A 1995 Hay market study revealed the USPS was 14% over market in pay for managerial employees and much higher in lower grades. Between 1995 and 2000 USPS froze increases for its lower grades and reformed its salary structure by making an 18% reward available, giving employees a 2.5% increase, and setting aside the remaining 15.5% for lump-sum payments. Objectives were to: 1) Achieve savings and bring salaries in line with the marketplace; 2) Drive organisational behaviour and continuous improvem...

BPIR Categories

9.1.2 Determine human resource costs
11.1.2 Manage resource allocation
9.5.1 Develop performance management approach
9.5.4 Develop & manage base & variable compensation
9.2.2 Define & align work outputs & metrics

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