CT Could Close 150 Post Offices
Looking for a sign that the U.S. Postal Service is busy trying to save money as its mail volume plummets further? Consider that, according to the Hartford Courant, up to 150 small neighborhood post offices could close in Connecticut this fall as part of a cost-cutting plans by the USPS.
Maureen Marion, Connecticut’s postal service spokeswoman, told the Courant that USPS officials are researching state facilities with an emphasis on cities and towns that have both large and small facilities.
There are about 400 postal facilities in Connecticut, about 150 of which are considered branch offices. “They are components of larger post offices,” Marion told the newspaper. “Those [150] are candidates for this optimization process.”
If the USPS closes those facilities, it would not happen before Oct. 1.
In the past year the USPS has cut 50 million work hours; halted construction of new postal facilities; negotiated an agreement with the National Association of Letter Carriers that adjusts letter carrier routes to reflect diminished volume; frozen salaries of all USPS officers and executives; instituted a nationwide hiring freeze; reduced authorized staffing levels at postal headquarters and area offices by at least 15%; sold unused and under-utilized postal facilities; adjusted Post Office hours to better reflect customer use; and consolidated mail processing operations.
But, the USPS ended its second quarter (Jan. 1 – March 31) with a net loss of $1.9 billion. What’s more, according to a release, despite measures to reduce costs and grow revenue, the Postal Service will likely face a cash shortfall of over $1.5 billion at the end of the fiscal year.
The Postal Service has incurred net losses from operations in 10 of the past 11 fiscal quarters. The year-to-date net loss is $2.3 billion, compared to a loss in the same period last year of $35 million. A significant portion of the losses over this period can be attributed to an unprecedented decline in mail volume. In the second quarter, mail volume totaled 43.8 billion pieces, down 7.5 billion pieces, or 14.7 percent, compared to a year ago.
June 16th, 2009 at 10:44 am
The USPS is clearly looking for ways to cut costs, but there are also some new ways mailers can save. Was reading on PB Communications Intelligence that high-volume mailers can take advantage of a “Summer Sale” and then new postal discounts start in November with Intelligent Mail. USPS is definitely going through some changes. If interested, can check out www.commintel.net.