On November 11, the National MVS Craft Division came to agreement with the USPS on a class action Step-4 regarding PVS Costs, case no. Q10V-4Q-C 16534585/HQTV20160326.
The issue presented was whether or not the USPS violated Article 32 of the National Agreement when they assigned the full cost of a vehicle as a line item in their cost comparison, making it difficult for PVS to compete with HCR.
The parties have agreed to the following:
The purchase price of a vehicle is a line item on a cost comparison. The cost of the vehicle should depreciate over the anticipated service life of the vehicle, which is listed in Exhibit 221.211 of Handbook PO-701.
Exhibit 221.211 of Handbook PO-701 lists the service life of Tractors, Spotters, 5-ton, 7-ton, 9-ton and 11- ton as eight (8) years, and trailers as twelve (12) years.
The vehicle costs should be spread over the service life in the Article 32.2 cost comparisons as 118th the cost of the trucks and 1112th the costs of the trailers until the vehicle has been depreciated. If the vehicles are still in service at the end of the service life, these costs will no longer be included in the Article 32.2 cost comparisons.
Click here to view the full agreement.
Document Type: Step 4 Agreement
APWU National Grievance Number: HQTV20160326
GATS Number: 16534585
Craft: Motor Vehicle Service