Postal Service Mulls Dropping Saturday Delivery – MSNBC
The post office is renewing its effort to drop Saturday delivery — and plans a rate increase — in an effort to fend off a projected $7 billion loss this year.
Without drastic action the agency could face a cumulative loss of $238 billion over ten years, Postmaster General John Potter said in releasing a series of consultant reports on agency operations and its outlook.
“The projections going forward are not bright,” Potter told reporters in advance of Tuesday’s announcement. But, he added, “all is not lost… we can right this ship.”
As Americans turn more and more from paper to electronic communications, the number of items handled by the post office fell from 213 billion in 2006 to 177 billion last year. Volume is expected to shrink to 150 billion by 2020.
At the same time, the type of material sent is shifting from first-class mail to the less lucrative standard mail, such as advertising, Potter pointed out.
And as people set up new homes and businesses, the number of places mail must be delivered is constantly increasing.
The agency has asked Congress for permission to reduce delivery days and has previously discussed the need for other changes such as closing some offices.
Cutting back Saturday home delivery, however, does not mean post offices would close that day.
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