Broke: USPS Plans to Cut 35,000 Jobs
- Posted on February 24, 2012 at 10:07am by
Becket Adams
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WASHINGTON (AP/The Blaze) — With no financial relief in sight, the U.S. Postal Service is pushing ahead with planned cuts to more than 260 mail processing centers around the nation, part of a billion-dollar cost-cutting effort.
In a statement Thursday, the cash-strapped agency said it had completed a review of closings to mail processing centers it had proposed last fall. Based on community input and other factors, the post office said, it will move forward with consolidations involving virtually all of the 252 facilities on the list, as well as up to 12 new locations, beginning in mid-May.
Of the 264 facilities, roughly 41 won’t be closed or consolidated right away as the post office conducts additional reviews.
The consolidations are expected to result in a loss of roughly 35,000 jobs, which the post office hopes to achieve mainly through attrition. The agency described the move as a necessary cost-saving measure because of declining mail volume as people and businesses continue switching to the Internet in place of letters and paper bills.
The 12 locations added to the list include those in Owensboro, KY; Washington, PA; Cardiss Collins (Chicago), IL; Gaylord, MI; Staten Island, NY; Mankato, MN.; Champaign, IL; Atlanta, GA; Corpus Christi, TX; Fort Worth, TX; Mid-Florida, FL; and Butte, MT.
“The steps we are taking now will put the Postal Service on a strong financial footing for decades to come,” the agency said in a statement.
The estimated $3 billion in reductions are part of a wide-ranging effort by the Postal Service to quickly trim costs, seeing no immediate help from Congress. It is seeking to close or consolidate more than half of its nearly 500 mail processing centers.
Because the consolidations typically would lengthen the distance mail travels from post office to processing center, the agency also would lower delivery standards for first-class mail that, for the first time in 40 years, “will eliminate the chance for stamped letters to arrive the next day,” according to the Associated Press.
Last week, the Postal Service warned it will lose as much as $18.2 billion a year by 2015 unless Congress grants it new leeway to eliminate Saturday delivery and raise the price of a postage stamp by as much as 5 cents.
It is asking Congress for permission to make service cuts and reduce annual payments of about $5.5 billion to prefund retiree health benefits. At the request of Congress, the cash-strapped agency agreed to wait until mid-May to begin closures so lawmakers would have time to stabilize its finances first.
But in recent weeks, the Senate and House have stalled as lawmakers differ widely on costs, the level of financial oversight and the prospect of widespread postal closures.
Sitcom characters hardest hit.
The Postal Service, an independent agency of government, is subject to congressional control on major aspects of its operations. Earlier this month, the Postal Service said its quarterly loss ballooned to $3.3 billion amid declining mail volume and said it could run out of money by October.
Sen. Bernie Sanders (I-VT), who is pushing for legislative changes that would stop or delay mass closings of mail processing centers, described the proposed closings as counterproductive. He and 26 other senators recently signed a letter to congressional sponsors of postal legislation seeking to prevent cuts to first-class mail delivery.
“At a time when the Postal Service is competing against the instantaneous delivery of information from email and the Internet, slowing down mail delivery service will result in less business and less revenue, and will bring about a death spiral for this institution,” Sanders said.
The Associated Press contributed to this report.
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Comments (86)
Mess23
Posted on February 24, 2012 at 7:56pmI think ENCINOM is Glenn Beck stirring it up. No one can be that ignorant. Hi Glenn.
The unions have out lived thier usefullness. They need to go down with the USPS.
Report Post »Nala2k4
Posted on February 24, 2012 at 9:00pmI agree………..Unions should be shut down. All they are good for in the Postal Service is taking your dues and supporting politicians I don’t support. Try to get out of the “union”? And you end up with “goons” sitting outside your house.
Report Post »NeoFan
Posted on February 25, 2012 at 11:38amAmericans have been fooled into believing that the government should be in control of our mail and the education of our children amoung other things. That absolute last institution on earth that should be teaching our kids is the government. Duh! How do you turn.300 million free people into slaves? You use their own laziness against them and brainwash their children by offering to “teach” them for “free”.
Report Post »We will be slaves until parents get off their dead azz and take responsibility for educating their kids.
You think your kids are going to get a good education when they can’t even run the post office?
Sheeple!
AmazingGrace8
Posted on February 25, 2012 at 12:58pm@neofan
Good post!
Report Post »cj51
Posted on February 25, 2012 at 1:28pmmy husband has worked for the usps for 34 yrs and the post office has never been funded with tax dollars, the only reason they are not solvent now is because they are being made to prefund there retirement fund. they were solvent and makeing money until 2006 when the prefunding was put into place. People I dont know about unions or non unions all I know is we are hard working americans and I dont understand the hostility towards the post office.
Report Post »RedSoloCup
Posted on February 25, 2012 at 10:05pmHmmm… I always thought Encinom was Bill Ayers, or Cass Sunstein.
Report Post »Grey Eagle
Posted on February 25, 2012 at 10:24pmHow would anyone deliver your mail. The USPS can do it far cost effective. Fedex and UPS will not deliver letters or catalogs. They just deliver boxes and something like a big envelop/priority mail. The major problem is that the USPS must deposit far more money into their pension/retiree healthcare funds than other governmental agencies. Why? Because Congress in their infinite wisdom passed a law requiring them to do so. I believe it was the Democrats in control of Congress that passed this law. Also, several Presidents have raided their budget/pension funds and spent the money elsewhere. The USPS is self supporting, but it is hard when Congress takes the funds forcing the agency to borrow money to meet obligations. Clinton and the Democrats raided it, but I don’t believe Bush did. I am not sure about Obama, but the way he blows money it is likely.
Report Post »TomFerrari
Posted on February 26, 2012 at 6:20pmWHAT DO THEY THINK THEY ARE DOING ????
Just HOW are we supposed to get our JUNK MAIL now?
Huh?
Tell me!
This is going to cause an over-abundance of trees on the planet.
That will cause spooky “global warming”… or “global COLDING” (lol) or “global something-or-other-so-long-as-it-is-global-and-gives-manBearPig-lots-of-money.”
Between obama’s brownshirts (aka “occupy wall street”) rioting in the streets imitating arabs, and unemployed postal workers “going postal,” this is sure to be a bloody summer.
Report Post »Thanks a LOT, obama.
Magnum1
Posted on February 24, 2012 at 7:46pmNot to worry, those 35,000 lost jobs won’t be counted in the official unemployment rate numbers. Breath easy, Obama zombies, you can still brag about having a sub 9% unemployment rate.
In other news….the rising price of food isn’t included in the official inflation rate. So, despite what you thought you saw at the grocery store, you’re not actually paying more for food. It’s all in your mind.
Report Post »BurntHills
Posted on February 24, 2012 at 6:54pmthis is ALL on obama.
Report Post »Lesbian Packing Hollow Points
Posted on February 24, 2012 at 6:31pmLet it die.
Report Post »MarsBarsTru7
Posted on February 24, 2012 at 7:25pmNo kidding. The fewer tax funded jobs the better. If the Postal Service was deregulated and privatized, having to face real competition, then I could care less. But for as long as it is taxpayer money that is keeping it afloat, I say “Let it die.” And none too soon.
Report Post »Nala2k4
Posted on February 24, 2012 at 8:40pmThis comment if for the person that said taxpayers funded the USPS. That is not true. We are independent and our revenue stream that is used to pay the carriers comes from the sale of stamps and other services offered by the Post Offices. No tax dollars, period.
Report Post »rockstone
Posted on February 25, 2012 at 10:09amBald faced lie pal…. Bald faced lie. I can’t wait to see your pensions cut.
Report Post »SouthernVoice1
Posted on February 24, 2012 at 6:21pm1 trillion dollars of the national debt is owed to the USPS. The government has been dipping in the till when there is a profit. Just as they have done with SS. But no one will investigate and report on this, not even the blaze.
Report Post »lowerclassrepublican
Posted on February 24, 2012 at 5:52pmJust one of the reasons the USPS finds them self in this mess was the gov/post trying to put UPS and FEDEX out of business with their priory mail service. I think we will see the same out of GM I am afraid.
Report Post »Nala2k4
Posted on February 24, 2012 at 8:44pmHow many of the “public” are aware that the USPS, FedEx and UPS work together to deliver your packages???? We do. FedEx and UPS don’t want to go the last mile and they know the Postal Service goes everywhere, so every day the drop bags of parcels off at local Post Offices for delivery by the rural carriers. I know….I deliver them.
Report Post »TexBork
Posted on February 24, 2012 at 5:31pmWait until our government forced health care system goes in place comrades. It’ll make AmTrak and the USPS look like well oiled machines of efficiency.
Report Post »AnAmerican111
Posted on February 24, 2012 at 4:39pmMore government management at it’s finest!
……Soon to add OBAMA Pathetic Care to the long list of failures!…………………
America! Are you waking up yet?……………..
Report Post »Pattondog
Posted on February 24, 2012 at 4:34pmhmm, maybe if we didnt have to provide everyone with free birth controll their might be some budget leftover to keep the working class out of the unemployment line. either way you look at its government money just different buckets of funds.
Report Post »johnpaulkuchtajr
Posted on February 24, 2012 at 4:34pmAnybody talking about a tax revolt yet?
Report Post »keep456ty
Posted on February 24, 2012 at 4:22pmHow about none of the employees of the USPS get over $200k/year??????? Anyone caught playing while on disability be fired, sued for fraud, and be forced to pay back all the money they STOLE!!!!!
Report Post »Nala2k4
Posted on February 24, 2012 at 8:50pmStole from who??
Report Post »gpk
Posted on February 24, 2012 at 3:59pmDept of Energy, Dept of Education & EPA………….enough.
Report Post »right_thinking_mama
Posted on February 24, 2012 at 3:51pmThis shouldn’t be surprising to anyone. Like I tell my leftist friends when we start debating, the government screws up EVERYTHING it touches, and you want to put them in charge of your healthcare? I cannot think of one government agency that does a better job than it’s private sector counterpart does.
The post office should be a massive win for the US government. It’s practically a monopoly. People still send 99% of letters, bill payments, etc via USPS. The USPS is inept and should be privatized. For crying out loud, quit the complaining about Saturday service and just shut it down already. That would save a ton of money right off the bat.
Report Post »encinom
Posted on February 24, 2012 at 5:47pmI Agree the GOP lead congress screwed up everythign it touches. The USPS was profitable until the GOP determined that it had to fully fund its pension 75 years into the future.
We are watching what happens when the GOP runs an agency.
Report Post »Nala2k4
Posted on February 24, 2012 at 8:58pmYou confuse me. One statement you praise the Post Office and in the next you say their “inept” and should be shut down. Are you on drugs?? The problem with the Post Office is “management”. They don’t know how to make decisions. From one week to the next directives change. You need to have a plan and stick to it. I work for the USPS and frankly I think it is another deliberate attempt to censor the publics right to privacy. You can still expect privacy by mailing a letter anywhere in the world. NOT like sending an email that can be intercepted anywhere along the way. You are losing another piece of freedom “they” don’t have controll over………..think about it. If the “grid” goes down because of an EMP………..you will have NO record of your life if it is all online or digital.
Report Post »RedSoloCup
Posted on February 25, 2012 at 10:10pm“Hi my name is Encinom and I graduated high school… at 36! I repeated the 4th grade 15 times, hence my not-so-smart intelligence.”
Report Post »ZeroOff4impact
Posted on February 24, 2012 at 3:41pmBen Franklin sure is pissed right now.
Report Post »countryfirst
Posted on February 24, 2012 at 3:21pmThis is a good start only millions more to go.
WE are broke.
Report Post »encinom
Posted on February 24, 2012 at 5:48pmZero tax dollars fund the Postal Service, please understand the issues and know the facts before you mindlessly comment.
Report Post »Nala2k4
Posted on February 24, 2012 at 9:05pmYes……we are broke. But how many small businesses will not get that check or payment they are waiting for if there is no service?? How many elderly people will not get their medication from the local pharmacy that runs it over to the local post office for same day delivery?? More than just the cost of a postage stamp to consider here!
Report Post »RebelYell1862
Posted on February 24, 2012 at 3:18pmMaybe there should be services provided by the gov., but if they’re provided by taxpayers money the unions should keep their greedy hands off . Unions and their democrat masters should no access to my tax money.
Report Post »Nala2k4
Posted on February 24, 2012 at 9:07pmPlease, one more time…………USPS is NOT funded by your tax dollars.
Report Post »Ironeagle
Posted on February 24, 2012 at 2:59pmUSPS should’ve been privitized years ago…they’d be in better shape today.
Report Post »encinom
Posted on February 24, 2012 at 5:48pmNo, GOP shpuld keep their hands off of it. It was profitable until the GOP decided to kill it.
Report Post »elosogrande
Posted on February 24, 2012 at 2:22pmEven when the USPS goes completely out of business and everyone is “layed off”, I’ll guarantee you one thing. The U.S. Taxpayers will be forced to pay them all a great pension for the rest of their lives.
Report Post »Nala2k4
Posted on February 24, 2012 at 9:11pmWe fund our own and that is in the stock market just like millions of other people. So we depend on a strong market just like everyone else does to secure our retirement. AND another thing just recently reported……………..Federal pensions are being used to back up the UNEMPLOYMENT extensions those out of work are getting. Nancy Pelosi has no problem dipping into what is ours to support them.
Report Post »GulfPeg
Posted on February 24, 2012 at 2:08pmIs Obama going to delay these layoffs until after the elections? What do you want to bet that he does postpone this issue?
Report Post »RJJinGadsden
Posted on February 24, 2012 at 2:33pmI would think that 0bama will not have to lift a finger on this issue. The unions will find a number of federal sympathetic judges to tie this up in the courts for years to come. 0bama will likely pay some lip service to the struggle of the union backed employees, and the media will make certain that the masses will hear very little in the way of details. 0bama will gladly walk on the backs of these employees to get elected. The union employees are useful cannon fodder. Example, where I live there were two main businesses being throttled by the unions. A Goodyear pland, and a steel plant. When Clinton became president, there were almost 1500 employees at this particular Goodyear, and even more with the steel works. When Clinton left office, Goodyear had just over 400 employees, and the steel plant was gone. He didn’t do anything but use these people for his own goals. There were expendable.
Report Post »RJJinGadsden
Posted on February 24, 2012 at 2:40pmMy apologies for all of the typos, had just read something by ENCINOM and was still laughing when I scrolled back up to type this. Apparently he thinks that the Republicans have run any part of the government longer than I have ever known of. Just because there is a Republican president does not mean that the Republicans run everything.
Report Post »cemerius
Posted on February 24, 2012 at 1:49pm“The Postal Service, an independent agency of government, is subject to congressional control on major aspects of its operations.”
“independent”? My backside!!! The USPS has been controlled by Congress as a political pawn for decades!! Congressmen would refuse the USPS from closiing Offices that were like Starbuck’s across the street from each other, because they were in different districts and not one of the politicians wanted to be known as the one “that closed the office”!!! Just like AMTRAK EVERYTHING the government touches goes straight to hell with no stops or sidetracks!!!
Report Post »Nala2k4
Posted on February 24, 2012 at 9:20pmThere is an oversight committee on Congress that give Up or Down on new proposals for the Post Office. They create all kinds of problems for USPS such as advanced funding of Healthcare for future employees………….what the hell is that all about.?? Any other company required to fund for people that aren’t even employed yet?? Don’t think so…………..Get them and the unions out of the picture and we would be competative in the market. Just poor management from those at the top.
Report Post »Desert Aggie
Posted on February 25, 2012 at 11:13pmNALA2K4 & ENCINOM
Report Post »You keep saying that the problem was that congress forced funding of future pensions. Well welcome to the club. Most companies had to stop offering pensions due to the “Enron & Worldcom” legislation that our great government decided to protect us from ourselves again many years ago with fully funded future pensions. The only way private companies can offer anything is in 401K type of programs.
I believe there are plenty of hard working employees that could be hurt by these actions but also remember that the USPS has operated with a budget guaranteed by the public, not really the ideal situation for innovation, both fiscally and technologically. If the 35K job reduction is in attrition, who’s complaining? This SHOULDN’T affect the unemployment number, unless they’re lying again.
gpk
Posted on February 24, 2012 at 1:43pmEvery uniion in the country should drain their pensions funds and help support the USPS. Yeah right……..death to unions. Ha! Ha!
Report Post »2theADDLED
Posted on February 24, 2012 at 4:46pmWhat did the unions give up ?
Report Post »Barry should announce Email stole these jobs.
hatchetjob
Posted on February 24, 2012 at 1:30pmI heard on the radio that a first class stamp may be heading up to .50 cents. I’m so very tired.
Report Post »Nala2k4
Posted on February 24, 2012 at 9:28pmDo you realize that the Post Office is not permitted to make a profit?? Just breaking even is all we can do. I dare you to find another country on this planet that can do it cheaper than the USPS! Even if it is raised to 50cents for a first class letter, it’s still inexpensive. Name something else that you can send from the East Coast to the West Coast for that amount of money?? Military can send “I love yous” to those across the globe for less than it costs you to buy a can of soda. I know how valuable those letters and cards are when you’ve lost someone you love. It’s not the same with an impersonal email.
Report Post »steveh931
Posted on February 24, 2012 at 1:00pmThe first stamp I placed on a letter was valued at 3 cents. With the revenue required to run this dinosaur and the technology we have today it’s time to say, “Goodnight and Thank You for the Memories”.
Report Post »smithclar3nc3
Posted on February 24, 2012 at 1:11pmYeah do everything online so your masters know what you’re doing at all time. The postal service provides something a 21st century technology can‘t and that’s privacy.
Report Post »There will always be a need for a postal service maybe not the USPS but a postal service none the less.
encinom
Posted on February 24, 2012 at 1:19pmIf the GOP Congress didn’t force the Postal Service to fully fund its pension plan 75 years into the future at a a cost of billions of dollars, there wouldn’t be this issue.
But than the GOP doesn’t care about working and middle class workers and even less about union members.
Report Post »antiencenom
Posted on February 24, 2012 at 1:37pmThat was a paid “Talking Points” commercial from Encinom = TROLL
Report Post »smithclar3nc3
Posted on February 24, 2012 at 12:43pmRaise the price of postage to 1.00 charge ,a small yearly fee for home delivery say 25.00. Deunionize fire incompetence and hire competence,go to a standard 401k retire package leave the medical in place for 20 plus year employee.
Report Post »Run it like a gotdam business not a government charity.
encinom
Posted on February 24, 2012 at 1:21pmAnotehr mindless Tea ****** doing hte bidding of his corporate masters. The problem is not the Unions, the problem is the GOP screwing around with the Postal Services pension.
Report Post »Rayblue
Posted on February 24, 2012 at 2:33pmGot that right “smith”. The postal employee does little to nothing and the union provides a fabulous pension for the incompetence. I find opened mail and never get some items at all. Or they’re delivered next door. And just try calling the post office to complain. But they’ll probably close my little country P.O. because it’s never crowded and they do their jobs.
Report Post »Gonzo
Posted on February 24, 2012 at 12:27pmWell, nobody cried when the pony express and stagecoaches became obsolete because trains started carrying the mail. Those guys learned to drive a train or got into some other business. I suggest you do the same USPS.
Report Post »J.C. McGlynn
Posted on February 24, 2012 at 12:39pmUPS ad FedEx changed their business model when package delivery changed. USPS figured they did not have to change theirs because Congress would use taxpayers for extra support.
Report Post »encinom
Posted on February 24, 2012 at 1:24pmUPS and FedEx used the Postal Service to delivery to rural communities were it wasn’t profitable to deliver to. Major cities and large suburbs will see little change, rural communities were it is not profitable to deliever mail will see the reduction in service. Again, not everything should work on a for profit basis, some services are just needed.
Report Post »cemerius
Posted on February 24, 2012 at 1:56pmJust Like AT&T was like “no we don‘t need to be internet providers or no we don’t need to invest in cell phone coverage” Dinosaurs ready for the tar pits!!! Remember whne AOL was the last provider to charge “by the minute” too??? Used to use their CD’s as frisbees :)
Report Post »RJJinGadsden
Posted on February 24, 2012 at 2:52pmENCINOM, First, I will not call you a liar with that statement. There is a possibility that some cooperation between UPS and FedEx have occurred. But, I suspect that it is not very often. I currently live in yet another rural area, and have lived in 5 states, California, Alabama, Florida, North Carolina, and New York. While in and around cities in California, and Florida, mostly rural areas in the others. I have always and still see plenty of UPS, FedEx, and DHL trucks and vans in the rural areas. Personally, I do hope the USPS survives to serve us in the future. But, like any business it will be necessary to clean it up and make it self sustaining in the real world. It cannot continue to be one of the government teets to continue to feed the unions and their brain dead minions far beyond what it takes to run any business efficiently.
Report Post »SoupSandwich
Posted on February 24, 2012 at 4:36pmEncinomom
Report Post »The rural routes are usually private contractors there brain. Deunionize. Like the pisspoor teachers need to be, send them packing to unemplyment to boost the economy, get it privatized and turn into the black in no time. Dolt. Got to have everything all govt gray and worthless.
Nala2k4
Posted on February 24, 2012 at 9:43pmHi all …………if you‘ve been reading my posts you’ve figured out I am a rural carrier. AND YES…WHETHER YOU WANT TO BELIEVE IT OR NOT…. the Postal Service delivers DAILY packages for FedEx and UPS. It‘s hard to understand why competitors would help each other these days isn’t it?
Report Post »