Distribution Directions Vol 9 No 8 USPS New Direction, ZIP-code Facts, Past Due, Closure Stories

One of the nation's largest postal unions wants it members to do less griping and do more to make sure the U.S. Postal Service secures the changes it needs to stay afloat. Cliff Guffey, president of the American Postal Workers Union, said his group needs to stop "acting as a grievance machine" and instead focus on lobbying Congress to enact changes to how the Postal Service pays workers and retirees. USPS currently pays about $5 billion annually to prefund the cost of future retiree health benefits; a unique cost that postal officials and union leaders believe is an unfair financial burden on an already cash-strapped agency. "When unions, mailers, and postal management try to rectify this misguided policy, some politicians erroneously characterize it as a 'bailout,'" Guffey wrote in a recent letter to union members. APWU, which represents about 220,000 active and retired postal workers and the Postal Service are negotiating a new multi-year contract for postal clerks, custodians, drivers, mechanics and administrative staffers. According to spokeswoman Sally Davidow, Guffey's letter [link] does not signal that the union is ceding ground in the negotiations.

Source: Federal Eye

Fun ZIP-Code Facts

There are more than 42,000 ZIP codes in the United States. The highest ZIP Code is 99950 in Ketchikan, AK. The lowest, 00501, is a unique ZIP Code for the Internal Revenue Service in Holtsville, NY. One of the easiest ZIP codes to remember is 12345, another unique ZIP Code for General Electric in Schenectady, NY.

Past Due

Since 2008, the U.S. Postal Service has cut costs by nearly $10 billion and reduced its workforce, through attrition, by more than 105,000. Yet it continues to hemorrhage red ink: The Great Recession dramatically reduced mail volume; and, in the age of texting and Skype, most of that business will never come back. If present trends continue, USPS will run out of cash before the end of 2011 - perhaps as soon as September 30th. Congress and the Obama administration must treat the looming postal crisis as the national priority that it is. A place to start is legislation proposed by Sen. Thomas R. Carper (D-Del.), which would give the Postal Service freedom to trim its money-losing post offices. Crucially, the bill would also allow USPS to offer a wider range of products and services and require labor arbitrators to consider the Postal Service's financial condition when deciding new pay and benefits. The choice is clear: The United States can start moving toward a modern, efficient postal service, as many European countries have already done, or it can continue stumbling along until the inevitable collapse.

Source: Washington Post

Postal Service Responds to Closure Stories

Several national and local news organizations have reported in recent days that USPS may close up to 2,000 Post Offices. Some reports say USPS is reviewing another 16,000 offices to determine whether they should continue operating. For decades, the USPS expanded its infrastructure to accommodate a growing nation and increasing mail volume. However, in each year since mail volume reached an all-time high of 213 billion pieces in 2006, there has been a steady and consistent decline in volume and revenue. Now, more than ever, USPS must continue adjusting its infrastructure to meet reduced demand. Today, the Postal Service has 31,871 USPS-managed Post Offices, stations and branches. Many are not profitable. Some of these unprofitable offices could be consolidated — particularly if they’re located within a 10- to 15-mile range of other facilities. USPS could relocate others inside stores like Office Depot, lowering overhead and continuing to offer local service. Still others could be replaced with retail alternatives such as Automated Postal Centers.

Source: USPS News Link

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