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Thread: U.S. Postal Service may go from 6 day a week to 5 day a week delivery service

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    Elite Member Moongirl's Avatar
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    Default U.S. Postal Service may go from 6 day a week to 5 day a week delivery service

    Postal service considers cutting delivery day - U.S. business- msnbc.com

    MSNBC.com


    Postal service considers cutting delivery day

    Postal service considers cutting one day of mail delivery due to deficit
    The Associated Press
    updated 4:05 p.m. PT, Wed., Jan. 28, 2009

    WASHINGTON - Massive deficits could force the post office to cut out one day of mail delivery per week, the postmaster general told Congress on Wednesday.

    Postmaster General John E. Potter asked lawmakers to lift the requirement that the agency deliver mail six days a week.

    Faced with dwindling mail volume and rising costs, the post office was $2.8 billion in the red last year and, “if current trends continue, we could experience a net loss of $6 billion or more this fiscal year,” Potter said in testimony for a Senate Homeland Security and Governmental Affairs subcommittee.

    Total mail volume was 202 billion items last year, more than 9 billion less than the year before, the largest single volume drop in history.

    And, despite annual rate increases, Potter said 2009 could be the first year since 1946 that the actual amount of money collected by the post office declines.

    “It is possible that the cost of six-day delivery may simply prove to be unaffordable,” Potter said. “I reluctantly request that Congress remove the annual appropriation bill rider, first added in 1983, that requires the Postal Service to deliver mail six days each week.”

    If the change is made, that doesn’t necessarily mean an end to Saturday mail delivery. Previous studies have looked at the possibility of skipping some other day, such as Tuesday.

    “The ability to suspend delivery on the lightest delivery days, for example, could save dollars in both our delivery and our processing and distribution networks. I do not make this request lightly, but I am forced to consider every option given the severity of our challenge,” Potter said.

    That doesn’t mean it would happen right away, he noted, adding that the agency is working to cut costs and any final decision on changing delivery would have to be made by the postal governing board.


    If it did become necessary to go to five-day delivery, Potter said, “we would do this by suspending delivery on the lightest volume days.”

    The Postal Service raised the issue of cutting back on days of service last fall in a study it issued. At that time the agency said the six-day rule should be eliminated, giving the post office, “the flexibility to meet future needs for delivery frequency.

    A study done by George Mason University last year for the independent Postal Regulatory Commission estimated that going from six-day to five-day delivery would save the post office more than $1.9 billion annually, while a Postal Service study estimated the saving at $3.5 billion.

    The next postal rate increase is scheduled for May, with the amount to be announced next month. Under current rules that would be limited to the amount of the increase in last year’s consumer price index, 3.8 percent. That would round to a 2-cent increase in the current 42-cent first class rate.

    The agency could request a larger increase because of the special circumstances, but Potter believes that would be counterproductive by causing mail volume to fall even more.


    Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
    URL: Postal service considers cutting delivery day - U.S. business- msnbc.com



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  2. #2
    Friend of Gossip Rocks! buttmunch's Avatar
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    It's not a big deal. There are a number of countries that already have five day service.
    'Those who sacrifice liberty for security deserve neither.' Ben Franklin

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    Gold Member Glitter's Avatar
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    One day less of bills. sweet.
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    Elite Member msdeb's Avatar
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    this wont affect me at all.
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    Elite Member Shinola's Avatar
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    This will totally affect me. I work remotely and rely on mail both to send things and receive them. In particular, all of the checks that constitute my income. And I'd rather not have one day less per week to get those checks to me.
    Posted from my fucking iPhone

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    Elite Member emkat's Avatar
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    Sounds like a good money saving idea to me.

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    Elite Member Ravenna's Avatar
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    I'm used to five day service. I've always thought of that as the norm. I felt a bit spoiled when I lived somewhere with 6 day service.

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    Elite Member january's Avatar
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    Elite Member celeb_2006's Avatar
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    Default USPS to propose 5-day mail schedule, major cuts

    USPS to propose 5-day mail schedule, major cuts - Yahoo! Finance

    Snail mail might soon get even slower.

    The U.S. Postal Service plans to propose Tuesday an adjusted mail service schedule, which will likely cut Saturday delivery. The agency will also suggest closing some branches and expanding its use of self-service kiosks in grocery stores and other popular retail spots, as part of its effort to work its way out of a mountain of debt.

    USPS posted a $3.8 billion loss in its 2009 fiscal year, the latest in a multiyear string of whopping losses. Mail volume was down 12.7% for the year, a trend the agency expects to continue over the next decade as more consumers opt for online bill payments and message delivery.

    The Post Office was $10 billion in debt as of Sept. 30 -- not far off from its $15 billion debt limit, which the agency expects to hit in its 2011 fiscal year.

    The challenges hurting USPS's bottom line are reflective of a "macro change in society," Postmaster General Jack Potter said at a press conference Monday previewing the proposed changes. "All posts around the world are challenged, just as we are, by the diversion of hard copy to electronic medium."

    The Post Office, an independent government agency, does not receive taxpayer dollars and is funded entirely by its own revenue. However, the Postal Reorganization Act of 1970 constrains the agency's operations. It prohibits USPS from closing small branches based soled on economic factors, and prevents the agency from expanding its services beyond postal delivery.

    Post offices in some countries, including Italy and Japan, have boosted their sales by offering ancillary services, like banking. But unless Congress steps in, USPS cannot expand beyond the postal-mail realm.

    USPS has already begun taking the axe to its budget. The agency made $6 billion in cuts last year, reducing its workforce by about 40,000 employees and chopping overtime hours, transportation costs and other expenses. Congress passed legislation allowing the organization to cut retiree health benefit payments by $4 billion.

    Despite those measures, the agency still expects a net loss of $7.8 billion in fiscal 2010.

    USPS employs about 600,000 workers, about half of whom will be eligible to retire in the next 10 years. Potter said the agency has historically overpaid into its pension fund, and would reap significant savings if it stopped prefunding its retiree health benefits.

    The Post Office plans to announce the specifics of its proposed new business model on Tuesday. Its plans will then go before Congress for review. A significant postal price hike is also under consideration, although the price most consumers care about -- the rate for a first-class stamp -- is locked in at 44 cents for 2010.

    "At the end of the day, I'm convinced that if we make the changes that are necessary, we can continue to provide universal service for America for decades to come," Potter said. "We can turn back from the red to the black, but there are some very significant changes that are going to have to be made."

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    Gold Member memebot's Avatar
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    What? You guys get mail on Saturday?

    Mind = Blown

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    Elite Member WhateverLolaWants's Avatar
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    I've actually always thought it was odd we get mail on Saturdays in the US.
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    Elite Member greysfang's Avatar
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    Does anyone really care if they cut Saturday delivery? As long as some of the post offices are open so people can get their mailing done on their day off, I don't see the problem.
    FUCK YOU AND GIVE ME MY GODDAMN VENTI TWO PUMP LIGHT WHIP MOCHA YOU COCKSUCKING WHORE BEFORE I PUNCH YOU IN THE MOUTH. I just get unpleasant in my car. - Deej

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    Elite Member McJag's Avatar
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    Quote Originally Posted by greysfang View Post
    Does anyone really care if they cut Saturday delivery? As long as some of the post offices are open so people can get they're mailing done of their day off, I don't see the problem.
    Me,either. That makes a few of us!
    I didn't start out to collect diamonds, but somehow they just kept piling up.-Mae West

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    Elite Member Moongirl's Avatar
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    I've always felt we were lucky to get mail delivery on Saturday...

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    Elite Member angelais's Avatar
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    All I get in the mail is junk or bills, so they can cut out Saturdays. No biggie.
    Did you know that an anagram for "Conscious Uncoupling" is "Iconic Uncool Pus Guns"? - MohandasKGanja

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