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NATIONAL ASSN. OF LETTER CARRIERS v. USPS

October 20, 1971

NATIONAL ASSOCIATION OF LETTER CARRIERS, AFL-CIO, et al., Plaintiffs,
v.
The UNITED STATES POSTAL SERVICE et al., Defendants


Corcoran, District Judge.


The opinion of the court was delivered by: CORCORAN

CORCORAN, District Judge.

 I

 This matter is before the Court on cross motions for summary judgment.

 The plaintiffs are national labor organizations which represent for collective bargaining purposes approximately 650,000 postal employees throughout the United States.

 The defendant Postal Service is an executive agency of the United States Government.

 The defendant Winton M. Blount is the Postmaster General and the Chief Executive Officer of the Postal Service.

 The defendant John P. Connally is Secretary of the Treasury and Chairman of the defendant Cost of Living Council which functions under Executive Order of the President.

 II

 The salient facts which underlie this dispute follow.

 (1) Congress enacted the Postal Reorganization Act, Public Law 91-375, 84 Stat. 719 (herein the PRA) on August 12, 1970. Section 2 of the PRA brought into being a new Title 39 to the U.S. Code and created the Postal Service as an executive agency of the United States. The Postal Service became operational July 1, 1971.

 (2) Section 10 of the PRA, of key importance to this case, is a transitional provision not made part of the permanent law codified in Title 39.

 By subsection (a) it authorized the Postal Service immediately to negotiate agreements with the plaintiffs "covering wages, hours, and working conditions" of postal employees without waiting for the Postal Service to become fully operative. 84 Stat. 784.

 By subsection (b) it provided that any agreement negotiated under Section 10 should establish a wage schedule by which postal employees would "reach the maximum pay step for their respective labor grades after not more than 8 ...


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