USPS Assignment
Michal Yehudah, USPS Assignment draft 1.The USPS is currently drowning in a astonishing amount of financial debt, that is threatening the survival of the federal agency. The USPS is aware of its badly broken business model and is in the process of a strategic restructuring of the agency as a whole. The agency is suffering because it has been unable to meet its budget since 2006, and has been in a deficit borrowing money from the US treasury to make ends meet. Exhausting their debt this year, there’s a lot of politics on what should be done to prevent a shut down. Its clear that with the increase of technology and
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In an attempt to save the USPS I would make several drastic changes. First I would start by cutting back on the service days from 6 to 5, annually saving $3 billion a year. The con to this service cut back would be us losing a few customers that would want service on Saturdays, however this cut should not be made for our flagship post offices who have higher foot traffic on Saturdays. I would also immediately close the postal services that have low traffic and higher operational cost, replacing them with machines and drop boxes for customers. This action will help long term as the USPS start to invest in technology and transition to fit into a more digital society. Next would be to sit with the unions and restructure the compensation and benefits of our employees. Comparing the statistics of the amount of revenue used on salaries and benefits with our competitors, it is crucial to give our employees the option of a 20 percent pay cut or servence packages. The annual Health care prepayment is one of the larger expenses thought should be readjusted and paid by congress. It wouldn’t be ethical for congress and the government to continously wasting tax payers funds with bailouts if the short term solutions are’nt going to address long term financia delimas that may hit the USPS in the near future. Overall I would make the budget to include technology changes, debt, and cushion funds just in case a
In an attempt to save the USPS I would make several drastic changes. First I would start by cutting back on the service days from 6 to 5, annually saving $3 billion a year. The con to this service cut back would be us losing a few customers that would want service on Saturdays, however this cut should not be made for our flagship post offices who have higher foot traffic on Saturdays. I would also immediately close the postal services that have low traffic and higher operational cost, replacing them with machines and drop boxes for customers. This action will help long term as the USPS start to invest in technology and transition to fit into a more digital society. Next would be to sit with the unions and restructure the compensation and benefits of our employees. Comparing the statistics of the amount of revenue used on salaries and benefits with our competitors, it is crucial to give our employees the option of a 20 percent pay cut or servence packages. The annual Health care prepayment is one of the larger expenses thought should be readjusted and paid by congress. It wouldn’t be ethical for congress and the government to continously wasting tax payers funds with bailouts if the short term solutions are’nt going to address long term financia delimas that may hit the USPS in the near future. Overall I would make the budget to include technology changes, debt, and cushion funds just in case a