40H vs 40K costs (caution math used here)

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idontlikerocks

40H vs 40K costs (caution math used here)

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in trying to determine the costs associated with k and h routes i am using the following numbers which are not exact but are, rather, assumptions on my part.

     1.  a regular carrier with benefits costs $80,000 per year.
     2.  a substitute rural carrier costs $22  per hour.
     3.  a regular carrier takes 25 days of paid vacation and sick leave per year.  

i am using a mythical office with a total of 240 rural hours per week.  a convenient number since it is the lowest common denominator for 40h and 40k routes.

240 hours = 6  40H routes  (6 x 40 = 240)      or   5  40K  routes   (5 x 48 = 240)

COST OF 6 40H ROUTES:          6 regular carriers  x $80,000  =   $480,000
                                                  150 sub days  150 x $22 x 6.67 =  $22,000             150 sub days = 6 routes x 25 days off per year.  
                                                                                                                            6.67 is hours per day on a 40h  route
                                                                                TOTAL = $502,000


COST OF 5 40K ROUTES:           5 regular carriers  x $80,000 =  $400,000
                                                   386 sub days 386 x $22 x 8  =    $68,000  (rounded)         386 sub days  = 261 k days  + 125 vacation and sick days
                                                                                                                                                      8  =  hours per day on a 40k  route
                                                                                TOTAL = $468,000




there can be additional savings on k routes from a lower amount of EMA payments or vehicle maintenance costs as the k route office would be paying 5 routes EMA wheras the h route office would be paying 6.  intangible savings may also exist from such things as: 1 fewer case in the office,  less clerk hours spent separating mail to 5 rather than 6 routes, and fewer management hours.
rsewell

Re: 40H vs 40K costs (caution math used here)

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question, How did you come up with 261 K days.? 5 x 52 is 260. Doesn't Change the bottom line conclusion your trying to draw, However, it's your work hours constant that has me troubled. I understand the Idea of sticking to 240 work hours, but by definition, if you have one less route in making the comparison, of course your going to show less cost. Plus no business does a cost analysis that way.

In doing a cost analysis of this fictitional office, you would have to figure the the cost of 6 H routes and 6 K routes.

The cost for the 6 H routes don't change $502,000

The cost for 6 K routes would be:

6 Regulars at $480,000

6 subs at $77,000 (Rounded) ((312 K days +125 days) x $22 x 8)

Total Cost $557,000

80% of success is just showing up - Woody Allen
z1916d

Re: 40H vs 40K costs (caution math used here)

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In reply to this post by idontlikerocks
RCA makes 18.24 an hour not 22 .................... and besides that RCAs are taken advantage of ................. take for example 4240 (trip report) a regular gets paid all the hours they work on this trip report. a regular carriers salary is based on 2080 hours a year. that my friends breaks down to 40 hours a week, do the math 2080/52 = 40. Now if a regular carrier works 42 hours hours a week for 10 weeks in a row, the carrier has worked (10 x 42= 420 hours). that would be 20 hours too much, this carrrier would have to take time off before the end of the gurantee period. which is in october, 20 hours in the form of anual, sick or Lwop............ holiday pay goes towards the 2080, so every time there is a Holiday 8 hours will go towards the 2080. The regular does not get payed evaluation they really get the actual hours they work. A RCA gets paid the route evaluation wether they are over or under the evaluation. the only way an RCA gets paid for actual hours worked is if they work over 40 hours in a week. at that time the RCA will be paid overtime.
There is nothing so powerful as truth, and often nothing so strange.
Wave

Re: 40H vs 40K costs (caution math used here)

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There are two different RCA pay schedules though too.  18.24 is the low one.
idontlikerocks

Re: 40H vs 40K costs (caution math used here)

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the purpose of this comparison is to show the costs of two offices with the same total number of hours evaluation.  a 240 hour total can be divided many different ways between k,j and h routes.  i wanted to simply show two of these possibilities.   RSEWELL, the comparison you make is between two offices with different total evaluations.  a 6 route all 40h route office has a total of 240 evaluated hours.  a 6 route office with all 40k routes has a total evaluation of 288  hours  6 x 48 hrs per week.

i am aware that the substitute carriers earn over $18  per hour, however i use the figure $22 per hour because this figure i believe is closer to what the cost is to the post office.  remember that the usps has to also pay into social security, medicare, and other taxes for each employee as well as other costs such as training.
Noppie

Re: 40H vs 40K costs (caution math used here)

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In reply to this post by idontlikerocks
It is my believe form working at the USPS.  There are not enough people who are stupid enough to work without benefits, career status, often fro free and supply their own vehicle at pretty much their own expense.  In Maryland as an RCA I made lots money working at offices that had NO RCA whatsoever.

In my office were we have RCAs but we do not have enough to cover all routes.  With the new mail count and we now have lots of J routes. More then the number of RCAs.

As an H route according to my postmaster, they do not have to allow you off EVER.  If they do so it out of the kindness of his heart.

H, J and all L status routes need to be BAND from the rural side.  EVERY employee should ONLY have to work 5 days  I support the 5 day delivery

Noppie
*SUPERsub*

Re: 40H vs 40K costs (caution math used here)

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In reply to this post by idontlikerocks
I love the "caution math used here" in the title...lmao...
almost made me change my mind and not even try to figure it out..which that being said...

I dont got a freaking clue!!! but I loved the title !!!

I shall leave the mathmatics to minds more brilliant than mine...i can solve for x...but not without using my fingers and toes!
To err is human...to blame it on someone else shows management potential!