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Author Topic: I think I know why the USPS is losing money  (Read 4157 times)

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Malenko

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I think I know why the USPS is losing money
« on: March 06, 2013, 10:32:31 am »
tracking number:   9400109699939611191203

look for yourself. I bought N64 games from a member here on the 24th, He shipped them THE NEXT DAY. They got to Philadelphia 3 days later. Philly is about 45 miles from me. Then for some reason the postal service sent them 100 miles north of Philly to Kearny, NJ. They sat there for 3 days, then got sent to my local post office and should be delivered today. Original delivery date was the 28th. 10 days to ship from Florida to Delaware? Who wants that?
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Re: I think I know why the USPS is losing money
« Reply #1 on: March 06, 2013, 11:40:19 am »
That sucks, but I usually prefer USPS.  They're faster cross-country than UPS ground.
I choose a carrier based on who gets here first without paying extra.   :P

On ebay, I'm more likely to buy from a vendor in NJ because UPS only takes one day from there.

No complaints about UPS.  Damn sender of today's package required a signature upon delivery.   :angry:
Luckily I'm only a couple minutes from the UPS hub and can walk in and pick it up after the driver gets back.
« Last Edit: March 06, 2013, 02:11:09 pm by BadMouth »

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Re: I think I know why the USPS is losing money
« Reply #2 on: March 06, 2013, 01:04:02 pm »
It has to do with the USPS sorting system.  It is optimized for long distances and is NOT optimized for short ones. 

Forget packages and forget 45 min away.  Let's say I want to send a letter to the guy that lives next door.  The mail lady can't simply drop it into his box on her route.... that's illegal and she could lose her job.  Instead it goes to the local post office, who does NOT sort through the local letters.  Instead it goes to the local sorting junction.... usually the next day.  Then it gets sorted there.  And sent back to the local post office... usually the next day.  THEN the mail lady can pick up the mail for her route and deliver the letter. 

So yeah, unless you happen to live in the area of a sorting station, it takes 2-3 days to deliver a package/letter to the same street that you live on. 

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Re: I think I know why the USPS is losing money
« Reply #3 on: March 06, 2013, 01:44:49 pm »
I always thought my Post Office was the one that is 3 minutes (literally) from my house.  One day I got a notice to pick up a package and it was then that I found my real  post office was 30 minutes away.  Crazy. 

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Re: I think I know why the USPS is losing money
« Reply #4 on: March 06, 2013, 03:30:41 pm »
Along with the following:
USPS currently prepays retiree health benefits. These payments are prepaid on an annual basis for employees who are not even eligible for retirement yet, according to USPS.

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Re: I think I know why the USPS is losing money
« Reply #5 on: March 06, 2013, 03:56:16 pm »
Along with the following:
USPS currently prepays retiree health benefits. These payments are prepaid on an annual basis for employees who are not even eligible for retirement yet, according to USPS.

That's really not wasteful, it's smart.  The cost of healthcare only goes up as the years go on.  Buying it now saves money.  I also guess that the policy can be transferred over to another worker if the one it was intended for quits before meeting retirement qualifications.


I'll also remind everyone that the USPS is a federal agency.  Despite what some politicians might tell you, the goal of the USPS is NOT to make a profit.  It's a public service like a library or the school system.  Up until recently it's always made enough to cover expenses but I don't really think it should go anywhere even if privately run companies are giving it a run for it's money.   The penny currently costs more to produce than it's worth.  Nobody is scrambling to get rid of pennies.  The public library might have a worse selection, and certainly makes less money (they don't make any) than your brick and mortar book store chain, but nobody suggests getting rid of libraries. 

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Re: I think I know why the USPS is losing money
« Reply #6 on: March 06, 2013, 05:03:11 pm »
Along with the following:
USPS currently prepays retiree health benefits. These payments are prepaid on an annual basis for employees who are not even eligible for retirement yet, according to USPS.

That's really not wasteful, it's smart.  The cost of healthcare only goes up as the years go on.  Buying it now saves money.  I also guess that the policy can be transferred over to another worker if the one it was intended for quits before meeting retirement qualifications.

Sorry, should have added another line to mine:
This bill required that the USPS prefund its future health care benefit payments to retirees for the next 75 years in an astonishing ten-year time span.

I doubt very many companies could actually afford that......

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Re: I think I know why the USPS is losing money
« Reply #7 on: March 06, 2013, 05:16:35 pm »
It has to do with the USPS sorting system.  It is optimized for long distances and is NOT optimized for short ones. 
While not the longest distance, I wouldnt consider Florida to Delaware short. Philadelphia is my regional sorting hub (most packages go there, then to my local post office, then to mi casa)
Undoubtedly they sorted my package to Newark, New Jersey instead of Newark, Delaware
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Re: I think I know why the USPS is losing money
« Reply #8 on: March 06, 2013, 07:33:10 pm »
The fact that the package languished in two separate facilities for multiple days is a bit queer.  I'm thinking this was quite a fluke, because the numerous times I've shipped or had something shipped to us via the USPS, no matter where we lived, it's always been a great experience.
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Re: I think I know why the USPS is losing money
« Reply #9 on: March 06, 2013, 09:25:54 pm »
When I ship my pastry to a location two hours south of here via priority mail it takes three days, without fail.  First it goes north 50 miles, then south about 100 miles past the destination before finally being delivered.
When I ship to major metros just about anywhere else in the country I have a decent chance of it arriving in two days.
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Re: I think I know why the USPS is losing money
« Reply #10 on: March 06, 2013, 10:20:38 pm »
Nobody is scrambling to get rid of pennies. 

There have been people trying to get rid of the penny for many years now.  Canada actually did it.


Quote
The public library might have a worse selection, and certainly makes less money (they don't make any) than your brick and mortar book store chain, but nobody suggests getting rid of libraries.

That's because the brick and mortar store chains are gone.  Also, libraries are municipally funded.  Not federally.


The USPS is hurting because their employees don't give a crap.  Every time it snows more than a few inches I don't get mail for a week.  And I live right on a national highway route (Route 1A).  It's not like I live behind a 500ft driveway.

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Re: I think I know why the USPS is losing money
« Reply #11 on: March 07, 2013, 04:51:24 pm »
I heard from my last mail man that the post office was billions in debt. Something like that.

I don't know offhand how you'd get rid of the penny.....although I almost never have cash on me to care. That'd be one way.....
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Re: I think I know why the USPS is losing money
« Reply #12 on: March 07, 2013, 05:44:42 pm »
Nobody is scrambling to get rid of pennies. 

There have been people trying to get rid of the penny for many years now.  Canada actually did it.


Quote
The public library might have a worse selection, and certainly makes less money (they don't make any) than your brick and mortar book store chain, but nobody suggests getting rid of libraries.

That's because the brick and mortar store chains are gone.  Also, libraries are municipally funded.  Not federally.


The USPS is hurting because their employees don't give a crap.  Every time it snows more than a few inches I don't get mail for a week.  And I live right on a national highway route (Route 1A).  It's not like I live behind a 500ft driveway.

And people are currently fighting to get the penny BACK in Canada.  There are always some political nuts wanting to do stupid things.  That wasn't what I was referring to.  I meant that me and you, the average consumer, isn't shaking our fist in anger in regards to pennies still being around even though they are a waste of money.   

Nope... sometimes the money gets to them in a round-about way, but libraries are largely federally funded. 

This site has some examples, although it's not all inclusive, usually the town begs the state for money, which in turn begs the fed.  http://www.ala.org/advocacy/libfunding/fed

As usual you are nit-picking the examples even though the point still remains.  The postal service is just that, a service... it's not a business, they aren't out to make money. 


I'm sorry you have poor postal service in your area, but I can assure you, this is not typical for everyone.  Slow packages are one thing, but our mail people have never missed a day, and we DO live out in the sticks. 

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Re: I think I know why the USPS is losing money
« Reply #13 on: March 07, 2013, 06:33:46 pm »
You made me think of another one....

The Post Office (that isn't my Post Office) opens at 9:30am.    Closes at 11:00 - 12:15 for lunch.  Closes for the day at 3PM. 

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Re: I think I know why the USPS is losing money
« Reply #14 on: March 07, 2013, 06:57:22 pm »
I'm a fan of the USPS.  I've been shipping stuff for the KADE kick starter and I have been happy with the price and service.  I live pretty close to the main sorting facility in Denver so my stuff goes out quick. Overseas is another story but the issue is usually customs BS.

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Re: I think I know why the USPS is losing money
« Reply #15 on: March 07, 2013, 11:12:31 pm »
The USPS is not perfect by any means, but "bang for the buck" is still with the USPS.  We moved our operation literally across the street from a small town post office, and less than a year later, found out it was on the chopping block.  I made all of the appeals, attended the meetings, submitted paperwork, and spoke personally with USPS regional reps.  It's still open, while a number of them in the area were closed down.

The odd routes are due to consolidation of the sorting centers.  It had to be done.  The sorting centers were built to handle 50x the mail that is currently processed.  The fact is, much of the transportation costs were being incurred to those destinations anyway, so they just route it to a different sorting center.  It normally doesn't affect delivery times, but there's the possibility that one of the areas is in the midst of a changeover, and your item got rerouted to someplace other than where it should have.  They'll get it figured out.
« Last Edit: March 07, 2013, 11:16:17 pm by RandyT »

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Re: I think I know why the USPS is losing money
« Reply #16 on: March 08, 2013, 12:06:36 am »
I love the USPS, it has always been good to me. I order tons of things online for my customers, some times I get 15 packages at once, and haven't lost anything yet. My mail man & lady are awesome, always knock and wait for me to answer before running off with my package on the ground or leaving one of those "we will redeliver notes". On top of that the mail lady knows I have a German Shepard and always has treats to give my Yoshi.

I would rather let go of the penny, screw the nickle too, before the post office goes.


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Re: I think I know why the USPS is losing money
« Reply #17 on: March 08, 2013, 12:14:58 am »
On top of that the mail lady knows I have a German Shepard and always has treats to give my Yoshi.

My dogs loved the mailman when he came to the door.  He always brought something for them too!   I always wondered whether the mailman smelling of bacon treats helped to keep the dogs away, or made him a target, but i guess it works for them  :)

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Re: I think I know why the USPS is losing money
« Reply #18 on: March 12, 2013, 03:58:52 am »
Nobody is scrambling to get rid of pennies. 

There have been people trying to get rid of the penny for many years now.  Canada actually did it.


Got rid of them in Australia years ago too. The US needs to do this too. It is such a useless (yet expensive to maintain) denomination nowadays. Honestly, it's an easy thing to let go of compared to a postal service. There are at least two Dutch guys here. Let them tell you about the THREE or so private companies running their postal system now. One of those companies (TNT) used to be Australian, but is now a Dutch/Canadian conglomeration. So not even really a Dutch company!


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Re: I think I know why the USPS is losing money
« Reply #19 on: March 13, 2013, 10:53:18 am »
Nobody is scrambling to get rid of pennies. 

There have been people trying to get rid of the penny for many years now.  Canada actually did it.


Got rid of them in Australia years ago too. The US needs to do this too. It is such a useless (yet expensive to maintain) denomination nowadays. Honestly, it's an easy thing to let go of compared to a postal service. There are at least two Dutch guys here. Let them tell you about the THREE or so private companies running their postal system now. One of those companies (TNT) used to be Australian, but is now a Dutch/Canadian conglomeration. So not even really a Dutch company!

How does this work?  Tax calculation won't always match to the nickel... Do you just round up/down?
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Re: I think I know why the USPS is losing money
« Reply #20 on: March 13, 2013, 11:45:01 am »
I'm switching all my packages to FedEx from here on out:

I priced online a 9 pound package to my cousing in NC (I'm in AZ).

$25 USPS Standard Post, ~ 8 days with subpar tracking.
$15 FedEx Home, ~4 days with good tracking.

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Re: I think I know why the USPS is losing money
« Reply #21 on: March 13, 2013, 11:12:38 pm »
I'm switching all my packages to FedEx from here on out:

I priced online a 9 pound package to my cousing in NC (I'm in AZ).

$25 USPS Standard Post, ~ 8 days with subpar tracking.
$15 FedEx Home, ~4 days with good tracking.

Economy of any particular method can depend a lot on not only weight, but size.  A few years ago, I sent a 60lb box, flat rate priority.  Cost less than $10 and went across the country in 3 days.  The same box is about $14 now.  Finding the best value really depends on what you are shipping.  Also, the mailman will take the package at your doorstep for no extra charge...if you happen to be there when he rolls through.

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Re: I think I know why the USPS is losing money
« Reply #22 on: March 13, 2013, 11:55:38 pm »
The problem with the Post Office, is the cost of upper management.   Most PO workers make great money as it stands... but the MGT?  Make unreasonable salaries:

http://www.savethepostoffice.com/it-was-very-good-year-salaries-usps-executives


 As for Fedex...  firstly, its not related to any part of the Govt.  Its as Federal as the Federal Reserve.

 Next.. Fedex is comprised of many private 'Route Owners'.    You can purchase a route, then you buy / rent trucks...
and take employees from the base office hires.  As a Route owner, you dont actually have to run a route yourself.  Some do.  I believe the route owner decides the rate of pay, as well as the hours you work.  A Percentage of the money made from each package, is sent to the route owner.  A sort of commission system.  With that money, you need to pay the employees, as well as truck payments, fuel, and repairs.

 The routes make Mega $.   However, the workers themselves... not so much.  And these guys work very long hours, and are running and lifting heavy stuff all day and night long.   Im not even sure that many of the guys have health care.

 I believe this private ran stuff keeps a lot of the expenses away from the corporation, which allows them to keep the prices of shipments much lower.  It probably screws over the general workers however... depending on the Route owner.


 I think UPS is ran completely corporate, rather than with individuals purchased routes.  As such, its probably more expensive than Fedex.  I dont trust UPS, due to their losing a 37" lcd tv.  How do you misplace a box that big?!


 USPS, is a govt. agency..  and like anything Govt..  theres huge payouts to upper MGT, corruption like you wouldnt believe, lax attitudes about getting things out, schemes to cover things up, and more.

 

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Re: I think I know why the USPS is losing money
« Reply #23 on: March 14, 2013, 09:27:16 am »
Also, the mailman will take the package at your doorstep for no extra charge...if you happen to be there when he rolls through.


This is not always the case.  Where I live mailboxes are on the street which is good way away from your front door.  We're not allowed to leave packages by our mailbox and the mailman will not get out of his jeep.  If we get a package that can't be easily attached to the mailbox with rubber bands then we get a package slip and have to pick it up.

If you try to talk about this with the mailman or anyone at the Post Office they just throw up their hands and say "Union rules" and refuse to discuss at all.

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Re: I think I know why the USPS is losing money
« Reply #24 on: March 15, 2013, 02:58:11 am »
Nobody is scrambling to get rid of pennies. 

There have been people trying to get rid of the penny for many years now.  Canada actually did it.


Got rid of them in Australia years ago too. The US needs to do this too. It is such a useless (yet expensive to maintain) denomination nowadays. Honestly, it's an easy thing to let go of compared to a postal service. There are at least two Dutch guys here. Let them tell you about the THREE or so private companies running their postal system now. One of those companies (TNT) used to be Australian, but is now a Dutch/Canadian conglomeration. So not even really a Dutch company!

How does this work?  Tax calculation won't always match to the nickel... Do you just round up/down?

It just works (",)

But yes, if prices included odd cents (like petrol at the pump) then 1, 2 or 3 cents is rounded down usually (free fuel! :woot) 4 cents rounds up.


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Re: I think I know why the USPS is losing money
« Reply #25 on: March 15, 2013, 09:23:51 am »

That could never work in the US.  Most people here can't do the type of math that would be required for them to avoid being enraged.  The gov't would just round everything up, anyway, effectively raising the sales tax without actually raising the sales tax.

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Re: I think I know why the USPS is losing money
« Reply #26 on: March 15, 2013, 05:55:10 pm »
"Its as Federal as the Federal Reserve."

So you saw Zeigeist too huh



USPS is in the crapper because they have/are refusing to change with the times, imrpove and upgrade. Axing the delivery on saturdays is a good start.
I work for Canada Post and have heard about the billions in the red USPS is. To be honest, I'll be surprised if it's still around in 5-8 years.
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Re: I think I know why the USPS is losing money
« Reply #27 on: March 16, 2013, 06:44:11 am »

That could never work in the US.  Most people here can't do the type of math that would be required for them to avoid being enraged.  The gov't would just round everything up, anyway, effectively raising the sales tax without actually raising the sales tax.

Chad, that is actually a silly way of looking at it. People are people. You don't need to do any maths. You go shopping, you get a total, you pay. Dunno about in the US, but here they use cash registers to tell you the total. You don't have to add it up yourself  ;) I must admit the check out operators are sometimes lazy and tell you the total to the cent, and not the amount you are expected to physically pay. I am a cash man, so I notice this more than many other people, who pay for everything with EFTPOS/credit...

Anyway, sorry to derail the thread. I am actually a postman, and here I am talking about cents in a thread about post :duckhunt


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Re: I think I know why the USPS is losing money
« Reply #28 on: March 16, 2013, 06:50:45 pm »
Chad, that is actually a silly way of looking at it. People are people. You don't need to do any maths. You go shopping, you get a total, you pay. Dunno about in the US, but here they use cash registers to tell you the total. You don't have to add it up yourself  ;) I must admit the check out operators are sometimes lazy and tell you the total to the cent, and not the amount you are expected to physically pay. I am a cash man, so I notice this more than many other people, who pay for everything with EFTPOS/credit...


People are stupid.  They would constantly be pissed about paying a couple of extra cents every time it got rounded up.  They would never be able to figure out the situations in which they actually aren't paying a couple of extra cents.  No, you don't have to add it up, but people here are pissed off at anything the gov't does.  The gov't could show up tomorrow handing out the cure for cancer made of solid gold chocolate and most people would find a reason to be angry about it.

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Re: I think I know why the USPS is losing money
« Reply #29 on: March 16, 2013, 07:50:27 pm »
People are stupid.  They would constantly be pissed about paying a couple of extra cents every time it got rounded up.  They would never be able to figure out the situations in which they actually aren't paying a couple of extra cents.  No, you don't have to add it up, but people here are pissed off at anything the gov't does.  The gov't could show up tomorrow handing out the cure for cancer made of solid gold chocolate and most people would find a reason to be angry about it.

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Re: I think I know why the USPS is losing money
« Reply #30 on: March 17, 2013, 01:02:56 am »
Essentially what Chad says is so, and has been the defacto method in the US. Things are always rounded up to nip anything in the bud. Then all people have to do is be pissed about paying too much. Kinda 1984-ish, huh?
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Re: I think I know why the USPS is losing money
« Reply #31 on: March 17, 2013, 01:13:37 pm »
Here's another one. Only 2 days to get over here from China. Been in the states for a week now. Recently my little package was in Denver, 100 miles from me, so they decided to send it to SLC, 500 miles from Denver...

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Re: I think I know why the USPS is losing money
« Reply #32 on: March 18, 2013, 05:51:32 am »
Chad, that is actually a silly way of looking at it. People are people. You don't need to do any maths. You go shopping, you get a total, you pay. Dunno about in the US, but here they use cash registers to tell you the total. You don't have to add it up yourself  ;) I must admit the check out operators are sometimes lazy and tell you the total to the cent, and not the amount you are expected to physically pay. I am a cash man, so I notice this more than many other people, who pay for everything with EFTPOS/credit...


People are stupid.  They would constantly be pissed about paying a couple of extra cents every time it got rounded up.  They would never be able to figure out the situations in which they actually aren't paying a couple of extra cents.  No, you don't have to add it up, but people here are pissed off at anything the gov't does.  The gov't could show up tomorrow handing out the cure for cancer made of solid gold chocolate and most people would find a reason to be angry about it.

No, you see people get pissed off at their government in all countries. About everything. It's not a uniquely American trait. Then they get on with their lives, little remembering the tedium of the one and two cent piece, or whatever else they were angry at. I can't remember exactly when we got rid of ours. Maybe late 80's. As worthless as one cent was then, with inflation, it's an even more meaningless denomination now. In the late 80's, I remember people would just throw them on the ground instead of pocketing them...


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Re: I think I know why the USPS is losing money
« Reply #33 on: March 18, 2013, 09:09:24 am »
No, you see people get pissed off at their government in all countries. About everything. It's not a uniquely American trait.


People here don't get on with their lives.  They live their lives seeking out reasons to hate whatever political party they oppose.  It is getting worse in the US every year and it's getting worse quickly.  I know people who spend their entire life angry about politics that they don't have any stake in.  It seems like more people choose to be this way with each passing cycle.  I don't get it myself but it is very clear.

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Re: I think I know why the USPS is losing money
« Reply #34 on: March 18, 2013, 09:29:22 am »
No, you see people get pissed off at their government in all countries. About everything. It's not a uniquely American trait.


People here don't get on with their lives.  They live their lives seeking out reasons to hate whatever political party they oppose.  It is getting worse in the US every year and it's getting worse quickly.  I know people who spend their entire life angry about politics that they don't have any stake in.  It seems like more people choose to be this way with each passing cycle.  I don't get it myself but it is very clear.

It's the governments fault.
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Re: I think I know why the USPS is losing money
« Reply #35 on: March 20, 2013, 06:15:14 am »
No, you see people get pissed off at their government in all countries. About everything. It's not a uniquely American trait.


People here don't get on with their lives.  They live their lives seeking out reasons to hate whatever political party they oppose.  It is getting worse in the US every year and it's getting worse quickly.  I know people who spend their entire life angry about politics that they don't have any stake in.  It seems like more people choose to be this way with each passing cycle.  I don't get it myself but it is very clear.

That still sounds like most people, in most countries...


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Re: I think I know why the USPS is losing money
« Reply #36 on: March 20, 2013, 11:24:13 am »
No, you see people get pissed off at their government in all countries. About everything. It's not a uniquely American trait.

People here don't get on with their lives.  They live their lives seeking out reasons to hate whatever political party they oppose.  It is getting worse in the US every year and it's getting worse quickly.  I know people who spend their entire life angry about politics that they don't have any stake in.  It seems like more people choose to be this way with each passing cycle.  I don't get it myself but it is very clear.

Maybe its getting worse because we are in a ---steaming pile of meadow muffin--- ton of debt, still stuck in a major recession and the politicians have not been able to even hammer out a proper budget in years.   :dunno
« Last Edit: March 20, 2013, 11:26:48 am by Vigo »

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Re: I think I know why the USPS is losing money
« Reply #37 on: March 20, 2013, 03:15:36 pm »
Ahh, america is a bugeoning kiddie ground, with sand knee deep. Lot of tussle and spray.
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Re: I think I know why the USPS is losing money
« Reply #38 on: March 26, 2013, 12:21:24 pm »
Maybe its getting worse because we are in a ---steaming pile of meadow muffin--- ton of debt, still stuck in a major recession and the politicians have not been able to even hammer out a proper budget in years.   :dunno


Chicken and egg, man.  Which came first?  The idiot politicians who only care about reelection and not making anything any better?  Or us electing idiot politicians?

We caused this mess and all anyone actually cares about is finding a way to blame someone else.

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Re: I think I know why the USPS is losing money
« Reply #39 on: March 26, 2013, 04:53:32 pm »
Maybe its getting worse because we are in a ---steaming pile of meadow muffin--- ton of debt, still stuck in a major recession and the politicians have not been able to even hammer out a proper budget in years.   :dunno


Chicken and egg, man.  Which came first?  The idiot politicians who only care about reelection and not making anything any better?  Or us electing idiot politicians?

We caused this mess and all anyone actually cares about is finding a way to blame someone else.

The first step is to admit fault. The next is to stop.....
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