The U.S. Postal Service Ends Contract with Denver Regional Transfer Hub Operator
The U.S. Postal Service has made the decision to terminate its contract with the company managing the Denver Regional Transfer Hub in an effort to bring more operations in-house and enhance package security.
Alan Ritchey Inc., a Texas-based trucking and distribution company, has notified the Colorado Department of Labor and Employment about the impending layoff of 729 employees at the hub located in Aurora. The company’s CEO, Robby Ritchey, stated in a Worker Adjustment and Retraining Notification Act letter that the layoff is permanent and operations at the hub will cease.
The decision to end the contract came abruptly, with the USPS providing short notice to the company. Despite efforts to negotiate with the USPS, the termination remained in effect, leaving the company with no other choice.
The shift to a system of regional transfer hubs is part of the USPS’ Delivering for America Plan, aimed at improving mail delivery efficiency and financial stability. The Denver Regional Transfer Hub was previously managed by Alan Ritchey before the contract termination.
A critical report by USPS Deputy Assistant Inspector General Mary Lloyd highlighted security deficiencies at the Denver hub, leading to the recommendation to terminate the management contract. The audit revealed instances of mail tampering and missing contents, raising concerns about the safety of registered mail.
As the USPS transitions operations, affected employees may have the opportunity to apply for positions at other company facilities. However, the fate of current contract employees remains uncertain as the USPS may not extend employment offers.
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