the Postal Service\u2014as we roll out new entry points, network improvements and advances in information and execution technology.<\/p>\n<p>There are many ways to use the Postal Service to meet commercial shipping needs \u2013and we aim to brag about it.<\/p>\n<p>As everyone is aware, there is a lot of activity about the acquisition of our new vehicles.<\/p>\n<p>I want to remind our attendees that we made a decision and at this point, only purchased 50,000 vehicles \u2013 not 200,000 vehicles, and we will have 10,019 electric vehicles on the road by 2026.<\/p>\n<p>As I have previously said, we will continue to evaluate future orders of these vehicles with an ambition to enhance our electric delivery vehicle fleet\u2014where appropriate.<\/p>\n<p>We are confident we made the best decision for the Postal Service considering our delivery profile, unique service requirements, employee welfare, current infrastructure conditions and financial condition while, like the rest of the nation\u2014we begin the long journey of carbon reduction in our transportation operations.<\/p>\n<p>Concerning pricing\u2014the nation as well as the Postal Service are experiencing significantly high rates of inflation in the cost of our operations.<\/p>\n<p>While the impact of the Postal Reform Legislation is helpful\u2014this is approximately a $50 billion dollar offset against a projected $160 billion dollar 10 year projected loss.<\/p>\n<p>That said, there is a lot left to do\u2026and while we are working diligently to improve our operating model and cost structure\u2014we still have a long way to go.<\/p>\n<p>Therefore, from my perspective, the mailing industry needs to be prepared for continued use of our authority to raise prices on market dominant products at an uncomfortable rate until such time as we have accomplished our objective of projecting a trajectory that shows us becoming self-sustaining\u2014as required by law.<\/p>\n<p>While our pricing decisions are ultimately made under the authority of the Board of Governors, in the near term, I will most likely be advocating for these increases.<\/p>\n<p>I believe we have been severely damaged by at least 10 years of a defective pricing model\u2014which cannot be satisfied by one or two annual price increases\u2014especially in this inflationary environment.<\/p>\n<p>At this time, I would like to recognize and thank all of the 650,000 women and men of the United States Postal Service for their commitment to our mission to serve our customers and the American People.<\/p>\n<p>Let me close by saying that the team and I remain energized, and enthusiastic about the future of the Postal Service.<\/p>\n<p>While there is no question that we have some heavy lifting ahead of us, we are extremely confident that we can, and will, transform the Postal Service, and that we will be an affordable, reliable, and green service provider for our customers and the country for many decades to come, while also being an employer of choice for our workforce.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>WASHINGTON, DC \u2014\u00a0The below remarks are as prepared for delivery by Postmaster General and CEO Louis DeJoy during the open session meeting of the Postal Service Board of Governors on May 5, 2022. \u201cThank you, Mr. Chairman. Good afternoon, everyone and thank you for joining us today. I would like to thank the Chairman for [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":29911,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6,16],"tags":[],"class_list":["post-32156","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-breaking","category-usps-news","last_archivepost"],"_links":{"self":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/32156","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/comments?post=32156"}],"version-history":[{"count":1,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/32156\/revisions"}],"predecessor-version":[{"id":32157,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/32156\/revisions\/32157"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media\/29911"}],"wp:attachment":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media?parent=32156"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/categories?post=32156"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/tags?post=32156"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}