Government affairs

Talking Points: Service Standards

Slashing service standards is simply a band-aid solution to the real problem: a failed mandate

• The Postal Service is being forced to reduce operating expenses and costs after the crushing burden to pre-fund 75 years’ worth of future retiree health benefits over a 10 year period – a mandate enacted by Congress in 2006.
• This unprecedented mandate was placed on the Postal Service alone - no other government agency or private enterprise is required to pre-fund or opts to pre-fund at the accelerated rate required by the law.
• The crisis created by this mandate has forced cuts that have reduced the quality and speed of mail processing and delivery.

In an effort to address the falling mail volume, Congress has only accelerated it

• These damaging cuts will only lead more mailers to abandon the agency and weaken USPS capacity to meet exploding e-commerce delivery demands.
• Any more reductions in service will force residential customers and businesses to expect additional days of mail processing, even after the Postal Service’s virtual elimination of overnight delivery.
• These service cuts may actually accelerate the shift to electronic alternatives to mail.

The Postal Regulatory Commission and USPS inspector general are sounding the alarm

• The PRC reported that the USPS didn’t even complete a study on the effects of its first closings and consolidations before launching the next phase.
• The USPS inspector general found cuts to the service standards are negatively affecting customers and harming the organization’s reputation.
• Evidence continues to emerge that the savings promised by postal closures have not materialized as promised.