In accordance with section 124 of Public Law 97–276 (October 2, 1982), 5 U.S.C. 5514 note (1982), the Postal Service may deduct up to one-fourth (25 percent) of an employee’s current pay in monthly installments or at officially established pay periods to satisfy a debt that a federal court determined the employee owes the Postal Service. The statute authorizes the deduction of a greater amount if necessary to collect the debt within the employee’s anticipated period of employment. If an individual’s employment ends before the full amount of the indebtedness has been collected, section 124 provides that deductions will be made from later payments of any nature due the employee.
At least 15 calendar days before initiating an offset to collect a debt reflected by a federal court judgment, the postmaster or installation head must provide the employee with a copy of that judgment and a written notice of the Postal Service’s intention to deduct 25 percent of the employee’s current pay each pay period until the judgment is satisfied. The letter also must state the approximate amount, duration, and starting date of the deductions. The Postal Service will deliver to the employee by trackable mail any notice required by, or any records requested pursuant to, these regulations.
The postmaster or installation head must initiate the collection process by completing the appropriate sections of PS Form 3239 no earlier than 15 calendar days after the employee receives the letter.