For reasons perhaps known only to the operational brain trust dutifully serving Postmaster General Louis DeJoy and his 10-Year Plan, the redesign of the postal processing network seems to have all originating mail flowing into the 60 or so regional processing and distribution centers from which it will go to other RPDCs or back through local processing centers for distribution…
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Update on PRC and BoG Appointments
The five members of the Postal Regulatory Commission and the nine governors of the Postal Service are all appointed by the president and seated only after Senate confirmation. On each panel, a partisan majority cannot exceed one seat, which makes for interesting choices when a president must fill vacancies with a nominee from the other party. Also, both commissioners and…
Read MoreUSPS Reports $9.5 Billion Loss for Fiscal 2024
At the November 14 meeting of its Board of Governors, the Postal Service reported a loss of $9.5 billion for its 2024 fiscal year (October 1, 2023, through September 30, 2024). That amount is $3 billion larger than the loss reported for fiscal 2023, far different from the projected $1.7 billion surplus anticipated in Postmaster General Louis DeJoy’s 10-Year Plan.…
Read MoreYour Experience Will Vary – Commentary
It should finally be clear to all: the presumption that what the Postal Service considers standards for service in any way relates to the service that the average person will experience is completely wrong. As illustrated in its recent filing with the Postal Regulatory Commission, the USPS now segments its calculation of service into three pieces: from the sender to…
Read MoreUSPS Pushing Away Shipping Partners
Although the Postal Service has always offered package services, Postmaster General Louis DeJoy is fixated on transforming the agency from one focused on paper mail into one built around the package business. Accordingly, the new delivery vehicles on order are bigger – to hold more boxes – and the facilities in the USPS processing and delivery network are getting more…
Read MoreThe “Strategy is Working,” Really? – Commentary
Everyone felt a bit of relief on September 20 when the Postal Service announced it wouldn’t be raising rates next January. In the official quote included in the announcement, Postmaster General Louis DeJoy stated that “Our strategies are working, and projected inflation is declining,” and that, as a result, eliminating the January increase was possible. While the elimination of the…
Read MoreUSPS Seeks Advisory Opinion on Service Reductions
Although everyone knows the Postal Service will implement its plans regardless of what the Postal Regulatory Commission advises, the USPS nonetheless is following the required process and seeking an advisory opinion from the PRC on its latest round of service reductions. Filed October 4, the request, styled editorially as Operational and Service Standards Changes to Meet Statutory Requirements for Reliable,…
Read MoreUSPS Cancels Planned January Price Increase
In an unexpected announcement late Friday, September 20, the Postal Service announced that it will not be increasing prices for market-dominant products next January as had been forecast. In its press release and concurrent Industry Alert, the agency stated: “A recommendation by Postmaster General Louis DeJoy not to raise prices in January 2025 for Market Dominant products, which includes First-Class…
Read MoreNew Machine, Familiar Problems
A widely-redacted audit report, titled Planning and Deployment of the Matrix Regional Sorter, issued September 5 by the USPS Office of Inspector General, focused on another example of the agency’s recent shoot-ready-aim behavior. Background and findings As the OIG described the machine: “ … The MaRS is a package sorting machine designed to increase package processing capacity and efficiency while…
Read MoreUnion Expresses Opposition to Service Proposal
It’s not often that ratepayers and a postal union can find common ground, but the Postal Service’s proposal to again reduce service standards has provided one. The example was an August 23 statement by Mark Dimondstein, president of the American Postal Workers Union: “The American Postal Workers Union is deeply concerned regarding the August 22nd announcement from postal management, with…
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