“Mailman, bring me no more blues. . . .”
Facing $15.9 billion in losses, the United States Postal Service (USPS) recently voiced their intention to end Saturday mail delivery, amid cries of protest from both public and privates sectors. Although the measure could shave some $2 billion of operating cost from the USPS budget, opponents of the plan say the cost is greater than the benefit.
Post Office officials cited two contributing factors responsible for rising losses: first, a Federal mandate unique to the agency requiring full funding of future retiree benefits, to the tune of $5.5 billion. A 37 percent decrease in first-class mail volume since 2007 is the second issue, which the Post Office has attributed to rising email and online bill-pay services. However, while letter volume has declined, an increase in online shopping has led to an increase in package and parcel volume, which the Post Office said would continue to be delivered six days a week. Postmaster General Patrick R. Donahoe stated that ending Saturday delivery was one step in a larger plan to improve the agency’s profitability, which included reducing hours, closing regional processing centers, and cutting staff.
The controversy over the Post Office’s decision comes from two fronts, legal and practical. From a legal standpoint, there appears to be some question as to what authority the Postmaster General has to cancel delivery days—some lawmakers have stated that according to Federal regulations, the Post Office cannot change delivery days without Congressional approval. Since 1981, Congress has mandated that the Post Office deliver six days a week. However, the recent budget measure contained no such language, prompting the Post Office to argue that they no longer need congressional approval to move forward with their planned reduction.
The other source of opposition to the proposed measure comes from the private sector, especially small businesses, who claim that reduced delivery will hurt revenues. In addition, both the National Association of Letter Carriers and The American Forest and Paper Association released statements condemning 5-day delivery, stating that the proposed reduction would have a disastrous effect on the elderly, rural communities, and businesses that rely on Saturday mail delivery.
As rising costs move the Post Office closer to insolvency, few things are certain. Congress may decide to prohibit 5-day delivery, which would force the Post Office to find ways to reduce costs or increase revenue in other ways, bringing the Post Office closer to bankruptcy. However, even if the Post Office succeeds in reducing delivery to 5 days a week, it must still contend with the remaining estimated $13.9 billion in losses, much of which is due to heavily funded pensions and retiree benefits. In addition, as the Post Office moves away from traditional letter carrying, does this signal a change in the postal industry?
The public should consider two possible outcomes. First, we assume that the business of delivering physical letters is still a profitable one, whereas in the second we assume that widespread and everyday delivery of letters is no longer profitable. In the first case, the USPS reduces letter-carrying service and moves towards the package market in an attempt to reduce loss. Meanwhile, other parcel carriers will see a potential market for their services, begin carrying letters, and will compete, driving the price of mail to a new—and probably lower—equilibrium.
In the second case, however, the USPS will make the same move towards packages, but both the Post Office and private parcel companies will realize that letters are a dying form of communication and eventually the supply for such services will diminish. Letters may still be carried, but because it is not their main source of revenue, delivery companies will charge higher prices to make up for what may become a highly irregular form of communication. To make a conclusion regarding the outcome either way this early in the game would be incautious, but to many, the death of Junk Mail would be a welcome change.
I did not realize that packages and parcels would still be delivered six days a week. That makes a difference.
Now I’ve got a hankering to get some nice, heavy cream paper and a fountain pen and start reviving the letter writing tradition.
I second that notion and will gladly join your movement!
Here’s to taking the time to add that personal touch that will brighten someone’s day, even if only for a few brief moments. And here is to actually thinking about what we write. Here is to creating something unique and personalized for each individual, and to sincerely meaning every word. (What a super silly idea, right??)
Lastly, (and this one is really absurd, I know,) here’s to relying on our own prehistoric and outdated human memories when remembering people’s birthdays, rather than trusting Facebook to take care of it for us.
Here is to being more human than machine. Cheers.
I recently actually needed the services of the post office. I had 21 personal letters / invitations that needed to be sent out. I have not sent a personal letter by mail in about 10 years, and I have not sent a bill by mail in about two years. I like the convience of online bills / texting and such. The letters I needed to send contained several pieces of paper each, and the cost to send them all was too high for my liking. I hand delivered them all instead. I do not believe the current incarnation of the USPS will be with us for much longer.
Whether or not the Postal Service survives, people will hate them.
If they cancel Saturday delivery to save money, people and businesses will suffer, as you mentioned. There will be an outrage, but the Postal Service may survive longer.
If they continue Saturday delivery, they may have to raise rates on shipping to make up for their losses and survive. Nobody likes paying more for anything, and a mere $0.50 more for a box would have people screaming in the streets, missing the fact that it’s this or nothing.
Or the Postal Service can stay its course, do what it’s doing, and fall apart. If it doesn’t utterly dissolve, it will change completely. Customers will feel betrayed at the cancellation of services, and they will start to ask why nothing was done to rectify the problem.
I can understand the trademark grumpiness of a USPS employee.
I think that if the post office needs to terminate Saturday mail delivery in order to survive, then it may be a good idea. Package delivery is what people are really interested in now, and if that continues six days a week, then I don’t see a problem. However, as said, some people and businesses do rely on Saturday mail delivery, so if perhaps the post offices remained open on this day, then the few people who really needed it would still have the oppurtunity to pick up or drop off important mail. Much of the mail in circulation nowadays is junk mail or coupons rather than personal letters and important documents. So I think losing one day of this can’t be much of a problem.
I agree, I honestly can’t remember when I received something in the mail that wasn’t junk.
I definitely agree that the USPS can’t survive under the current circumstances. One solution could be allowing the private sector to take control of the task. This may not be a foolproof plan, but I do see some immediate positives. The loss of jobs would not be too substantial because the private sector would need to staff for the increased business. Competition would arise, knocking down the prices for mailing packages and letters. Furthermore, rather than funding the entire USPS, the government could award contracts to certain private mail services to both increase competition and subsidize that company for taking on the mail-carrying duties.
On a different note, I agree with Michael-there is definitely something nostalgic about picking up a fountain pen and writing a letter. At the same time, its just that, its nostalgic, not necessarily beneficial.
Um… I strongly disagree with only the last sentence. I would have to say that writing a letter/card/etc. can be extremely beneficial in many situations. To do so may require more time and effort than would writing an email or sending an e-card but, in my opinion, that only adds to the many benefits.
One of the main reasons I prefer USPS for shipping and receiving packages is their Saturday delivery. And especially because their prices, in my experience, are competitive with UPS’ and Fedex’s, I hardly have to think about it.
If they want to cut mailing letters on Saturday, so be it. It sounds like a good pragmatic solution to budget problems. I’d also be more than happy to see less wasted paper from junk mail as letters are phased out.
I agree with many of the statements above pertaining to the convenience of online communication versus USPS, whether for business or personal mail. The writer mentions in the article, however, that not everybody has the internet to rely on. Many rural communities do no have internet access, nor do many of our nation’s elderly or impoverished. What keeps these people from having internet access also keeps them from other important forms of transferring information, including good old fashioned snail mail. Trimming the USPS will affect these citizens. It will take longer and cost more to use service that is even worse than it is now for these partially disconnected people. The effect is not nearly dramatic enough to stop the internet boom, or the decline of the USPS. Just enough that I feel it should be recognized, and hopefully addressed with sympathy.
jlsticka makes a great point. I agree with many of the statements in the comments above; however, Chase Mabry does mention the lack of internet in some areas. I personally do not depend on paper mail, but my family’s business does. I don’t want to see my family’s business or anyone else suffer, but if ending Saturday deliveries will save the USPS, then why can’t a person or company simply change the days they mail / receive their items?
Chase, [email protected] is wanting to hear from you………
Chase, you are your fathers son and mom also