USPS algorithmic system cuts rural letter carrier pay

The US Postal Service (USPS) was accused of developing an algorithmic system said to reduce the pay of most of its rural post carriers significantly, leading to accusations of shoddy development and implementation. Designed to evaluate and compensate rural carriers based on the estimated time required to deliver mail on specific routes, USPS' new Rural Route Evaluated Compensation System (RRECS) led to 66 percent of rural carriers, or some 100,000 workers, having their pay cut by thousands of dollars. The situation resulted in some carriers facing drastic reductions in their annual salaries; for instance, one carrier reported a 15 percent pay cut from USD 54,000 to USD 46,000, while another faced a USD 10,000 reduction after 24 years of service. VICE reports that 'flaws' in its implementation have resulted in most workers unintentionally under-reporting the time it takes to deliver mail. The USPS was also criticised for not disclosing how the algorithm operates, resulting in frustration and confusion among carriers regarding their pay calculations. Three US senators asked (pdf) the USPS to delay implementing RRECS, noting USPS is 'struggling to deliver mail to rural areas, due in part to an inability to recruit rural letter carriers.' System 🤖 RRECS Operator: United States Postal Service (USPS) Developer: United States Postal Service (USPS) Country: USA Sector: Govt - postal Purpose: Calculate pay Technology: Pa y algorithm Issue: Employment; Transparency Legal, regulatory 👩🏼‍⚖️ US Senators' letter (pdf)

Date it happened

2023-05-01

Organisation involved

United States Postal Service (USPS)

Product, system or model

Rural Route Evaluated Compensation System (RRECS)

This is a record of what was reported, not a finding that anyone broke the law. If it names your organisation and you believe it is wrong, the corrections process is free and open to everyone.