Us Postal Service Announces Delivery And Workforce Cuts

03.03.10 | FL News Team

Americans will have to find a way to get by without junk mail and bills being delivered on Saturday. The U.S. Postal Service has announced plans to end the weekend delivery. The service will also be cutting its workforce by about 30-thousand, overtime will be reduced and prices will be raised. The moves have been announced by chief financial officer Joseph Corbett who blames a combination of e-mail and private delivery companies for the cuts. Mail volume is expected to fall by about ten billion pieces in 2010 compared to last year. First class mail deliveries are expected to tumble 37-percent by 2020 causing a cumulative budget shortfall projected at 238-billion dollars.

 Corbett said there is a moderate stamp price boost being planned. Dropping Saturday delivery will require a move by Congress to change existing law. USPS has posted net losses each year since 2007. Last month the service announced it may not be able to meet obligations to make about six-point-six-billion dollars in cash payments to fund retirement benefits in September and October.