Postal Service Reform Act Signed Step Forward for Postal Workers

Washington, D.C. (April 6, 2022) – Terry O’Sullivan, General President of LIUNA – the Laborers’ International Union of North America – made the following statement today:

LIUNA commends Congress and President Biden on passage of the Postal Service Reform Act into law, which will bring the Postal Service a step closer to fiscal stability and ensure greater security for the tens of thousands of Mailhandlers, who are members of LIUNA’s sister union, the National Postal Mail Handlers  Union (NPMHU). The successful passage of this critical legislation is thanks to the tireless advocacy and determination of NPMHU National President Paul V.  Hogrogian, the NPMHU National Executive Board, and all of the unions representing postal workers.

Over a decade of advocacy in the making, the Postal Service Reform Act will repeal the onerous 2006 mandate requiring the Postal Service to pre-fund its retiree healthcare benefits. No other private sector business or federal agency uses this practice, which has caused losses of $5 billion annually for over a decade.  Second, it provides Medicare integration for future postal retirees and their annuitants. Most postal retirees already participate in Medicare, and postal employees  have contributed $34 billion to the program since 1983. USPS estimates that integration combined with the repeal of the pre-funding mandate will generate savings  of $40 billion over ten years. 

Additionally, the Postal Service Reform Act helps to stabilize service and provide avenues for revenue growth by codifying six-day delivery service and allowing USPS to make agreements to provide non-commercial services. The bill will also give greater transparency to postal customers to ensure that service meets the demands of American households and businesses.

LIUNA commends Congress and President Biden for recognizing the value of the Postal Service and its dedicated workforce by taking these crucial steps to protect this vital institution.

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The half-million members of LIUNA – the Laborers’ International Union of North America – are on the forefront of the construction industry, a powerhouse of workers who are proud to build the United States and Canada.