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re: Is the USPS dying because it didn't recognize its real business?

Posted on 6/6/14 at 6:32 pm to
Posted by joshnorris14
Florida
Member since Jan 2009
45250 posts
Posted on 6/6/14 at 6:32 pm to


For what it's worth the USPS plans on becoming a bitcoin exchange.

I guarantee they will be horrible at it though.
Posted by LSURussian
Member since Feb 2005
126962 posts
Posted on 6/6/14 at 6:35 pm to
It's dying because its purpose was to provide a union voting bloc for congressional Democrats at the expense of the public.

When the public found a way to avoid using the USPS, that was the end.
Posted by mindbreaker
Baton Rouge
Member since Dec 2011
7641 posts
Posted on 6/6/14 at 6:54 pm to
My sister is a postmaster. From what she tells me its more the union than anything else. The service is terrible because it is nearly impossible to fire anyone. Also the union deal is set that they get guaranteed raises every six months to the point where the desk workers make more than management if they are there long enough.

Managers and postmasters on the other hand aren't part of the union so their authority is limited.

Add far as their services go they offer better prices than both FedEx and UPS and can handle the same things. But since they are considered government they can't advertise prices

The shite hours don't help but if the service was good with the prices it could be overlooked easier.

Other than that I don't think they get much if, any funding from the government
Posted by LSURussian
Member since Feb 2005
126962 posts
Posted on 6/6/14 at 7:02 pm to
quote:

But since they are considered government they can't advertise prices
Huh? The USPS advertises their prices for package delivery all the time on TV.

quote:

Other than that I don't think they get much if, any funding from the government
Do you mean for the several billion dollars a year taxpayers give to the USPS via congressional action to pay for their retirement benefits?
Posted by Teddy Ruxpin
Member since Oct 2006
39596 posts
Posted on 6/6/14 at 7:44 pm to
I've been ordering a ton of stuff off Amazon after moving into my house. All the UPS stuff came on time or ahead of schedule.

The USPS stuff has not arrived at all. The best part? Track package says they tried to deliver yesterday but couldn't. How do I know they are full of shite? I work from home and got zero mail yesterday. frick sticks
Posted by YipSkiddlyDooo
Member since Apr 2013
3641 posts
Posted on 6/6/14 at 7:50 pm to
quote:

Do you mean for the several billion dollars a year taxpayers give to the USPS via congressional action to pay for their retirement benefits?


lol wat?
Posted by SmackoverHawg
Member since Oct 2011
27377 posts
Posted on 6/6/14 at 7:56 pm to
quote:

Why doesn't any private company deliver letters for 49 cents? Easy...it's a money loser. But they can't use a sensible business model because they can't do anything without permission

bullshite. They could if they were efficient and their workers weren't so damn lazy. Of course the workers that wanted to bust arse can't because of the shitass union rules.
Posted by pleading the fifth
Member since Feb 2006
3896 posts
Posted on 6/6/14 at 10:15 pm to
There are WAYYYY too many brick and mortar post offices. Overhead and staffing for these has to be astronomical. I live in (relatively rural) WV and the post offices I frequent are literally less than 2 miles apart. There are (count them) 6 post offices that I know of within a 10 miles radius of my house - 5 are less 7.5 miles from my house. Ridiculous to have that many when you could combine your resources, downsize your massively overcompensated employees, and offer better service.
Posted by StrangeBrew
Salvation Army-Thanks Obama
Member since May 2009
18184 posts
Posted on 6/6/14 at 10:19 pm to
quote:

Other than that I don't think they get much if, any funding from the government


Well if you believe that I am sure it is so.
Posted by YipSkiddlyDooo
Member since Apr 2013
3641 posts
Posted on 6/7/14 at 1:11 am to
quote:

Well if you believe that I am sure it is so.



They've had to borrow from the treasury the past couple of years since Congress made the USPS start funding an account for future retirement benefits. The USPS has plenty of money in that account to pay off the debt yesterday (they wouldn't have had to borrow it in the first place without the new mandate from congress), but Congress also won't let them dip into that fund...

Do we need USPS? Yes, they serve markets that UPS and FedEx can't and won't touch.

Does USPS need to change? Absolutely.

Do they get "funding" from the government? Not like most of the posters think they do. Less than 1% of the USPS budget came from the feds and it was a reimbursement for providing free services to the blind and overseas voters. Otherwise, the $65 Billion in revenue they do is entirely from postage and other services. Not tax dollars.
Posted by tigress77
BR
Member since Sep 2013
322 posts
Posted on 6/7/14 at 1:13 am to
It's dying because it is run by six unions that can't manage to fund their own pensions.
Posted by Eurocat
Member since Apr 2004
15048 posts
Posted on 6/7/14 at 2:30 am to
Actually FedEx and DHL could not exist without USPS.

LINK

Do We Really Want to Live Without the Post Office?

The postal service is not a federal agency. It does not cost taxpayers a dollar. It loses money only because Congress mandates that it do so. What it is is a miracle of high technology and human touch. It's what binds us together as a country.

SNIP

When Donahoe testifies on Capitol Hill, as he has done several times over the past two years, to describe just how dire the postal service's situation is — losing $25 million per day! — he talks in even, polite tones. Because there he's not telling, he's asking.

Five hundred thirty-five members of Congress ultimately decide how to run the postal service: what it can charge for postage, which services it can offer, how it operates. Donahoe is the person who implements their policies, despite the postal service not being a federal agency or taking any taxpayer money; it runs solely on the postage it sells — or lately, doesn't.

Take the most contentious issue: the seventy-five years' worth of future-retiree health benefits that in 2006 a lame-duck session of Congress legislated the postal service prepay over the following ten years as part of a broad overhaul of the way the postal service operates. No other government agency must do this, and most private companies would have spread those payments over forty years. But the postal service was flush at the time, and Congress figured out that since health-care payments are counted as general government revenue, it could use them to prop up its own books. (Five-and-a-half billion dollars a year coming in from the postal service was $5.5 billion less Congress would have to cut elsewhere to remain budget-neutral, as the Bush administration was demanding.) But then the economy crashed and with it the amount of first-class mail being sent around the country. Suddenly a law designed to keep the postal service solvent in the long term began bankrupting it. Of the $15.9 billion the postal service lost last year, 70 percent — $11.1 billion — was in future health-care payments.

Today, at the National Postal Forum, Donahoe is not beseeching, he's selling. Forget finding new customers. He just wants to make sure he keeps those he already has. The big mailers before him employ 8.5 million Americans. That's almost three of every fifty American jobs. And the billions of insurance bills and catalogs and summonses these companies send every year pump $1 trillion into the economy.

In one session, a strategic business planner from the postal service asks for a show of hands from "all of those who think the postal service and industry is in a death spiral." A few honest palms dart up. The mailers want to know that Donahoe has a plan. They want to believe that Congress is listening. They want to be reassured that the post office won't abruptly fail.

SNIP

A week earlier, in March, Donahoe presented his reorganization plan to a highly skeptical Congress. The post office of the 1990s, even of the last five years — huge, capable of moving a piece of mail across millions of square miles in mere hours for a nominal fee, six days a week — cannot survive, he said. He wants to get back the $49 billion the postal service has already prepaid in health benefits, wants to manage his employees' health care. But much more, his plan calls for sizing the post office for today. That means cutting 120,000 more jobs, largely through attrition; halving the number of processing centers that relay mail across the country at often breakneck speed; and drastically scaling back the hours of thirteen thousand unprofitable local post offices. He would stop nearly all Saturday mail, and ease the rate at which first-class mail races across the country, because much of the paper we do send doesn't need to get there tomorrow or on Saturday. Give me the freedom to do that, Donahoe said, and the postal service can make a profit of $6 million per day by 2016.

His plan is to shrink the post office in order to save it.

Posted by Volvagia
Fort Worth
Member since Mar 2006
51913 posts
Posted on 6/7/14 at 2:56 am to
quote:

Outside hindsight looking in, but it seems to me the USPS did not recognize early that it was primarily a communications company that also handled packages.


So they should have been the drivers of telegraph, telephone, and finally cell phone implementation?
Posted by cave canem
pullarius dominus
Member since Oct 2012
12186 posts
Posted on 6/7/14 at 4:49 am to

The only way the post office can remain solvent is to break the unions and that is politically impossible. The only thing Mr. Donahoe can do is slow the death spiral. Giving the prepaid healthcare money back would be a huge mistake, its not like the cost go away they would just spend the money and turn to the gov. for healthcare.

edit for spelling
This post was edited on 6/7/14 at 4:56 am
Posted by weagle99
Member since Nov 2011
35893 posts
Posted on 6/7/14 at 6:23 am to
quote:

It's what binds us together as a country.


Meh.

quote:

When Donahoe testifies on Capitol Hill, as he has done several times over the past two years, to describe just how dire the postal service's situation is — losing $25 million per day! — he talks in even, polite tones. Because there he's not telling, he's asking.



How are they even operating today if that is the case?
Posted by catholictigerfan
Member since Oct 2009
56027 posts
Posted on 6/7/14 at 10:01 am to
quote:

No, USPS is dying because private companies like UPS and FedEx do a much better job.



If UPS or Fed-ex would take up some type of daily mail service USPS would be pointless.
Posted by Lsut81
Member since Jun 2005
80207 posts
Posted on 6/7/14 at 10:11 am to
quote:

Is the USPS dying because it didn't recognize its real business?


USPS isn't dying as long as it has the backing of the Federal Govt.

If it was a private business, there would have been MAJOR changes years ago or they would have been out of business. But when the govt throws billions at you ever quarter to keep you solvent, you have no reason to change.
Posted by Zach
Gizmonic Institute
Member since May 2005
112570 posts
Posted on 6/7/14 at 10:15 am to
quote:

The USPS is dying because of its union.

This. My good friend, Ghetto Mailman, explained it this way:

1. The salaries are higher than the skill level required for the work.

2. The pensions are too high.

3. Sick leave is a scam. This one is complicated but you learn it quickly. If I get 20 days sick leave they have to hire a regular route guy to cover me at time and a half beyond his regular route. So I use my 20 days to let Bob get OT pay. Then Bob uses his 20 days to let me get OT pay. Me and Bob got the game down.
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