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USPS Pay Raise & Back Pay 2025: APWU Pay Scale 2025 Updates and Key Implementation Dates

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Written & Reviewed by Jeremy

Published

Jun 27, 2025

Last Updated

Sep 19, 2025

USPS Pay Raise & Back Pay 2025: APWU Pay Scale 2025 Updates and Key Implementation Dates

As of July 2025, the National Association of Letter Carriers (NALC) and the United States Postal Service (USPS) have finalised implementation dates for wage increases and retroactive back pay agreed to under the 2021-2024 collective bargaining agreement. With new USPS pay scales 2025 now in effect, City Carrier Assistants (CCAs) and career letter carriers will begin seeing adjusted pay in upcoming paychecks. These changes are part of the broader USPS pay raise 2025 and include both updated wage rates and upcoming USPS retroactive pay 2025 for eligible employees

These adjustments are also tied to the upcoming USPS retroactive pay 2025, meaning CCAs and career carriers will not only see new hourly rates but also lump-sum back pay in their September paychecks.

Wage Increases for CCAs: What’s New in 2025

The Postal Service has announced the following CCA wage increases:

  • Effective April 20, 2024: Additional general wage increase for CCAs.

  • Effective June 8, 2024: Adjustments based on pay table changes.

  • Effective July 20, 2024: New COLA applied to CCA hourly rates.

These increases will be reflected in paychecks starting August 10, 2025, which covers Pay Period 17 (July 20–August 2).

New USPS pay changes may impact your High-3 and pension forecast Speak with a federal retirement specialist today before your next service year closes.

CCA Pay Table Changes:

Step Pay Rate Changes – Effective July 2025

Step Previous Rate New Rate (as of July 2025)
Step A $18.62/hr $19.09/hr
Step B $19.12/hr $19.60/hr
Step C $19.62/hr $20.10/hr

Source: APWU-NALC Agreement

Note: These updated figures are reflected in the official NALC pay chart 2025, which outlines wage progression for CCAs and career carriers by step and pay level.

NALC Back Pay 2025: Who’s Eligible and When Will It Be Paid?

The USPS has confirmed that eligible employees will receive retroactive back pay for wage increases tied to:

  • April 2024 wage adjustments

  • June 2024 pay table restructuring

  • COLAs implemented through July 2024

According to NALC, back pay is expected to be issued in late September 2025, following full pay period reconciliations and adjustments. This USPS retroactive pay 2025 will apply to both CCAs and career carriers, and employees can confirm their payments in the USPS ePayroll portal once Pay Period 19-2025 is processed.

Eligible employees include:

All active CCAs and career city carriers employed during the applicable wage periods. Former employees who separated after April 2024 may also receive back pay and should contact local HR units for details.

Download the Updated NALC Pay Chart 2025

Click here to download the updated NALC pay chart 2025 (PDF), which shows all new pay rates and step levels.

Click here to download the 2025 NALC Pay Chart (PDF)

This official chart reflects the changes effective June 14, 2025, and includes base salary and technician differentials.

USPS Pay Scale 2025 for Career Employees

The USPS pay scale 2025 has also been updated for career employees, reflecting annual COLAs, step increases, and scheduled raises under the NALC agreement. COLAs and scheduled raises.

Career Pay Table Snapshot (NALC Step Grades)

Step Pay Level 1 Pay Level 2
Step A $22.18/hr $23.01/hr
Step O $34.61/hr $35.52/hr

Source: NALC Pay Table 2025

These changes will be incorporated into Pay Period 17 paychecks and may vary slightly by location, seniority, and job title.

NALC Pay Chart and Workforce Stats

According to USPS data, as of October 2024:

  • The TSP held $947 billion in investments.

  • $68 billion was invested in Roth status.

  • Nearly 7.2 million USPS accounts are active, with 2.7 million holding Roth investments.

  • Among the 4.1 million FERS participants, the average Roth balance is approximately $32,000.

This underscores the growing role of Roth contributions in long-term retirement planning for federal postal employees.

Why the Delay in Implementation?

Wage adjustments and back pay issuance were delayed due to:

  • Finalising arbitration decisions and collective bargaining resolutions.

  • System updates and accurate payroll audits to ensure fair and complete distributions.

NALC and USPS prioritised accuracy to avoid errors, especially for separated employees and part-time carriers.

One of the main reasons for the delay was ensuring accuracy in processing the USPS retroactive pay 2025, especially for separated employees and part-time carriers.

Comparison with APWU Pay Scale 2025

Though this announcement centres on NALC, American Postal Workers Union (APWU) members also received wage increases under their contract. Pay scales vary by union agreement and may follow a separate implementation timeline.

APWU Pay Table Example (2025)

Grade Step A Step O
3 $18.94/hr $26.85/hr
6 $20.86/hr $29.57/hr
8 $22.13/hr $31.31/hr

Source: APWU Pay Scale 2025

These rates help APWU members benchmark their earnings alongside NALC counterparts. While this article highlights the NALC pay chart 2025, APWU members also follow their own negotiated APWU pay scale 2025, which differs by grade and step.

APWU COLA Update – July 2025

The July 2025 Cost of Living Adjustment (COLA), under the 2024–2027 APWU Collective Bargaining Agreement, has been confirmed:

  • Career APWU employees will receive a +$0.39 per hour increase.
  • This equals about $811 annually for full-time, career workers.
  • Pay increases will appear in September 26, 2025 paychecks (Pay Period 19-2025).
  • Postal Support Employees (PSEs) are not eligible for COLAs, but they will receive a general wage increase later in 2025.

The Postal Service has also provided a tentative date for the November 2024 general wage increase and the January 2025 COLA:

  • Effective Pay Period 19-2025 (begins August 23, 2025).
  • Reflected in September 12, 2025 paychecks.

Note: This COLA is not retroactive. Retroactive payments will cover the period November 16, 2024 through August 22, 2025, but USPS has not yet provided an official date for when those payments will be issued.

Understanding how COLAs and back pay affect your retirement calculations is critical. Speak with a federal retirement advisor today to see how these updates could change your High-3 average and pension outlook.

You should read about - usps apwu tentative agreement

What USPS Workers Should Do Now:

1. Check ePayroll Portals for updates to current hourly rates and back pay statements.

2. Contact Your Union Rep if you believe you’re missing payments.

3. Track Pay Periods: Stay aligned with Pay Period 17 forward for wage adjustments.

Conclusion: A Win for Letter Carriers, With More to Come

The 2025 USPS pay raise marks a significant step forward for NALC members, especially CCAs awaiting long-overdue wage adjustments. While delays in implementation were frustrating, the confirmed payment dates and clear increases reflect the strength of organised labour and the stability of USPS collective bargaining.

With back pay and new hourly rates arriving soon, USPS employees can look forward to a more accurate and rewarding compensation structure.

FAQ

How much do USPS carriers make in 2025?

Exact amounts can be verified in the NALC pay chart 2025, which reflects the USPS pay raise 2025.

Will the USPS offer early retirement in 2025?

Eligibility for optional or VER retirement, with incentive, will be based exclusively on an April 30, 2025, effective date.

Will the USPS health benefits change in 2025?

Yes, USPS health benefits will change significantly in 2025 due to the implementation of the Postal Service Health Benefits (PSHB) Program.

What is the new contract for USPS 2025?

The American Postal Workers Union (APWU) and the U.S. Postal Service (USPS) have reached a tentative agreement on a new three-year collective bargaining contract, covering employees nationwide.

Will USPS retroactive pay 2025 be automatic?

Yes. Eligible employees will automatically receive USPS retroactive pay 2025 in September, though separated employees may need to contact HR.”

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