{"id":7334,"date":"2014-04-07T08:28:03","date_gmt":"2014-04-07T13:28:03","guid":{"rendered":"http:\/\/postalemployeenetwork.com\/news\/?p=7334"},"modified":"2014-04-07T08:28:03","modified_gmt":"2014-04-07T13:28:03","slug":"staples-deal-still-a-secret-but-hearing-reveals-disturbing-truths","status":"publish","type":"post","link":"https:\/\/postalemployeenetwork.com\/news\/2014\/04\/07\/staples-deal-still-a-secret-but-hearing-reveals-disturbing-truths\/","title":{"rendered":"Staples Deal Still a Secret &#8211; But Hearing Reveals Disturbing Truths"},"content":{"rendered":"<p>April 7, 2014<\/p>\n<p>The Postal Service and Staples are working overtime to keep the details of their sweetheart deal a secret, but a hearing before the National Labor Relations Board \u2014 and documents the USPS was forced to provide to the APWU \u2014 have revealed some disturbing truths.<\/p>\n<p>\u201cStaples and postal management are perpetrating a fraud on the American people,\u201d said Clint Burelson, APWU Clerk Craft director. \u201cThey are promoting the deal as though taking your mail to Staples is the same as taking it to the Post Office.<\/p>\n<p>\u201cIt\u2019s not,\u201d he said.<\/p>\n<p>The <a href=\"http:\/\/www.apwu.org\/news\/webart\/2014\/14-061-staples-nlrhearing-140407-rfi-redacted.pdf\" target=\"_blank\">58-page agreement between the USPS and Staples<\/a> [PDF], which management provided to the APWU in response to the union\u2019s <a href=\"http:\/\/www.apwu.org\/news\/webart\/2014\/14-040-nlrb-staplesinfo-140303.pdf\" target=\"_blank\">Unfair Labor Practice charge<\/a> [PDF] , exposes some of the risk to customers, he said.<\/p>\n<p>\u00a0<img loading=\"lazy\" decoding=\"async\" alt=\"\" src=\"http:\/\/www.apwu.org\/news\/webart\/2014\/14-061-staples-nlrbhearing-140407.jpg\" width=\"342\" height=\"483\" \/><\/p>\n<p>The page above is typical of about half of the pages in the copy of the agreement that was provided to the union.<\/p>\n<p>\u201cBut it hides more than it illuminates. The secret deal is still a secret.\u201d Most of the significant details in the Approved Postal Provider Pilot Agreement are redacted.<\/p>\n<p>\u201cThe Postal Service belongs to the people of the country,\u201d said APWU President Mark Dimondstein. \u201cWhat are they hiding? And how can they justify operating in the dark?\u201d<\/p>\n<p><strong>\u2018Thoroughly Dishonest\u2019<\/strong><\/p>\n<p>The hearing exposed how thoroughly dishonest Postmaster General Patrick Donahoe has been about the purpose of the deal, said Burelson, who testified about the union\u2019s request for information about the program.<\/p>\n<p>In a <a href=\"http:\/\/www.freep.com\/article\/20140119\/BUSINESS07\/301190106\/usps-postal-service-union-staples\" target=\"_blank\">Jan. 19 Associated Press article<\/a>, Donahoe rejected the union\u2019s claim that the program constitutes privatization. He is quoted as saying, \u201cThe privatization discussion is a ruse. We have no interest in privatizing the Postal Service.\u201d<\/p>\n<p>But a <a href=\"http:\/\/www.apwu.org\/news\/webart\/2014\/14-061-staples-nlrbhearing-140407-appshipprprog.pdf\" target=\"_blank\">December 2012 internal USPS document<\/a> that was presented at the hearing shows that management is indeed seeking to privatize window clerk duties. The Approved Shipper Plus Pilot Program Memo says,<\/p>\n<p style=\"padding-left: 30px;\">\u201cThe pilot will be used to determine if lower costs can be realized with retail partner labor instead of the labor traditionally associated with retail windows at Post Offices\u2026<\/p>\n<p style=\"padding-left: 30px;\">\u201cTransferring USPS product and service transactions to retail partner locations should allow USPS to cut costs associated with window labor time and credit card transaction fees. Initial analysis suggests that Retail Partners can sell USPS products and services at a projected cost-to-serve of $0.16 per revenue dollar, which is less than a third of the cost-to-serve observed at traditional Post Offices.\u201d<\/p>\n<p><strong>Smoking Gun<\/strong><\/p>\n<p>\u201cThat\u2019s the smoking gun,\u201d Burelson said. \u201cClear away the \u2018management-speak\u2019 and the message is clear: The Staples deal is intended to sidestep USPS labor costs by transferring window duties to private businesses. Management\u2019s internal document admits it.<\/p>\n<p>\u201cThat\u2019s privatization,\u201d he said.<\/p>\n<p>\u201cI hope every postal worker understands exactly how serious the threat is \u2013 to our jobs and to the United States Postal Service as a public institution,\u201d President Dimondstein added. \u201cWe have to make sure the American people understand as well.\u201d<\/p>\n<p>The Staples \u201cpilot program\u201d is just the beginning, he pointed out. The Jan. 19 Associated Press article also quotes Donahoe as saying he\u2019d like to see post office counters in every Staples store \u201cas soon as possible.\u201d<\/p>\n<p>And it\u2019s not just Staples. The Approved Shipper program \u201caims to establish USPS customer access points in leading national and regional retailer\u2019s store locations nationwide.\u201d<\/p>\n<p><strong>Following a Pattern<\/strong><\/p>\n<p>At the hearing, USPS witness Brian Code testified that the Retail Partner Expansion Program, which Staples is part of, had been in development at least since 2011, when he joined the Retail Alliances Department.<\/p>\n<p>According to Code, postal executives studied postal retail trends in Germany, Great Britain, Sweden, Australia, Canada and other countries, and used them as models for the program.<\/p>\n<p>What do those countries\u2019 mail systems have in common? Their retail operations are largely privatized. According to a <a href=\"http:\/\/www.apwu.org\/news\/webart\/2014\/14-061-staples-nlrbhearing-140407-gaoreport.pdf#page=23\" target=\"_blank\">2011 report [PDF] by the Government Accountability Office<\/a> (GAO), postal retail operations were privately owned and operated, as shown below.<\/p>\n<p style=\"padding-left: 30px;\">Germany 98%<br \/>\nSweden 88<br \/>\nAustralia 81<br \/>\nCanada 39<\/p>\n<p>(Great Britain\u2019s Royal Mail, which is mostly privatized, was not included in the GAO study. A <a href=\"http:\/\/www.huffingtonpost.co.uk\/2014\/03\/25\/royal-mail-privatisation-shocking_n_5026584.html?utm_hp_ref=uk&amp;ir=UK\" target=\"_blank\">March 25 article in the Huffington Post<\/a> reported that the British mail agency has eliminated 1,600 jobs; increased the price of stamps by 35 percent; sold postal data into private hands, and granted the company\u2019s boss a pay raise of 1.5 million pounds.)<\/p>\n<p><strong>A Rude Awakening<\/strong><\/p>\n<p>Some of the more startling admissions at the hearing should make customers think twice before turning over their mail to Staples, Burelson said. \u201cCustomers who take their mail to Staples stores are putting it in jeopardy.\u201d<\/p>\n<p>Packages dropped off at Staples stores will be placed in unsecured containers, he pointed out, and, as the Approved Postal Provider Agreement notes, packages and letters at Staples stores are not considered \u201cmail\u201d until they are picked up by the Postal Service. \u201cThat means they don\u2019t enjoy the protection of the U.S. Mail,\u201d Burelson said.<\/p>\n<p>The 58-page agreement reveals Staples is getting a discount on postal products, he pointed out, but customers will pay full price. The amount of the discount is redacted.<\/p>\n<p>Code testified that Staples\u2019 low-wage employees get just four hours of \u201cclassroom\u201d training for postal retail duties, Burelson noted.<\/p>\n<p>Postal retail clerks receive 32 hours of intense classroom training, followed by 40 hours of on-the-job training alongside experienced window clerks. And postal workers must pass a test before they are considered qualified to work the window, he said.<\/p>\n<p>\u201cIt takes a long time to learn all the intricacies necessary to provide expert customer service: the postage needed for various classes of mail and for mail of various sizes and shapes; how quickly letters and packages can be expected to arrive at their destination; how to screen for hazardous material that shouldn\u2019t be mailed, etc.,\u201d he said.<\/p>\n<p>\u201cManagement claims this program is about customer convenience,\u201d Burelson said. \u201cIf that were true, they would insist on staffing the postal counters at Staples with highly-trained, experienced window clerks, who have sworn an oath and are accountable to the people. If it were about customer convenience, the Postal Service would keep existing post offices open longer and would staff post offices with enough employees to avoid long lines.\u201d<\/p>\n<p>The April 1 hearing was the result an Unfair Labor Practice charge filed by the APWU when postal management refused to provide information about the deal that established \u201cpostal\u201d counters in more than 80 Staples stores \u2014 staffed with low-wages Staples employees.<\/p>\n<p>Administrative Law Judge Eric M Fine, who presided over the hearing, set May 5 as the deadline for the union and management to submit briefs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>April 7, 2014 The Postal Service and Staples are working overtime to keep the details of their sweetheart deal a secret, but a hearing before the National Labor Relations Board \u2014 and documents the USPS was forced to provide to the APWU \u2014 have revealed some disturbing truths. \u201cStaples and postal management are perpetrating a [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7335,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[],"class_list":["post-7334","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-apwu-news","last_archivepost"],"_links":{"self":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/7334","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=7334"}],"version-history":[{"count":2,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/7334\/revisions"}],"predecessor-version":[{"id":7337,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/7334\/revisions\/7337"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media\/7335"}],"wp:attachment":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media?parent=7334"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/categories?post=7334"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/tags?post=7334"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}