The USPS Problem
The USPS Problem
It has come as no surprise that the United States Postal Service lost money in the first two quarters of 2010. $8.5 billion to be exact. Next year they, plan to lose even more. Somewhere in between $9 billion to $10 billion dollars. The problem will not be as simple to fix, but it is a problem that can be resolved with a few simple implementations and cost cutting options. Overspending and undercharging has led to needing to cut cost and raise prices. The USPS is trying to do both, but it requires Congressional approval and some simple economics. Here is what should be done in solving this problem. 1. Raise prices. Allow modest price changes without Congressional approval. If the prices change within the cost of living change or close the USPS should be able to implement them without wasting time and taxpayer money on a Congressional approval. The United States Postal Service does not charge enough for the service they provide. It does not cost 44 cents to move a letter from San Antonio, Texas to Hawaii, Alaska, or Puerto Rico. It does not cost 44 cents to move a letter to the next town let alone cross country with today’s raising fuel cost. Even with today’s new Postal pick up service the cost of fuel outweighs the cost of flat rate packaging. 2. Service. Service is part of the United States Postal Service name. End the Casual implantation of temporary workers. To many times customers complain to me that they saw a worker delivering mail without a uniform, and do not trust them in picking up the mail or package. Mail carriers should promote the business and make every interaction with its customers a positive one. I do many routes at my station and time and time again customers complain of the grumpy old letter carrier acting rude when approached, this has to come to a halt and management should be more involved in implementing ways to improve customer interaction and promote it. If a station manager gets complaints...
References: NALC. (2011, March). Retrieved from http://nalc.org/news/latest/2011-03-07_testimony.html
(USPS 2010, February). Retrieved from http://www.usps.com/strategicplanning.org
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