US Postal Service 2012 Annual Report Download - page 19

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2012 Report on Form 10-K United States Postal Service- 18 -
ITEM 3 — LEGAL PROCEEDINGS
We are subject to various claims and liabilities that arise in the normal course of operations. These claims generally relate
to labor, tort, and contract disputes, and are regularly reviewed by management, and, where significant, by the Audit and
Finance Committee of the Board of Governors and/or the full Board of Governors.
As previously reported, on January 14, 2010, the Equal Employment Opportunity Commission's (EEOC) Office of Federal
Operations certified a class action case against the Postal Service in a matter captioned McConnell v. Donahoe (first
instituted in 2006 as McConnell v. Potter), with the class consisting of all permanent rehabilitation employees and limited-
duty employees who have been subjected to the National Reassessment Process (NRP) from May 5, 2006, through July
1, 2011. The Postal Service used the NRP to ensure that its records were correct and that employees receiving workers'
compensation benefits were placed in jobs consistent with their abilities. The case alleges violations of the Rehabilitation
Act of 1973 resulting from the NRP's failure to provide a reasonable accommodation, the NRP's wrongful disclosure of
medical information, the creation by the NRP of a hostile work environment, and the NRP's adverse impact on disabled
employees. The class is seeking injunctive relief and damages of an uncertain amount on behalf of a yet-unidentified
population of employees. If the plaintiffs were able to prove their allegations in this matter and to establish the damages
they assert, then an adverse ruling could have a material impact on the Postal Service. However, the Postal Service
disputes the claims asserted in this class action case and is vigorously contesting the matter.
For further discussion of the legal proceedings affecting us, please see the information under the sub-caption “Legal
Matters and Contingent Liabilities” of the caption “Management’s Discussion and Analysis of Financial Condition and
Results of Operations” included in this report.
ITEM 4 — MINE SAFETY DISCLOSURES
Not applicable to the United States Postal Service.