2009-12-03 / Local & State

Report: Postal Service Paid $75M In Settlement

PITTSBURGH (AP) – According to a newspaper report the United States Postal Service has paid out $75 million to settle an overtime pay dispute with about 1,500 Pittsburgh-area employees.

The Pittsburgh Post-Gazette reported Thursday that the Postal Service paid out the settlement two months ago. The newspaper learned of the details after filing a Freedom of Information Act request.

The settlement came as the result of an arbitrator’s decision earlier this year. Union employees had claimed the Pittsburgh Processing and Distribution Center hired casual clerks to do work that should have been done by full- and part-time employees from 1994 to 2004.

The largest amount paid out to a single employee was over $85,000. The smallest was about $300.

Earlier this month the Postal Service reported a loss of $3.8 billion in 2008.

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