Postmaster General Louis DeJoy has decided to finally do what everyone has been demanding for ages and institute a plan to end the Postal Service’s perennial budget shortfalls. Of course, when you order somebody to fix something, not everyone is going to be happy with the result. DeJoy’s proposal involves cost-cutting measures and additional revenue. When described in that fashion, it makes perfect sense. Those are the things that any business has to accomplish if they’re running in the red. But the path to achieving that goal will involve slowing down mail delivery by mostly eliminating First Class mail and raising the costs paid by customers. (NBC News)
U.S. Postmaster General Louis DeJoy is set to implement a new strategic plan that includes higher postage rates and the elimination of first-class tier of mail, two sources familiar with the move told to NBC News on Friday.
The plan to eliminate first-class mail, which includes letters, magazines, catalogs, among others, would slow down mail that typically arrives within two days and make it more costly to deliver for both consumers and businesses.
The Washington Post … reported that all first-class mail would be lumped into the same three- to five-day window as non-local mail. This comes as the postal service under DeJoy, a top donor for former President Donald Trump, has already seen serious delays in mail delivery over the past several months.
As we’ve discussed here in the past, the Post Office faces some challenges that are both unique and daunting in terms of meeting its goals. It’s a quasigovernmental agency, in that keeping it in operation is constitutionally mandated, but it’s not allowed to rely on taxpayer money to make it function. But unlike a private sector business, the US Postal Service can neither declare bankruptcy to go out of business nor control the prices it charges for its services without government approval.