U.S. Postal Service “may” be filing Bankruptcy
With the rise of e-mail and the decline of letters, mail volume is falling at a staggering rate, and the postal service’s survival plan isn’t reassuring.
Since 2007 the USPS has been unable to cover its annual budget, 80 percent of which goes to salaries and benefits.
This should be a moment for the country to ask some basic questions about its mail delivery system. Does it make sense for the postal service to charge the same amount to take a letter to Alaska that it does to carry it three city blocks? Should the USPS operate the world’s largest network of post offices when 80 percent of them lose money? Also, how do they address consumers who only use the internet to correspond?
If the USPS doesn’t come up with a miraculous game plan, then bankruptcy is inevitable.