Postal Service lost $14M a day in 1st quarter
Source: Atlanta Journal-Constitution
Maybe Saturday isnt the only delivery day that needs to be considered by the U.S. Postal Service?
Days after the federal agency announced it was discontinuing Saturday deliveries to cut costs, its chief financial officer told the Postal Service Board of Governors that USPS lost $1.3 billion about $14 million a day in its first quarter. The good news is that the loss October to December was much smaller than the $3.3 billion in red ink during the same period a year ago.
The most recent first quarter was helped by extra mailings due to the November elections and Christmas holiday season, Reuters reported. Competition from UPS, FedEx and other shippers, and consumers increasing reliance on email and other online options, have greatly loosened the grip the USPS once had on mail deliveries.
Cutting back to five days a week will save the agency $2 billion a year, the USPS estimates. The halt to first-class mail deliveries on Saturday begins the first week of August. USPS lost almost $16 billion in its last fiscal year.
Read more: http://blogs.ajc.com/business-beat/2013/02/08/postal-service-14m-lost-daily-in-1st-quarter/
montanacowboy
(6,090 posts)We all know why the post office is going tits up and it's not because of fucking email on online options
It's because of the bastards in Congress who make them fund 75 years worth of health care in a 10 year window
Atlanta Journal Constitution - shame on you
Exultant Democracy
(6,594 posts)grahamhgreen
(15,741 posts)Historic NY
(37,451 posts)his sons, grandsons, sons, would be able to retired if he decided to carry the mail. They cut their loss this last quarter by teaming up with major on-line purchasing sites to deliver the packages for Christmas with guaranteed delivery.
I wish people knew the PO also carries packages for Fed Ex and UPS, the PO goes where the other won't.
Katashi_itto
(10,175 posts)So the OP is full of shit.
tularetom
(23,664 posts)cost the USPS approximately $13.7 million per day. So what you're saying is that absent this punitive vengeful action by a republican congress, the Postal Service would have essentially broke even in the first quarter.
former9thward
(32,023 posts)It passed the Senate unanimously. It passed the House with large bi-partisan support. Henry Waxman, a progressive, was sponsor of the bill in the House. It was supported by the Postal Union.
sketchy
(458 posts)in the House version of the 2006 bill. The onerous healtcare prefunding was tacked on in the Senate by Sen. Susan Collins.
Where is DUer Brentspeak to explain this?
I'm just paraphrasing what I remember he said. I can't find the posts right now.
That's the gist of it, and I hope more knowledgeable people will correct me/expand on this!
magellan
(13,257 posts)They chose to. They were the minority yet not one dissent.
No effin' excuse.
roxy1234
(117 posts)call from the house and senate? I would like to see who exactly voted for it and who voted against it. Either way, we can now see the catastrophic result of the bill and people need to start repealing it. Mind you, I didn't say fixing it, it needs to be scratched.
magellan
(13,257 posts)roxy1234
(117 posts)Isnt it amazing that 20 house reps voted no to the bill while 0 house dems voted no for it. Saying dems should step up to the plate for this is one big understatement.
Response to roxy1234 (Reply #19)
magellan This message was self-deleted by its author.
DCBob
(24,689 posts)If it was such an obvious tactic by the Repukes to kill the USPS why would Democrats support it without a fight?
sketchy
(458 posts)the thread is: Postal service default appears likely
There is an extensive and edifying debate between brentspeak and former9thward. Enjoy.
http://www.democraticunderground.com/1014165360
gcomeau
(5,764 posts)...because of advance funding SEVENTY FIVE YEARS of pension costs they should never have to fund.
Never lose sight of that fact. The Post Office fiscal issue is a deliberately manufactured one imposed by the GOP to MAKE the USPS fail, so they can then hold it up as an example of a failed government enterprise.
Travis_0004
(5,417 posts)Blue_Tires
(55,445 posts)Media never seem to want to touch those...
elleng
(130,972 posts)likely has NOTHING to do with this.
SoapBox
(18,791 posts)to send a Birthday card?
to simply make a donation to a small group? (I send 5 bucks/month, to a group that knits hats for military)
And, we have a small business...we get bills, bills, bills (invoices and statements and receipts)...by US Mail! How's
that going to work if the USPS weren't around. Why isn't business screaming it's head off to get Congress to fix this?????
This country would grind to a HALT, if they were to fail.
Wake up America.
elleng
(130,972 posts)forget birthday cards! And, of course, its USPS that provides 'last mile' service FOR FedEx etc. Those private businesses recognize the expense of doing so.
No doubt volume of first class mail has decreased significantly due to cyber-stuff, but things can be done to lighten USPS' burden like enabling it to provide additional valuable services AND remove the pre-pay employees health and retirement accounts.
Also, read a DU post recently, rural mail delivery could be maintained while enabling removal of costly rural post offices; people want them to remain for what appears to be social reasons, but not a sufficient rationale, imo.
aquart
(69,014 posts)I'm amazed at the casual way business people discount that.
A community is saying that there is a necessary secular face to face contact provided by the post office and we are treating that as nothing.
Community should be protected, not discarded.
elleng
(130,972 posts)Social reasons may not be sufficient justification, if doing so results in inability to afford service in those locales. Rural Free Delivery is something else.
Historic NY
(37,451 posts)and the private companies will compete with government funding.
The GOP & Baggers want to usurp the Constitution.
alarimer
(16,245 posts)Once their cheap competition is out of the way.
thelordofhell
(4,569 posts)Fuck the Atlanta Journal-Constitution
freshwest
(53,661 posts)Response to Redfairen (Original post)
devilgrrl This message was self-deleted by its author.
neffernin
(275 posts)USPS retirement system ought to have funding until YR 2435
They_Live
(3,234 posts)come to steal it. Which I'm sure is part of the master plan.
neffernin
(275 posts)It is really funny how fast a retirement system is "unsustainable" when you take ALL of its assets. Bah, I hate humanity sometimes.
groundloop
(11,519 posts)One idiot said that USPS has been nothing but a jobs bank for minorities for 40 years.......
I suspect that a few DUers could add a ton of factual information to that discussion.
AgingAmerican
(12,958 posts)Congress passed a law in 2006 which created this artificial crisis.
This law forces the post office to take out $5.5 billion per year for future retirees. This amounts to $15 million a day, year in year out. The postal service actually MADE A PROFIT this quarter, but you wouldn't know because of this leaching piece of shit law the GOP passed.
Repeal this law.
elleng
(130,972 posts)librechik
(30,674 posts)now they will have to pay interest on that.
Somebody explain to me how this isn't Congress KILLING our post office in order to privatize shipping in the US?
upaloopa
(11,417 posts)From what I am told from postal workers, the post office makes it's revenue from sales of postage and services and if they did not have the funding of future benefits of employees that aren't even hired yet they would make a profit.
I think these post office is losing money stories are plants.
The right wants to turn over mail delivery to private companies and bust the union not to mention screwing up voting by mail.
If Congress wanted this "problem" could be solved by changing the benefit funding law.
Gentle-man
(39 posts)It's sad but technology has cost many jobs that would otherwise be performed by humans.
They_Live
(3,234 posts)at the article link are so misinformed and sickening. Thanks right wing hate machine!
olddad56
(5,732 posts)PSPS
(13,601 posts)oberliner
(58,724 posts)It was passed unanimously - not a single Democrat opposed.
Occulus
(20,599 posts)Please tell the class what the goddamned point of that comment was, how it helps, what solution it proposes, or what fucking relevance it has to the price of tea in China.
Thanks in advance.
oberliner
(58,724 posts)The "poison pill" bill cannot be blamed solely on the GOP, but Democrats must be held accountable for their support as well.
Occulus
(20,599 posts)Which is what we as employees were told at that time by our union reps. Issa, in particular, was all over that bone at that time.
So, no, it doesn't matter who voted for what. It was worse than the poison pill. It was a cyanide vial.
oberliner
(58,724 posts)They didn't have to roll over.
Occulus
(20,599 posts)If they had not voted the way they had the unions' contracts would not exist today and thens of thousands of full-time employees would have lost their jobs.
I don't think you understand that the point you're trying to make is meaningless.
oberliner
(58,724 posts)They chose not to exercise their power. The Republicans could not have succeeded in their efforts otherwise. That you think this point is meaningless is very odd.
sketchy
(458 posts)Democrats had not yet taken over, but would very soon.
sketchy
(458 posts)is at this link:
http://www.democraticunderground.com/1014165360
(I posted this upthread, but it seemed to go unnoticed.)
Occulus
(20,599 posts)Which party who voted for what doesn't actually MEAN a damned THING to the discussion.
Jesus tapdancing Christ, what letter who had after their name in the vote means jack fucking shit to the problem at hand.
WHY do so many of the fuckchoads here not get that?!??!
sketchy
(458 posts)People with valuable firsthand knowledge of these issues -- like yourself -- have argued these issues before again and again, until they're exhausted, probably, and I'm trying to help them avoid starting from square one again and again, by providing links to the DU history on this argument. Conservation of their limited energy is what I'm hoping to aid.
If people will only read what's been said on this at DU before, I think they may learn, and it may undermine some obvious rightwing lies.
You are one of the good guys, Occulus, and I want you to know you've been heard.
handmade34
(22,756 posts)"FedEx Corp is the worlds top express delivery service, thanks in large part to its close relationship with members of Congress and the White House. For years, the company has been a major campaign contributor to both Democrats and Republicans and is famous for its unique lobbying tactics, including the fleet of private planes that it keeps on stand-by for lawmakers who need to jet off at a moments notice..."
"...UPS and FedEx blocked the Postal Services efforts to expand its Global Postal Link program, which was designed to help shippers parcels get through customs faster. As the Wall Street Journal reported, Congressional action against Global Postal Link testifies to UPSs clout in the Republican-controlled Congress.
"...UPS waged what the APWU described as an expensive smear campaign against the Postal Service. UPS sent every member of Congress a box containing newspaper editorials attacking the USPS, sample resolutions being considered in state legislatures, and a 16-page booklet that compared the Postal Service to the CIA...UPS wanted Congress to put limits on the ability of the Postal Service to expand its products and services in ways that might compete with its own offerings. UPS also wanted to see the authority of the Postal Rate Commission expanded by giving it final authority over all postal rates, the ability to ensure that the Postal Service did not compete unfairly with the private sector, and subpoena power so it could obtain full information on Postal Service operations..."