Trenton Metro Area Local

American Postal Workers Union


President Bill Lewis

5.3 Million Dollar

Anthrax Settlement Agreement



UNION, TRENTON METRO LOCAL            )                                                                         

Union,                                                              )          


                                    v.                                 )          




Agency,                                                            )





            American Postal Workers Union (Trenton Metro Area Local) (hereinafter APWU) and the United States Postal Service (hereinafter "USPS"), in order to avoid the risks, uncertainties and expenses associated with further litigation hereby agree to compromise and settle any and all Anthrax Travel related claims between the APWU and USPS (as specified in this Agreement) in the following manner:

            1.            USPS agrees to pay employees of the Trenton PD&C represented by the APWU the total amount of $5,300,000 to settle the matters set forth in Section 7 of this Agreement.  Of the settlement amount, $5,000,000.00 is to be paid to affected employees in a lump sum (less lawful deductions) calculated based upon the number of days each employee was required to travel to a temporary work location from the closing of the Trenton PD&C on October 18, 2001.  The amounts to be paid affected employees and the methodology for the calculation is set forth in Exhibits "A" and "B" which are attached hereto and made a part of this Agreement.  $300,000.00 of the settlement amount shall be held in escrow by the USPS to cover any claims which may arise from employees who believe the lump sum amount received is inaccurate based on the number of days traveled.  The APWU shall notify the USPS how to distribute the escrow amount within two (2) months of the date of this Agreement.

            2.            The parties agree that they have engaged in a diligent effort to identify all affected employees entitled to receive a pro rata distribution of the settlement proceeds.  This effort consists of a review of APWU seniority records, membership dues check off records and USPS payroll records.  However, the parties expressly agree that there may be individual employees who the parties have not been able to identify and who may be entitled to compensation.  As a result, the USPS agrees for a period of four (4) months after the date of this Agreement to pay any employee identified after the date of this settlement pursuant to the schedules attached as Exhibits "A" and "B".  These additional amounts are not included in the settlement payment set forth in Paragraph 1 and are in addition to that amount.  Any disputes arising from this provision shall be resolved by the parties at the local level and if necessary thereafter at the Area/Regional level.  If the dispute is not resolved at the Area/Regional level, it shall be submitted to Arbitrator Pecklers for decision. However, the parties agree that no new grievances will be filed with respect to any of the claims in any way related to the matters recited in paragraph 6 of this Agreement.

            3.            The USPS agrees to remit payment to all affected employees identified on Exhibit "A" through the USPS payroll system on or before December 15, 2006.

            4.            The USPS agrees to notify the Union in the event any payments are returned unclaimed due to incorrect addresses of affected employees.  The parties agree to, thereafter, engage in diligent efforts to locate the affected employees.  If such efforts are not successful within four (4) months of the date of this Agreement, the Union may consider such payments as being forfeited and distribute said amounts to remaining employees on a pro rata basis in its sole discretion.

            5.            In the event the USPS settles or resolves claims for travel pay with any other Union at an amount greater than provided in this Agreement (based on an aggregate amount), this Agreement shall be modified to incorporate the higher amounts.

            6.            The actions by the USPS as set forth in this Agreement are accepted by the APWU as fully discharging, without limitation, the USPS, its former or current officers, representatives, employees and/or agents for any and all existing claims raised by the APWU, or any other claims arising out of or in any way related to the matters set forth in Exhibit "C" attached hereto, Civil Action 04-1628 and any and all Anthrax Travel related claims.

            7.            The parties agree that, in entering this Settlement Agreement, the USPS, its officers, agents, representatives and/or employees, do not admit to any wrong-doing or liability toward the APWU or any employee, and they further agree that this Settlement Agreement shall not be construed as an admission of liability or wrongdoing by the Agency, its officers, employees, representatives and/or agents in this or any other proceeding or litigation related to these grievances.

            8.            The APWU agrees to voluntarily withdraw with prejudice grievances set forth on Exhibit "C", Civil Action 04-1628 and any and all Anthrax Travel related claims.  It is understood that settlement is contingent upon the above noted complaints, appeals, or claims being withdrawn.  Further, it is understood that the APWU waives its right to an oral hearing or further appeal on the matters raised in above noted grievances.  The USPS agrees as part of this settlement to release any and all claims against the APWU relating to the above grievances.  Further, the USPS agrees to withdraw and dismiss with prejudice the pending appeal captioned U.S. Postal Service vs. American Postal Workers Union, Docket Number 06-2917, in the United States Court of Appeals for the Third Circuit.  The USPS shall file the appropriate stipulation of dismissal with prejudice within ten (10) days of the date of this Agreement.  The USPS also agrees not to initiate any other litigation or action challenging the arbitrability of any of the above grievances or otherwise challenging the validity of this Settlement Agreement.

            9.            It is further understood that the withdrawals set forth above are made without any threat, coercion, intimidation, promise, or inducement other than the terms set forth in this Settlement Agreement.

            10.            It is understood that the Settlement Agreement and the resolution thereof are non-precedential and may not be cited for any reason, including comparison, in any other arbitration or other legal proceeding or in any other forum.

            11.            In executing this Settlement Agreement, the undersigned APWU and USPS representatives represents that they are of legal age and mentally competent to execute this Settlement Agreement and that in so doing, they have relied upon their own judgment and that of counsel and that they have read the Settlement Agreement and that they fully understand and agree to its provisions.

            12.            This Settlement Agreement embodies the entire Agreement between the parties hereto.  There are no promises, terms, conditions, or obligations other than those contained herein.  All prior negotiations, understandings, conversations and communications are merged into this Settlement Agreement and have no force and effect other than as expressed in the body of this Settlement Agreement.  The parties to this Settlement Agreement agree that a copy of the fully executed Settlement Agreement shall have the same legal effect and shall be equally enforceable in law and/or equity as the original fully executed Settlement Agreement.

            13.            Arbitrator Michael Pecklers shall retain jurisdiction for enforcement purposes over the provisions of this Agreement.



____________________________                            ___________________________

William Lewis, President                                              John Dockins

Trenton Local American Postal                           United States Postal Service

Workers Union


____________________________                            ___________________________

Jeff Kehlert, NBA                                                    Kenneth A. Levine, Esquire

American Postal Workers Union                           United States Postal Service


Dated: ______________________                            Dated: ______________________


Attachment B 

Employees of the Trenton P & DC reassigned to the following work locations:


Edison                                                  Toms River

South River                                          Lakewood

New Brunswick                                Monmouth

 shall be compensated for travel time spent to those locations.


Payment for time spent traveling for the period shall be in excess of twenty (20) calendar days. Compensation shall be determined as follows:

 Payment shall be based upon a prorated number of days worked (and traveling) calculated in ten (10) day increments.  See Attachment for pay schedule.

 This period encompasses a total of 27 pay periods from PP 23/2001 through PP 23/2002.


 This portion of the settlement is for employees assigned to the Kilmer P&DC after the opening of the interim Trenton Facility / Monroe IMF.  This period encompasses a total of 61 pay periods from PP 25/2002 through PP 6/2005.

 $100.00 per each week in a pay status.


This portion of the settlement is for employees assigned to the Lakewood and or Kilmer VMF when the Trenton VMF was closed for the decontamination of the Trenton P&DC.

 Payment shall be based upon a prorated number of days worked (and traveling) calculated in ten (10)-day increments for pay periods PP 10/2003 through PP 10/2004. This period encompasses a total of 26 pay periods.  See Attachment for pay schedule.

 For the period of PP 11/2004 through PP 24/2004 employees shall be compensated at $100.00 per each week in a pay status.


 Employees of the Trenton P&DC reassigned to the Monroe work location on the rolls of the Trenton P&DC as of October 18, 2001- shall each be paid an equal lump sum payment of fifteen hundred dollars $1,500.00.


Attachment D

21-30               $  225.00

31-40               $  675.00

41-50               $ 1125.00

51-60               $ 1575.00

61-70               $ 2025.00

71-80               $ 2475.00

81-90               $ 2925.00

91-100             $ 3375.00

101-110            $ 3825.00

111-120            $ 4275.00

121-130            $ 4725.00

131-140            $ 5175.00

141-150            $ 5625.00

151-160            $ 6075.00

161-170            $ 6525.00

171-180            $ 6975.00

181-190            $ 7425.00

191-200            $ 7875.00

201-210            $ 8325.00

211-220            $ 8775.00

221-230            $ 9225.00

231-240            $ 9675.00

241-250            $10125.00

251-260            $10575.00

261-270            $11025.00

271-280            $11475.00

281-290            $11925.00

291-300            $12375.00

301-310            $12825.00

311-320            $13275.00

321-330            $13725.00

331-340            $14175.00

341-350            $14625.00

351-360            $15075.00

361-370            $15525.00

371-380            $15975.00

381-390            $16425.00