483 Referral and Administrative Wage Garnishment

483.1 Referral to Treasury

As stated in 472.3, the Postal Service provides all former employees with certain procedural protections prior to referring a debt to the Treasury for collection by administrative offset. For former bargaining unit employees, this may include the right to initiate a grievance concerning the employer claim, depending on the provisions of the applicable collective bargaining agreement.

483.2 Collection by Administrative Wage Garnishment

After referring a debt to the Treasury for collection, as described in 483.1, the Treasury may decide to pursue collection of the debt on the Postal Service’s behalf by administrative wage garnishment. The Postal Service’s regulations, which authorize collection by administrative wage garnishment, are found in 39 CFR 492. Before collecting a debt by administrative wage garnishment, the former employee will be afforded procedural protections, such as a written notice and an opportunity for a hearing. See 31 CFR 285.11 and 39 CFR 492. However, if the former employee has already requested and been afforded a hearing on the existence or validity of the debt, then the former employee may not be entitled to a duplicative hearing.