Tags: USPS | facilities | sequester | cutbacks

USPS Gets Early Delivery of Budget Cuts

By    |   Monday, 01 April 2013 07:51 AM

The foundering U.S. Postal Service (USPS) is shrinking even faster than originally expected, according to the Federal Times.

The newspaper reported that in addition to the 100 large mail-handling facilities already slated for consolidation this year, the cash-strapped agency is adding 53 others that were previously supposed to be downsized next year.

American Postal Workers Union President Cliff Guffey predicted a “devastating” effect on service as a result of the cutbacks.

Forbes Columnist: ‘Who the Hell Cleared This?’

“These closures will eliminate jobs, harm communities and delay mail delivery every day, Monday through Saturday,” Guffey said.

Guffey urged Congress to pass “meaningful postal reform” that “restores the Postal Service to financial stability without destroying service or harming postal workers,” the Times reported.

Most plant workers are protected from layoffs, but some may face reassignment to vacant jobs, according to the USPS.

USPS spokeswoman Sue Brennan blamed the downsizing on postal service’s poor financial condition and the continuing decrease in the volume of first-class mail.

As a result, she said, “we must continue to improve operational efficiencies and reduce costs by making better use of space, staffing, equipment and transportation in processing the nation’s mail.”

The USPS estimates $1.2 billion in annual savings and a loss of 13,000 jobs during the rounds of downsizing in 2013 and 2014.

The Hill reported that because the USPS does not receive taxpayer dollars, the agency’s budget will not take the 9 percent hit that the federal sequester would take out of non-defense discretionary programs.

But the USPS could still see its bottom line hurt if the automatic cuts prove to be a drag on the economy — as both the White House and the nonpartisan Congressional Budget Office project, The Hill said.

Forbes Columnist: ‘Who the Hell Cleared This?’

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The foundering U.S. Postal Service (USPS) is shrinking even faster than originally expected, according to the Federal Times.
USPS,facilities,sequester,cutbacks
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2013-51-01
Monday, 01 April 2013 07:51 AM
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