Postal Service exercises cost-cutting efforts
Like every other corporation in America, the U.S. Postal Service has been hit hard by the current economic recession.
But unlike most companies, and along among all federal agencies, the Postal Service faces unique financial obligations-strains and constraints that would have a devastating and insurmountable impact if the Postal Service hadn’t begun taking costs out of the system and embracing technology ten years ago.
Look at the numbers:
n 1999 Number of employees: 797,795
n 2009 Number of employees: 636,211
n 1999 Number of post offices: 38,169
n 2009 Number of post offices: 36,723
n 1999 Number of processing and distribution plants: 446
n 2009 Number of processing and distribution plants: 355
n 1999 Mail volume: 202 billion
n 2009 Projected mail volume: 175 billion
n 1999 Number of delivery points: 134 million
n 2009 Number of delivery points: 150 million
Amount Postal Service pays annually to prefund retiree health benefits: $5.4 billion
Amount all other federal agencies pay annually to prefund retiree health benefits: $0
In summary, the Postal Service has taken cost cutting measures but is still struggling to break even because of an obligation to prefund retiree health benefits. It should also be noted that an additional 16 million delivery points are being serviced by 61,500 fewer employees.
For more information about purchasing stamps, stamps by mail, postal regulations, a free subscription to USA Philatelic magazine, Post Office events, the location of the nearest postal store or contract unit, or for answers to your specific Postal Service questions, contact USPS at 1-800-275-8777, or visit www.usps.com.
To schedule a presentation for our community, club or group on how the Postal Service brings the Post Office to your home or office computer, call 239-573-9638.
Mr. Zip’s Tip: The Postal Service maintains one of the largest intranets in the world-connecting more than 28,000 locations to critical business systems 24/7.
submitted by Debra Mitchell