U.S. Postal Service Hit with Unpaid Overtime Class Action

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Seventeen current and former mail carriers have filed a proposed class action against the United States Postal Service (USPS) over the agency’s alleged practice of failing to pay proper overtime wages as a means of reducing labor costs. Filed in Virginia, the 11-page complaint claims the USPS violated the Fair Labor Standards Act (FLSA) by failing to pay “city carriers” and “city carrier assistants” employed by the Richmond Main Post Office at the time-and-a-half hourly overtime rate. The lawsuit claims proposed class members are often unable to complete their duties during scheduled work hours as a result of substantial USPS staff and labor cuts. From the lawsuit:

“At least in part due to budget reductions, management and supervisors are under pressure to keep labor costs down by not paying overtime premiums. On information and belief, supervisors are instructed and/or encouraged by management not to exceed certain labor cost thresholds and incentivized with bonuses for keeping overtime premium payments low. To minimize overtime payments, [the defendant] has engaged in a systemic practice of not compensating plaintiffs, and all those similarly situated, for all hours worked in violation of the FLSA.”