Mandelory Stand-Up- Tifts All Employees July 10, 2020 Plvotliig For. Our Future • The Postal Service has a tong history of service to the nation, and we take pride in our ability to deliver mail and packages efficiently, timely, and safely. • Right now, we are at a critical juncture in our organization and must make immediate, lasting, and impactful changes in our operations and ii our culture. • This operational pivot is long overdue and today, we are talking about the first step in a journey we must take together, for the health and stability of the Postal Service. • Every single employee will receive this information, no matter what job they perform, so remember that YOU are an integral part of the success we will have - again, by working together. • The initial step in our pivot is targeted on transportation and the soaring costs we incur, due to late trips and extra trips, which costs the organization somewhere around $200 million in added expenses. • The shifts are simple, but they will be challenging, as we seek to change our culture and move away from past practices previously used. • Specific examples of transportation changes being implemented immediately (today): V V All operations must meet our 24-hour clock commitment All trips will depart on time (Network, Plant and Delivery); late trips are no longer authorized or accepted V Extra trips are no longer authorized or accepted V There must be proper annotation in the scanner, if a Contractor Failure occurs V All PVS/HCR drivers must be notified that trips depart on time. V Function 4 must start on time and end on time and we must make scheduled DUT V Carriers must begin on time, leave for the street on time, and return on time V Carriers must make the final dispatch of value; no additional transportation will be authorized to dispatch mail to the Plant after the intended dispatch V The right mail must go on the rig1t truck - every time V ALL EMPLOYEES have an essential role with trips departing on time. • One aspect of these changes that may be difficult for employees is that.- temporarily we may see mail left behind or mail on the workroom foor or docks (in P&DCs), which is not typical. • We will address root causes of these delays and adjust the very next day. • Any mail left behind must be properly reported, and employees should ensure this action is taken with integrity and accuracy. • As we adjust to the ongoingpivot, which will have a number of phases, we know that operations will begin to run more efficiently and that delayed mail volumes will soon shrink significantly. • More information will be shared as we fully and swiftly implement these strategies. • You playa direct role in the success of the Postal Sei vice, and your cooperation and teamwork are appreciated. • This is a critical time for us, when decisive, quick, and meaningful action is needed. • This operational pivot will ensure we can secure our future as a world-class service provider, improving our performance to fulfill our core mission of service to our customers. . Thank you for your support and your teamwork.