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Postal Service Could Shut Down By Winter

WASHINGTON, Sept. 5 (UPI) — The U.S. Postal Service, facing a deficit that will reach $9.2 billion this fiscal year, could be forced to close this winter, officials say.

“Our situation is extremely serious,” Postmaster General Patrick R. Donahoe said in a New York Times article published Monday.

Donahoe has been advocating spending cutbacks recently that would eliminate Saturday mail delivery, close as many as 3,700 postal locations and result in layoffs of 120,000 employees, nearly 20 percent of the Postal Service’s workforce.

The delivery service, which has no-layoff clauses with unions, faces higher costs, particularly for labor, which accounts for 80 percent of its expenses.

It also has seen revenue decline as the Internet has resulted in fewer people relying on traditional mail as they use other delivery companies, e-mail, pay bills online, and receive news and advertisements online.

“The situation is dire,” said Sen. Thomas R. Carper, D-Del., chairman of the Senate subcommittee that oversees the Postal Service. “If we do nothing, if we don’t react in a smart, appropriate way, the Postal Service could literally close later this year. That’s not the kind of development we need to inject into a weak, uneven economic recovery.”

Without emergency congressional action, by early next year the agency won’t have the money to pay employees and put gas in its delivery trucks, which would force it to stop delivering the estimated 3 billion pieces of mail it handles weekly, the Times reported.

But lawmakers haven’t agreed on a solution.

Among other things, the Postal Service has asked Congress to allow it to discontinue Saturday delivery but that has drawn criticism.

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  • s c

    Ben Franklin wouldn’t recognize the USPS. You could call him the ‘father’ of the post office concept. In his day, unending incompetence wouldn’t have lasted long. Even under primitive conditions in Franklin’s day, people took the job seriously, and if nothing else they TRIED to do a good job.
    Now, the Post Office is a sick, warped joke. On a good day, it’s incompetent. It is extremely wasteful, and now that unions have become deeply entrenched, it’s time to send it to the slaughterhouse and destroy the rotting hulk.
    That Donahoe is a shill for a bankrupt non-business that should have been put to sleep long ago. Carper is a twit, and must be on one of the short lists that cater to Obummer’s whims. Time and again, it has demonstrated that the P O will NOT find ways to be efficient. Union employees have a peculiar habit of acting like overpaid whores (I’m being polite).
    In the spirit of compromise, sacrifice and efficiency, SHUT IT DOWN! Every time I avoid going to a P O, it makes me smile. More and more people see it for what it is and what it will NEVER be. Gut it. Kill it. Send it to bureaucrat heaven. It is a WASTE of time, energy and MONEY we that DON’T have, people.

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