The Postal Service, which is in a dire financial situation, has paid a significant number of its workers more in overtime than in regular pay throughout recent years, according to a government watchdog.
According to a report from the USPS Office of Inspector General, during fiscal 2019 USPS exceeded planned and penalty overtime hours by nearly 14 million cumulative hours – and incurred $521.6 million in “questioned costs” as a result.
Regular overtime is paid at a rate of 1.5 times a worker’s hourly rate and penalty overtime is double the hourly rate.
Between fiscal 2014 and fiscal 2019, USPS paid $25.8 billion in total overtime costs, with fiscal 2019 recording the highest payments out of those years.
As of fiscal 2019, 42 percent of the Postal Service’s 633,108 employees had unauthorized overtime.