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B-114874 1 (1974-01-07)

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                         WASHINGTON. P.C. 2064-

                         RELEASED               JAN 7  '1974
   B-114874

   The Honorable Thaddeus J. Dulski, Chairman
   Committee on Post Office and Civil Service
   House of Representatives

   Dear Mr. Chairman:

        Pursuant to your request of March 19, 1973, we examined
   the q  lqtYf-a.-ervice--provid. byth e i.ono lulu, Hawaiio.,'
   Pasffice,  On July 23, 1973, we briefed staff members of
-: the Subcommittee on Postal Facilities, Mail, and Labor Man-
   agement on our examination and gave them copies of the charts
   (see encs. I to VI) used in the briefing. Subsequently, the
   Subcommittee used this data during its hearings in Honolulu
   and Hilo, Hawaii. As requested, this letter summarizes our
   briefing.

        The Honolulu office generally met the Postal Service's
   mail delivery standards, except during the Christmas period.
   However, problems such as sorting errors, which caused mail
   to be sent to the wrong destination, and processing delays,
   which prevented significant quantities of mail from being
   delivered on time, were present. Also the number of employ-
   ees decreased while the mail volume increased.

   BACKGROUND

        The Honolulu office handles about 400 million pieces of
   mail annually, or about 1.1 million pieces daily.

        During postal fiscal year (PFY) 1973 the number of em-
   ployees in the Honolulu office decreased from 1,419 at the
   beginning of the year to 1,373 at the end of the year--a
   3.2 percent decrease--while mail volume increased by about
   28.4 million pieces--an increase of about 7.6 percent.

        The Honolulu office did not have the resources to ex-
   peditiously handle the increased mail volume in postal
   fiscal year 1973 because the increased workload was not
   anticipated in the office's budget.



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