Its hard to believe that the post office’s troubles are as bad as some are saying when a simple two part solution can fix so many money issues. The Post Office announced that it is closing half of the main sorting facilities that it operates and that this will save the Post Office $6.5 billion per year. That’s a lot of money. And the result is that instead of postal delivery for first class mail coming on average of two days in the postal stream it will come more like two to three. In years gone by, perhaps sensitivity to quick delivery influenced some users but today anything that is truly time sensitive is emailed or onernighted. As an additional savings, the Post Office is planning to eliminate Saturday delivery, a communication delivery service anachronism, which will save billions more. USPS accounting, like most multi billion dollar companies, is opaque and it is difficult for outsiders to penetrate into the inner workings of the organization and the cost of various components of service and goods that the organization offers. But if slowing First Class mail delivery by a day and ending Saturday delivery can save over $10 billion per year, it was foolish not to have done it long ago.
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