Monday, December 23, 2024

USPS could slow service in certain areas as it seeks to cut costs

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The United States Postal Service (USPS) is considering cost-cutting measures that could result in slower mail delivery for long-distance and rural services. 

If the proposed changes are implemented, which wouldn’t happen until after the November election, customers within 50 miles of the Postal Service’s largest processing facilities would get faster delivery service, Postmaster General Louis DeJoy told The Washington Post. Those customers account for most of the mail and packages, he said.

However, an extra day could be added on top of the current delivery timetables for areas that are more rural, the Post reported. 

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Having certain mail delivered roughly 12 hours later is a price that “had to be paid” for letting the agency become “neglected,” DeJoy said.

A United States Postal Service worker exits a Grumman Long Life Vehicle.  (Paul Weaver/SOPA Images/LightRocket via Getty Images / Getty Images)

“You look around every other country, [delivery] is longer, it’s much more expensive. We’re trying to save the Postal Service — not figuratively, not to advocate for something. We’re trying to literally save the Postal Service,” DeJoy said in an interview with the Post.

FOX Business reached out to the USPS for comment.

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The changes would save the postal service about $30 billion over the next 10 years.

A large pile of about 50 packages being dumped on a conveyor belt

Parcels are sent through the new package sorting machine at a mail processing facility in Tampa, Florida. (Fox News / Fox News)

However, the USPS’ revenues haven’t covered its expenses and debt for more than 15 years, according to the Government Accountability Office (GAO). Its expenses are outpacing revenues as it sees a continuing decline in volume of its most profitable product, First-Class Mail, according to the GAO. To cover its costs, the USPS has been increasing its debt and unfunded liabilities.

The changes align “with the organization’s mandate to be financially self-sufficient,” the USPS said in a statement Thursday. This means the agency should be able to cover its expenses through the sale of its products and services. 

Even with the proposed changes, the USPS said it would “maintain the existing 1-5 day service standards for First-Class Mail and are designed to enable the Postal Service to make optimal use of its updated and developing ground network.” 

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The USPS also said it will hold public hearings to get feedback on these changes. If implemented, they wouldn’t take effect until the next calendar year. 

postal worker in San Francisco

A United States Postal Service worker delivers packages on Cyber Monday in San Francisco on Nov. 27, 2023. (David Paul Morris/Bloomberg via Getty Images / Getty Images)

“As such, these proposed changes will not impact Election Mail for the upcoming election or our preparedness for Peak Season 2024,” the USPS said. 

The agency said it plans to execute “extraordinary measures beyond our normal course of operations in advance of Election Day throughout the Nation.”

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