{"id":3598,"date":"2012-02-12T21:04:50","date_gmt":"2012-02-13T02:04:50","guid":{"rendered":"http:\/\/postalemployeenetwork.com\/news\/?p=3598"},"modified":"2012-02-12T21:04:50","modified_gmt":"2012-02-13T02:04:50","slug":"nalc-when-a-loss-is-really-a-profit","status":"publish","type":"post","link":"https:\/\/postalemployeenetwork.com\/news\/2012\/02\/12\/nalc-when-a-loss-is-really-a-profit\/","title":{"rendered":"NALC: When a loss is really a profit"},"content":{"rendered":"<p><a class=\"highslide\" onclick=\"return vz.expand(this)\" href=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2012\/02\/NALC-News2.gif\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-thumbnail wp-image-3599\" title=\"NALC News\" src=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2012\/02\/NALC-News2-150x150.gif\" alt=\"\" width=\"150\" height=\"150\" \/><\/a><\/p>\n<p><strong>NALC President Rolando:<\/strong> <em>&#8220;Despite the headline on its press release, the U.S. Postal Service announced [Thursday] a net operating profit of $200 million delivering the mail in the first quarter of FY 2012\u2014an impressive achievement given the current economy,&#8221; NALC President Fredric Rolando said. &#8220;The operational profit turns into red ink only when an external factor unrelated to mail delivery is considered\u2014the 2006 congressional mandate that requires the Postal Service to pre-fund its future retiree health benefits over the next 75 years within a decade.&#8221;<\/em><\/p>\n<p><strong>Below:<\/strong> Statement by Fredric Rolando, president of the National Association of Letter Carriers, on the USPS financial report for the first quarter of FY 2012:<\/p>\n<p>Despite the headline on its press release, the U.S. Postal Service announced today a net operating profit of $200 million delivering the mail in the first quarter of FY 2012\u2014an impressive achievement given the current economy. (Postal Service Chief Financial Officer Joe Corbett announced this profit on a conference call with reporters today.)<\/p>\n<p>As the USPS notes, its performance was boosted by record employee productivity and by \u201cstronger-than expected holiday shopping activity, driven by strong growth in online merchandise sales\u201d\u2014up 7 percent over the first quarter of the previous year. That shows the potential for growth offered by the Internet.<\/p>\n<p>The record productivity and the strong growth in the shipping business show that the Postal Service can be a successful organization if freed from the unwarranted and uniquely onerous pre-funding burden placed on it by Congress.<\/p>\n<p>The operational profit turns into red ink only when an external factor unrelated to mail delivery is considered\u2014the 2006 congressional mandate that requires the Postal Service to pre-fund its future retiree health benefits over the next 75 years within a decade. That, along with a non-cash actuarial adjustment to the Postal Service&#8217;s workers&#8217; compensation costs, is entirely responsible for the $3.3 billion \u201closs.\u201d The pre-funding alone accounts for $3.1 billion of the quarter&#8217;s &#8220;loss.&#8221;<\/p>\n<p>These results reveal the need for Congress to remove the crushing burden of the pre-funding payments, which the USPS is compelled to make, as its press release notes, \u201cat rates not assessed any other entity in the United States.\u201d<\/p>\n<p>Congress created this problem, and Congress can fix it. We urge lawmakers to address the pre-funding issue, as is called for in H.R. 1351, which now has a bipartisan House majority of 228 co-sponsors.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>NALC President Rolando: &#8220;Despite the headline on its press release, the U.S. Postal Service announced [Thursday] a net operating profit of $200 million delivering the mail in the first quarter of FY 2012\u2014an impressive achievement given the current economy,&#8221; NALC President Fredric Rolando said. &#8220;The operational profit turns into red ink only when an external [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[],"class_list":["post-3598","post","type-post","status-publish","format-standard","hentry","category-nalc-news","last_archivepost"],"_links":{"self":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/3598","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=3598"}],"version-history":[{"count":4,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/3598\/revisions"}],"predecessor-version":[{"id":3603,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/3598\/revisions\/3603"}],"wp:attachment":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media?parent=3598"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/categories?post=3598"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/tags?post=3598"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}