UPS Christmas Debacle: We Need a Public Postal Service
The failure of United Parcel Service to deliver holiday packages by Christmas demonstrates the importance of the U.S. Postal Service to the people of the country, says APWU President Mark Dimondstein.
“The UPS fiasco underscores why the Postal Service must continue to be a public service,” he said. “We must ensure that hiring decisions and other policy issues governing the nation’s mail service are not guided by the bottom line and private profit.”
United Parcel Service and to a lesser extent FedEx were unable to meet their commitment to deliver holiday orders by Dec. 25, blaming inclement weather and unexpectedly high volume.
“The Postal Service is the people’s service,” Dimondstein told broadcaster Ed Schultz on his Dec. 30 radio program. “We need a vibrant service for generations to come.”
The USPS is under attack by corporate privatizers who want to take over the nation’s mail service, the union president said. “Companies like FedEx and UPS want to get their hands on that $65 billion,” he said, referring to the Postal Service’s annual revenue from the sale of stamps and services.
An editorial in the Wall Street Journal titled Junking the Junk Mail Office, written in October 2011 by Gary McDougal, UPS director for more than 30 years, called for the Postal Service to be turned over to UPS, Dimondstein noted.
The Postal Service performed well during this holiday season, but could have performed even better were it not for a requirement that forces the Postal Service to pre-fund healthcare for future retirees at a cost of approximately $5.5 billion annually, Dimondstein pointed out. That crushing burden chokes the Postal Service and robbed it of the ability to serve the people to its full potential, he said.
“The corporations want the private side to do it all,” he said. “And this is where it leads to – higher prices and less service.”
The Postal Service is able to provide better service less expensively because it operates on a non-profit basis, Dimondstein said.
The APWU will unite with the American people to preserve this Postal Service, he said. “It needs to be vibrant. It needs to be expanded.”
Very good question Chester.
Once again, my question is: What has the Union done about the Postal Service decision to contract out the sortation of non-machineable parcels to UPS?
A public service as the last resort. People do not use the service commercial mailers use the postal service as USPS pay a price for commercial mailers discounts. USPS is an ADVERTISMENT DISTRIBUTOR and walk in retail parcel mailers.
Congress stagnant in making decisions to give the postal service means to operate cost effective. Congress rather go on USPS bond and bail them out from continuous financial
deficit with out concern for future stability. Cost effective operation is an enigma by congress actions to avoid anything that could affect their reelection.
6 day street delivery is a wasted cost as delivering advertising bulk business is high distribution cost and low revenue generator. DUH?
That’s because standard isn’t paying it’s way either. It gets treated like 1c mail, we spend overtime on it even, but doesn’t pay anywhere near 1c rates nor even pay anywhere near the costs used to process and deliver it.
Ain’t that the pot calling the kettle black…..We’re still delivering parcels mailed before Christmas…not to mention the so called 2-3 day prority (DELIVERY TIME NOT GUARANTEED)
Who does Diamonstein think transports all our mail, duh UPS..FEDEX…If they couldn’t deliver their packages what makes you think they delivered ours on time…..Most of the packages that are delivered late are last mile packages handed off to the USPS for delivery.
Even more important to remember is UPS and FedEx do not deliver to every address in the country, the postal service is required to by law. On the worst year of the economy the P.O. added 500,000 new addresses, the best year was 1.2 million new addresses added to the system in one year!
UPS and FedEx have both told their managers prices will increase if the post office goes out of business.
Last while 1st class letters are on the decline, that decline is expected to slow. Standard mail in the mean time continues to grow by 2 to 3 % per year and is currently 51% of total mail volume but accounts for only 26 % of revenue. Source is the post offices 2013 annual report.
I’ve had a lot of Express this month. *Not one* has been close to on time. I have priority taking two weeks.
I wouldn’t get to blowing your horn quite yet APWU.
One of the main reasons those two companies exist, and have done very well, in the first place, is because of the USPS track record….
Did we do much better?