News & Events

USPS - Where will they be in 5 years

(Irving, TX  May 15, 2013)
Many commercial print shops rely on mass mailers, bills, and catalogs as their main source of reoccurring revenue, and as every small business knows, very small changes in price multiplied over hundreds of thousands of pieces adds up to quite a lot.
 
With that in mind, new and ongoing changes at the United States Postal Service are going to continue impacting the print shops bottom line.

Whether the print shops provide postage with their service or the client deals with it on their own, the continued price increases is slowing eroding the amount of mail printed and sent out, the future of the USPS mail service is on a fine wire.

“To return the Postal Service to solvency requires a comprehensive approach, which is reflected in our updated Five-Year Business Plan,” said Postmaster General and CEO Patrick Donahoe. “The plan provides an achievable roadmap to restore financial stability and preserve affordable mail service for the American public. The major elements of the plan must be pursued and executed within a short window of opportunity to avoid unsustainable losses and potentially becoming a long-term burden to the American taxpayer.”
USPS believes that if the following legislation can be approved they can turn their juggernaut of a hemorrhaging business around and get back in the red.  Time will tell if the rudder is strong enough to right the ship, but certainly bears watching and perhaps contingency preparation.
 
Fact:  The Postal Service needs to save $20 billion annually by 2016.
 
Many of the savings cannot be achieved without the following legislative action:
  • Require a USPS Health Care Plan
  • Resolves the Retiree Health Plan prepayment issue)
  • Refund the FERS over-payment and
  • Adjust the FERS payment schedule
  • Adjust delivery frequency (six-day package/five-day mail delivery)
  • Streamline the governance model
  • Allow USPS the authority to expand products and services
  • Require a defined contribution retirement plan for future postal employees
  • Consider USPS’s financial condition in interest arbitration awards
  • Reform workers’ compensation
 
“An ounce of prevention is worth a pound of cure.”
- Benjamin Franklin

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