I wanted to create a separate thread for this since I've heard tons of armchair quarterback comments about the post office and they're one of the first examples people point to as a poster child for goverment waste and inefficiency.
I can't really dispute the fact that they are struggeling fiscally and are having trouble meeting obligations....those are facts. But let's probe a little deeper and ask what obligations exactly, and furthermore why are they just recently having difficulty despite having existed for a long ass time?
Could it be just that more people are resorting to electronic forms of communication and they process less volume now? Indeed, total volume of mail delivered has decreased since its peak in 2006. So the logical thing to do would be to cut employees and/or close locations to reduce costs. Except the current labor union contract doesn't allow for any layoffs even if market conditions would dictate them prudent. On top of that, federal law doesn't allow for closing of post office locations due solely to economic reasons. Boned on both accounts.
Yet even with all that burden, I read that they would likely be facing a 1.5 billion dollar surplus if it weren't for a bit of pesky 2006 legislation voted in by the republican led congress called PAEA for short. It dictates that the post office must prefund health benefits for future retirees for the next 75 years and it must do all that within the next 10 years.....WTF? Is there a business model out there that can pull that off and still make a profit? Well, yes, Bain Capital makes enough profit they could probably fund all their employees health benefits for infinity; I should have also specified that they do so while providing a service we can all use.
So the next time you jump on the post office's back just try to remember all the bullshit they have to deal with on all fronts. And instead of just bitching about it, perhaps contact your representative and tell them to repeal legislation that burdens them, so they can be more flexible.
I can't really dispute the fact that they are struggeling fiscally and are having trouble meeting obligations....those are facts. But let's probe a little deeper and ask what obligations exactly, and furthermore why are they just recently having difficulty despite having existed for a long ass time?
Could it be just that more people are resorting to electronic forms of communication and they process less volume now? Indeed, total volume of mail delivered has decreased since its peak in 2006. So the logical thing to do would be to cut employees and/or close locations to reduce costs. Except the current labor union contract doesn't allow for any layoffs even if market conditions would dictate them prudent. On top of that, federal law doesn't allow for closing of post office locations due solely to economic reasons. Boned on both accounts.
Yet even with all that burden, I read that they would likely be facing a 1.5 billion dollar surplus if it weren't for a bit of pesky 2006 legislation voted in by the republican led congress called PAEA for short. It dictates that the post office must prefund health benefits for future retirees for the next 75 years and it must do all that within the next 10 years.....WTF? Is there a business model out there that can pull that off and still make a profit? Well, yes, Bain Capital makes enough profit they could probably fund all their employees health benefits for infinity; I should have also specified that they do so while providing a service we can all use.
So the next time you jump on the post office's back just try to remember all the bullshit they have to deal with on all fronts. And instead of just bitching about it, perhaps contact your representative and tell them to repeal legislation that burdens them, so they can be more flexible.
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