The United States Post Office is on the brink of insolvency and has been several times. The PO is losing money hand over fist and every few months there are dire predictions about insolvency and cuts in service.
The PO states that this is because it is required to pay billions each year into its pension fund to pay for its retirees. Perhaps that is so but the PO had generous retirement plans and it must pay for them. I guess the PO, like all other government and union entities expects the taxpayer to pick up the tab for these retirees.
I have discussed the PO in detail before so I won’t rehash it here. Suffice it to say that I think it would be better off if it were, at least party, privatized.
In any event, the PO has gotten a slight reprieve this year because this is an election year and it is an important election year. Couple the increased political activity among the electorate with the increased spending PACs are allowed to engage in and there are a lot of items being mailed to people.
The Post Office is getting a boost from increased political mailings so I know that entity is praying that the race remains close and more organizations get involved in the process.
Regardless, when November rolls around and the election is behind us the PO will need to face reality and work to make things more efficient and cost effective.
When the PO was the only means of sending written communication it did well and money was no object. Now there are other companies that deliver and email as a means of communication. Not to mention that many companies have their catalogs on their websites for viewing or download. No need to spend a few dollars per catalog to mail them out.
One way or another the PO will have to reduce costs. It will probably have to reduce delivery to five days a week (is Saturday deliver really necessary) and it will probably have to reduce the workforce and number of branches.
If not it will certainly go belly up.
At least until Congress takes OUR money and uses it to bolster the PO.
Never surrender, never submit.