Not affiliated with The United States Office of Personnel Management or any government agency

Not affiliated with The United States Office of Personnel Management or any government agency

An empty mailbox

Rural America’s Postal Service is Slowly Crumbling

Recently, President Donald Trump announced that there would be drastic cuts in federal retirement benefits that would affect current and future employees attempting to retire. Among other changes, the retirement system would take a $143.5 billion cut in funding. In the U.S. Postal Service, this is slowly turning into a death knell for an already struggling enterprise.

In rural regions of the United States, there are such chronic understaffing issues that up to half of the positions in a post office in rural New York

 were vacant. This is not a unique problem, either; rural mail carriers across the nation are feeling the weight of intense cutbacks from the U.S. government. The number of career USPS employees decreased from around 750,000 to around 500,000 over the past 20 years.

Hiring has been a challenge, too; due to a law that requires the post office to pre-fund all retirement funds, being able to afford to hire a new employee can be a challenge. The low rate of pay (in 2010, the starting rate for part-time rural carriers was slashed from approximately $21/hour to just $15) as well as long hours —some employees report working 12-hour shifts, as well as being called in to fill in for other area post offices, even on days off.

This challenge escalates exponentially when it comes to rural post offices; the ‘retail apocalypse’ caused by megacorporations like Amazon.com has led to local malls and retail stores going out of business, meaning that online purchases increase dramatically. For rural employees, most of whom use their own vehicles to drive their routes, this has meant that they must overfill their vehicles with packages and carry them up long driveways, avoid angry animals, and travel through sometimes brutal weather conditions. On top of this, rural mail carriers are paid based on an ‘evaluated pay’ system- meaning that they are paid based on an estimate of how long their route should take, rather than how long it may actually take. When this is combined with the fact that the formula does not take into account the weight or size of the package, meaning that a sofa and a video game console would be calculated to take the same amount of time, it results in grossly underestimated pay for a strenuous, challenging job.

Search for Public Sector Retirement Expert.

Receive the Best advice.

PSR Experts can help you determine if Public Sector Retirement is right for you or if you should look for alternatives.

The Best Advice creates
the best results.

Recent Articles

The FEHB-Medicare Combo Is Powerful—But Only If You Time Enrollment Correctly

Key Takeaways Proper timing of Medicare Part B enrollment is crucial if you want to avoid lifelong penalties and get...

Why More Federal Workers Are Reassessing Their TSP Withdrawal Strategies to Maximize Their Savings

Key Takeaways Adjusting your Thrift Savings Plan (TSP) withdrawal strategy can help maximize your retirement savings while minimizing tax burdens.Understanding...

Federal Employees, Here’s What You Need to Know About FEGLI Before You Retire

Key Takeaways: Federal Employees’ Group Life Insurance (FEGLI) offers unique benefits but requires careful consideration as retirement approaches.Adjusting your FEGLI...

Search For Public Sector Retirement Expert

Receive the Best advice.

PSR Experts can help you determine if
Public Sector Retirement is right for you or if you should
look for alternatives.

The Best Advice creates

the best results.

Subscribe to our Newsletter

"*" indicates required fields

Our Readers Deserve The Best PSHB and USPS Health Benefits Guidance

Licensed insurance agents who understand PSHB, Medicare, and USPS Health Benefits Plan are encouraged to apply for a free listing.

This field is for validation purposes and should be left unchanged.

Book Phone Consultation

"*" indicates required fields

This field is for validation purposes and should be left unchanged.

Get In Touch

Stay up to date on the latest information about Public Sector Retirement.

The Best Advice Creates The Best