The National Association of Letter Carriers (NALC) has rejected a tentative labor contract with the US Postal Service (USPS), marking a significant setback in negotiations. The vote, which was overwhelmingly against the deal, saw 63,680 members reject it compared to 26,304 in favor.
The proposed agreement covered the 2023-2026 contract period and included modest annual pay raises of 1.3% for November 2023, 2024, and 2025. Additionally, letter carriers would receive retroactive cost-of-living adjustments (COLAs) with three lump sum payments, as well as further COLAs scheduled for March and September.
However, despite the proposed raises, letter carriers expressed frustration on social media, citing increasing workload and job demands that did not reflect in the agreed-upon compensation. Grassroots groups within the union, such as Build a Fighting NALC, have pushed for higher starting pay, an end to mandatory overtime, and full COLAs for all bargaining unit members.
The USPS has 15 days to return to the bargaining table with a new proposal. If no agreement is reached, a third-party arbitrator will finalize the contract terms. The dispute highlights tensions between wages and benefits, with letter carriers making only 80-82% of equivalent UPS wages at the lower end of the pay scale.
The USPS faces significant financial challenges, including a $9.5 billion net loss for fiscal year 2024, which could impact negotiations and arbitration outcomes. Historically, when USPS is in better financial shape, arbitrations tend to favor letter carriers.
With the contract rejected, negotiations will resume, but internal divisions within the union are rising. The rejection of the deal has sent a clear message from letter carriers that they will not accept subpar compensation, setting the stage for potential conflicts over pay and working conditions.
Source: https://themusicessentials.com/lifestyle-tips-and-trends/usps-letter-carriers-reject-contract-deal-what-happens-next