Postal Service is losing $25 million a day
The postmaster general warns Congress that the USPS is at risk of becoming a 'significant burden' to taxpayers.
The U.S. Postal Service is known for delivering the mail no matter if hurricanes or blizzards are obstructing the way. But now it's pleading with lawmakers to deliver something for the agency: reforms that will stop the bleeding.
Postmaster General Patrick R. Donahoe appeared before Congress on Wednesday and warned that the USPS is "losing $25 million every day, and we are on an unsustainable path." He added that the agency could become "a significant burden" to taxpayers if it's not allowed the flexibility to make changes.
His appearance was the first since the USPS put off a plan to cut back to five-day delivery. But it doesn't appear that Donahoe has given up on the idea, according to the Washington Post.
He believes the Postal Service has merely delayed its plan to end Saturday delivery, which was promoted as a way to save $2 billion annually. After the USPS announced the plan, some customers and postal workers complained and organized protests while Congress adopted a resolution to preserve six-day service.
At least one thing is clear: The Postal Service is in a first-class mess, with losses mounting to $15.9 billion last year.
The Postal Service is stymied by the need for congressional approval of its operations, because Congress oversees its budget and its retiree health benefits fund. So far, it seems like the relationship between the USPS and Congress is only getting worse.
If Donahoe defies Congress, the postmaster "would catch hell," said Rep. Elijah E. Cummings, D-Md., the Washington Post reported.
The Postal Service needs the ability to cut back to five days a week, Donahoe testified. His other requests include the flexibility to control health care and retirement costs and to switch to a defined-contribution retirement system (such as 401k plans) for new employees.
Also appearing at the hearing, called "Options to Bring the Postal Service Back from Insolvency," was the National Association of Letter Carriers president Fredric V. Rolando, who said the postmaster "wants to degrade (the USPS's) last-mile delivery network by cutting Saturday delivery."
Follow Aimee Picchi on Twitter at @aimeepicchi.
"Congress oversees it's budget".
Therein lies the problem.
Do the job you were elected to do for God's sake.
A real business down 30% in volume would have laid off half of its workforce and streamlined operations. Our piece of government increases pay and benefits offers early retirement and big fat pensions. Shut the whole thing down and let someone with a brain do it.
25 Mil per day huh? Ok...Here is a start...
3 day delivery schedule Mon - Wed - Fri
Immediately your fuel and wage budget are almost sliced in half...The rest of the fat is for you to figure out although I have little faith you will find it.
Just because a couple fruit cakes still want Saturday delivery does not mean that it should happen.
The useless union mentality of these worthless federal employees makes me sick, f-in' leaches.
This has been going on for years. The Band-Aid was suppose to be stop Saturday mail.
last week they decided to leave it.
Now what? I know, make stamps $1.00.
Tax the Rich they can afford it (ha ha )
HA HA....well that puts USPS pretty much in-line with every other Government sponsored service..
The question is...."Why do they even care?"
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