Deceptive Study on USPS so-called “unfair competitive advantage” Financed by UPS

A Sin of Omission

APWU: Deceptive Study Financed by UPS

Deceptive Study on USPS so-called "unfair competitive advantage" Financed by UPS03/30/2015A recent “study” by a Harvard-educated economist asserting the Postal Service has an “unfair competitive advantage” over private-sector delivery companies has garnered a lot of attention in recent days. The “study” by Robert J. Shapiro was the subject of articles in the Washington Post and Fortune, and was the centerpiece of a panel discussion at the well-known Brookings Institution on March 25.

The headline in Fortune was eye-catching, to say the least: ‘American Taxpayers Give an $18 Billion Gift to the Post Office Every Year,’ the Wall Street mouthpiece asserted.

But so far, discussion of Shapiro’s claims has omitted a crucial detail: The study was financed by United Parcel Service, the Postal Service’s chief private-sector competitor and a long-time proponent of postal privatization.

“UPS has advocated privatization of the Postal Service for more than 30 years,” said APWU President Mark Dimondstein. “So it’s not surprising that the company would make these wild claims.

“It’s troubling, however, that the liberal Brookings Institution would feature Shapiro at an event that was promoted as a serious discussion of the future of the Postal Service without revealing that his research was provided by UPS.

“There’s a lesson there,” Dimondstein added. “Postal privatizers come from both major political parties.”  Shapiro, who holds a Ph.D. from Harvard, runs Sonecon, Inc., a private economic consulting firm. He was Under Secretary of Commerce for Economic Affairs in the Clinton administration and advised the campaigns and transition of Barack Obama.

“This fancy, footnoted study is nothing more than an effort to turn over our public Postal Service to the private sector,” Dimondstein said.

6 thoughts on “Deceptive Study on USPS so-called “unfair competitive advantage” Financed by UPS

  1. Mark, ( comment of March 31, 2015) click on the blue link in the beginning of the article “Washington post” and better yet, “Fortune” where you can read the article Mr. D. is referring to. Yes, that makes you look stupid.
    As for UPS funding the study, I wouldn’t think it mattered WHO funded the study, and of course it would be competitors who would scream monopoly!! This is like comparing apples and oranges, yes it is the same type business, but one is a public service, the other is private enterprise. There are major differences. And no one wants to be obligated to carry letters and flats. The parcel business is what’s booming. Although USPS does get government guidance/and hindrance, it also gets mandatory sanctions such as the $5 billion annual pre-funded retiree obligations, which the USPS has defaulted on for the past four years. I would think without these mandates the USPS would still be much more profitable than UPS/FEDEX and they’ve been doing it for 200 years or more longer. Im curious as to how the public perceives these confusing articles and what the rebuttal from the unions would be. Why don’t the unions use Change.org for reaching the masses? They could have signed petitions in a matter of hours, right in front of them during negotiations to prove the public wants continued and increased service. not the other way around. It would be a great voice during this contract season.

  2. The “study” was conducted to help push the privatization of the Postal Service! The big business people want every one to work for nothing, not have any rights, nor any dignity. Any government operation they want so they can charge big prices. The “free market” bastards just view people as sources of revenue, nothing more. Workers, in their mind, are to be crushed. Money over every thing else!

  3. That’s the funny thing…UPS loves using us in their own last mile model strategy. In the end UPS cannot handle the volume so what is the argument or discussion here-to grow UPS and shrink USPS or blend them into one? In actuality we all need each other for one thing or another to get everything where it has to go everyday. The employees are all paid much the same in both USPS and UPS. UPS is closed sat and sun so do they want to be open 7 days a week like we are with amazon? I don’t get it…

  4. My fault, there is a link.

    It looks as if it is a fairly written and thorough report. We, the USPS, should be far more efficient than we are. And yes, our labor rates are far higher than they should be for some jobs.

    But go ahead Mark D., where is the APWU’s well thought out and researched rebuttal?

  5. But so far, discussion of Shapiro’s claims has omitted a crucial detail: The study was financed by United Parcel Service, the Postal Service’s chief private-sector competitor and a long-time proponent of postal privatization.

    That in itself doesn’t make it true. Why is it false Mark D.? It maybe, but respect us by detailing why it isn’t true. You don’t even provide a link so that we can read the report ourselves. (Or do you think we are too stupid?)

  6. Its all about the $$$$ and not Americans who rely on mail every day
    Save our National Treasure THE UNITED STATES POSTAL SERVICE

    We are a service for all people to the last MILE……………………

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