Did I say “company?” It should say “service.” As in “US Postal Service.” Which loses money to the tune of $16 billion a year.
Postmaster General Patrick Donahoe, for instance, earned a base salary of $276,840, but even without a bonus or incentive payout, his overall compensation came to $512,093, compared with $384,229 in 2011, according to regulatory filings.
Fueling the rise was the fact that his retirement account grew by $186,536. A 37-year employee of the Postal Service, Mr. Donahoe was paid $4.76 per hour during his first job as a postal clerk.
Meanwhile, two other executives — Ellis Burgoyne, chief information officer, and Mary Anne Gibbons, general counsel — also received hefty increases in their retirement plans.
In fact, Mr. Burgoyne’s retirement plan grew by more than $270,000, bringing his total compensation to $510,505, slightly less than Mr. Donahoe‘s.
Compensation for Joseph Corbett, the Postal Service’s chief financial officer, rose from $310,483 in 2011 to $315,841 last year, though he earned more than $330,000 in 2010.
In addition, the Postal Service’s chief human resources officer, Anthony J. Vegilante, received $60,000 in retention bonuses for fiscal 2011 and 2012 on top of his $240,000 annual salary, filings show. Nonetheless, Mr. Vegilante’s overall compensation for 2012 dipped to $363,002, compared with $364,667 the previous year.
A competent president would fire the lot of them. Too bad we don’t have one of those. The president we do have is hellbent on making your health care function more like the postal service.
Postal workers contribute to the Thrift Saving Plan which is the federal governments version of a 401K. The money that they contribute is invested in the funds that they chose. Just like investing in the stock market they can make money if they select the right funds or they can lose their shirts if the pick the wrong funds. I really didn’t understand the purpose of this article.
The USPS is a quasi-private company wholly owned by the Federal Government. Just as FannieMae. These “private” companies are losing their shirts and yet the top executives are raking in their pension plans WITH NO THOUGHT TO THE LOSSES BEING INCURRED. And this is only the cream on top. The cherry is that the US Treasury bails them out! THAT is the point of this article. If Romney, during his tenure at Bain Capital, had performed in the same way he would have been out on his ass. As it is, he and other shareholders did put their monies at risk and took haircuts when their investments didn’t pan out.
I guess the point of the article is the hypocrisy of the current administration during the campaign and of the left with its OWS thugs and the apathetic zombies of the center (you know, the moderates). All of these jackals know which side their bread is buttered on but as long as it’s OWN slice falls butter side up couldn’t care 2 cents. Which side of the divide are you on?
– workers.
It’s a way around the capped salary. Investigate what PMG Potter walked out with. This bonus is funded by the suspending of the COLA from the bottom of the management ranks. It also proves that if the postal unions were to give up the COLA provision, it wouldn’t save a dime to the bottom line.
The victims here are the poor dupes/taxpayers within the citizenry who will be ending up providing the tax moneys with which the US Treasury bails the Post Office’s top executives out! Not to mention the customers who will be paying more for “Postal Services.”
As a former federal employee, who left in frustration before the Government “would allow me to” … Anyone who believes this Administration and the federal services are here to help (anyone but themselves) … is a MAJOR part of the problem!
The “company” is losing money because it is in a collapsing business. There’s nothing these people can do about it. And the company can’t get out of the business, nor even retrench substantially.
There have been executives who have earned substantial bonuses while their corporations were losing money – because they did things that avoided much greater losses.
The management of USPS has been dealt a very bad hand. No one could win with it. The question is how bad they’re losing.
The capped executive salaries became an issue. The bonus system was the solution granted by congress. It was designed to increase the compensation of the executives without touching the capped salary amount. The bonus money comes from the discontinued COLA for lower lever managers. No matter what hand dealt, good or bad, the excutives recieve a higher compensation. It does what it was it was designed to do. It has nothing to do with any business heroics at L’Enfant Plaza.